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S Alam Cold Rolled Steels (DHA:SALAMCRST) Operating Margin % : 19.68% (As of Dec. 2023)


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What is S Alam Cold Rolled Steels Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. S Alam Cold Rolled Steels's Operating Income for the three months ended in Dec. 2023 was BDT200 Mil. S Alam Cold Rolled Steels's Revenue for the three months ended in Dec. 2023 was BDT1,017 Mil. Therefore, S Alam Cold Rolled Steels's Operating Margin % for the quarter that ended in Dec. 2023 was 19.68%.

Good Sign:

S Alam Cold Rolled Steels Ltd operating margin is expanding. Margin expansion is usually a good sign.

The historical rank and industry rank for S Alam Cold Rolled Steels's Operating Margin % or its related term are showing as below:

DHA:SALAMCRST' s Operating Margin % Range Over the Past 10 Years
Min: 8.08   Med: 14.65   Max: 17.27
Current: 17.27


DHA:SALAMCRST's Operating Margin % is ranked better than
90.55% of 603 companies
in the Steel industry
Industry Median: 4.65 vs DHA:SALAMCRST: 17.27

S Alam Cold Rolled Steels's 5-Year Average Operating Margin % Growth Rate was 2.10% per year.

S Alam Cold Rolled Steels's Operating Income for the three months ended in Dec. 2023 was BDT200 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 was BDT879 Mil.


S Alam Cold Rolled Steels Operating Margin % Historical Data

The historical data trend for S Alam Cold Rolled Steels'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.

S Alam Cold Rolled Steels Operating Margin % Chart

S Alam Cold Rolled Steels Annual Data
Trend Sep13 Sep14 Sep15 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 15.67 14.84 14.71 16.85 16.07

S Alam Cold Rolled Steels Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 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 15.07 14.32 18.89 19.26 19.68

Competitive Comparison of S Alam Cold Rolled Steels's Operating Margin %

For the Steel subindustry, S Alam Cold Rolled Steels'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.


S Alam Cold Rolled Steels's Operating Margin % Distribution in the Steel Industry

For the Steel industry and Basic Materials sector, S Alam Cold Rolled Steels's Operating Margin % distribution charts can be found below:

* The bar in red indicates where S Alam Cold Rolled Steels's Operating Margin % falls into.



S Alam Cold Rolled Steels 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.

S Alam Cold Rolled Steels's Operating Margin % for the fiscal year that ended in Jun. 2023 is calculated as

Operating Margin %=Operating Income (A: Jun. 2023 ) / Revenue (A: Jun. 2023 )
=885.787 / 5512.855
=16.07 %

S Alam Cold Rolled Steels'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 )
=200.098 / 1016.801
=19.68 %

* 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.


S Alam Cold Rolled Steels  (DHA:SALAMCRST) 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.


S Alam Cold Rolled Steels Operating Margin % Related Terms

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S Alam Cold Rolled Steels (DHA:SALAMCRST) Business Description

Traded in Other Exchanges
N/A
Address
S. Alam Bhaban, Asadgonj, Chattogram, BGD, 2119
S Alam Cold Rolled Steels Ltd is a steel manufacturing company. Its business activities include manufacturing and marketing cold rolled steel strips and galvanized steel sheets. The company has two business segments - the Cold Rolled Strips segment, which includes purchasing hot roll and manufacturing and distribution of cold-rolled strips; and the Non-Oxide Furnace segment which comprises purchasing cold-rolled strips and manufacturing and distribution of galvanized steel sheets.

S Alam Cold Rolled Steels (DHA:SALAMCRST) Headlines

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