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Indian Railway Catering And Tourism (NSE:IRCTC) Operating Margin % : 33.99% (As of Dec. 2023)


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What is Indian Railway Catering And Tourism Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Indian Railway Catering And Tourism's Operating Income for the three months ended in Dec. 2023 was ₹3,801 Mil. Indian Railway Catering And Tourism's Revenue for the three months ended in Dec. 2023 was ₹11,183 Mil. Therefore, Indian Railway Catering And Tourism's Operating Margin % for the quarter that ended in Dec. 2023 was 33.99%.

Good Sign:

Indian Railway Catering And Tourism Corp Ltd operating margin is expanding. Margin expansion is usually a good sign.

The historical rank and industry rank for Indian Railway Catering And Tourism's Operating Margin % or its related term are showing as below:

NSE:IRCTC' s Operating Margin % Range Over the Past 10 Years
Min: 17.13   Med: 22.21   Max: 45.11
Current: 34.39


NSE:IRCTC's Operating Margin % is ranked better than
91.35% of 971 companies
in the Transportation industry
Industry Median: 7.69 vs NSE:IRCTC: 34.39

Indian Railway Catering And Tourism's 5-Year Average Operating Margin % Growth Rate was 18.40% per year.

Indian Railway Catering And Tourism's Operating Income for the three months ended in Dec. 2023 was ₹3,801 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 was ₹14,030 Mil.


Indian Railway Catering And Tourism Operating Margin % Historical Data

The historical data trend for Indian Railway Catering And Tourism'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.

Indian Railway Catering And Tourism Operating Margin % Chart

Indian Railway Catering And Tourism Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23
Operating Margin %
Get a 7-Day Free Trial 19.03 29.50 22.21 45.11 35.31

Indian Railway Catering And Tourism 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 34.36 35.37 32.87 35.42 33.99

Competitive Comparison of Indian Railway Catering And Tourism's Operating Margin %

For the Railroads subindustry, Indian Railway Catering And Tourism'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.


Indian Railway Catering And Tourism's Operating Margin % Distribution in the Transportation Industry

For the Transportation industry and Industrials sector, Indian Railway Catering And Tourism's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Indian Railway Catering And Tourism's Operating Margin % falls into.



Indian Railway Catering And Tourism 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.

Indian Railway Catering And Tourism's Operating Margin % for the fiscal year that ended in Mar. 2023 is calculated as

Operating Margin %=Operating Income (A: Mar. 2023 ) / Revenue (A: Mar. 2023 )
=12501.811 / 35407.641
=35.31 %

Indian Railway Catering And Tourism'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 )
=3800.662 / 11183.022
=33.99 %

* 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.


Indian Railway Catering And Tourism  (NSE:IRCTC) 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.


Indian Railway Catering And Tourism Operating Margin % Related Terms

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Indian Railway Catering And Tourism (NSE:IRCTC) Business Description

Traded in Other Exchanges
Address
Barakhamba Road, B-148, 11th Floor, Statesman House, New Delhi, IND, 110001
Indian Railway Catering And Tourism Corp Ltd is engaged in catering and hospitality services at stations, on trains, and other locations and to promote domestic and international tourism through the development of budget hotels, special tour packages, information and commercial publicity, and global reservation systems. The company's core services include Catering and Hospitality, Internet Ticketing, Travel and Tourism, and Packaged Drinking Water. A vast majority of its revenues are derived from the Catering business.

Indian Railway Catering And Tourism (NSE:IRCTC) Headlines

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