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Stanmore Resources (ASX:SMR) Operating Margin % : -1.98% (As of Dec. 2023)


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What is Stanmore Resources Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Stanmore Resources's Operating Income for the six months ended in Dec. 2023 was A$-39 Mil. Stanmore Resources's Revenue for the six months ended in Dec. 2023 was A$1,957 Mil. Therefore, Stanmore Resources's Operating Margin % for the quarter that ended in Dec. 2023 was -1.98%.

Warning Sign:

Stanmore Resources Ltd operating margin has been in a 5-year decline. The average rate of decline per year is -3.3%.

The historical rank and industry rank for Stanmore Resources's Operating Margin % or its related term are showing as below:

ASX:SMR' s Operating Margin % Range Over the Past 10 Years
Min: -328.57   Med: 16.46   Max: 34.88
Current: 27.71


ASX:SMR's Operating Margin % is ranked better than
96.03% of 604 companies
in the Steel industry
Industry Median: 4.705 vs ASX:SMR: 27.71

Stanmore Resources's 5-Year Average Operating Margin % Growth Rate was -3.30% per year.

Stanmore Resources's Operating Income for the six months ended in Dec. 2023 was A$-39 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 was A$1,159 Mil.


Stanmore Resources Operating Margin % Historical Data

The historical data trend for Stanmore Resources's Operating Margin % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Stanmore Resources Operating Margin % Chart

Stanmore Resources Annual Data
Trend Jun14 Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Dec21 Dec22 Dec23
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 34.42 16.03 0.40 34.88 27.75

Stanmore Resources Semi-Annual Data
Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23
Operating Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 10.58 49.04 25.18 53.82 -1.98

Competitive Comparison of Stanmore Resources's Operating Margin %

For the Coking Coal subindustry, Stanmore Resources's Operating Margin %, along with its competitors' market caps and Operating Margin % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Stanmore Resources's Operating Margin % Distribution in the Steel Industry

For the Steel industry and Basic Materials sector, Stanmore Resources's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Stanmore Resources's Operating Margin % falls into.



Stanmore Resources Operating Margin % Calculation

Operating Margin % - also known as operating income margin, operating profit margin and return on sales (ROS) - is the ratio of Operating Income divided by net sales or Revenue, usually presented in percent.

Stanmore Resources's Operating Margin % for the fiscal year that ended in Dec. 2023 is calculated as

Operating Margin %=Operating Income (A: Dec. 2023 ) / Revenue (A: Dec. 2023 )
=1162.183 / 4188.578
=27.75 %

Stanmore Resources's Operating Margin % for the quarter that ended in Dec. 2023 is calculated as

Operating Margin %=Operating Income (Q: Dec. 2023 ) / Revenue (Q: Dec. 2023 )
=-38.695 / 1957.439
=-1.98 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Stanmore Resources  (ASX:SMR) Operating Margin % Explanation

Just like Gross Margin %, it is important to see a company maintains its operating margin over time. Among the same industry, a company with higher operating margin is more efficient in its operation. It is also more stable during industry slowdown or recessions. Peter Lynch prefers those with higher margins than those with lower margins.


Be Aware

Operating Margin % can be manipulated by adjusting the rate of depreciation, depletion and amortization (DDA).

If a company is facing competition, its Operating Margin % may decline. Often the Operating Margin % declines well before the company's Revenue or even profit decline. Therefore, Operating Margin % is a very important indicator of whether the company is facing problems.

For instance, by 2012, Nokia (NOK)'s problems were well known and its stock had lost more than 90% of its market value since 2007. But Nokia’s Operating Margin % had already been in decline since 2002, although its Earnings per Share (Diluted) were still rising. Investors who paid attention to Operating Margin % would have avoided this huge loss. The same can be said for Research-in-Motion (RIMM).

Therefore, Operating Margin % is a very important screening filter for GuruFocus. GuruFocus's Buffett-Munger screener requires that the profit margin is either consistent or expanding. The Model Portfolio of the Buffett-Munger screener has outperformed the market every year since inception in 2009.


Stanmore Resources Operating Margin % Related Terms

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Stanmore Resources (ASX:SMR) Business Description

Traded in Other Exchanges
Address
12 Creek Street, Level 32, Brisbane, QLD, AUS, 4000
Stanmore Resources Ltd is an Australian resources company with operations and exploration projects in the Bowen and Surat Basins. Its foundation asset is the Isaac Plains Complex that comprises current open-cut operations at Isaac Plains East and the Isaac Downs Open Cut, as well as the Isaac Plains Underground development project.

Stanmore Resources (ASX:SMR) Headlines

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