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Nippon Life India Asset Management (NSE:NAM-INDIA) Operating Margin %

: 59.68% (As of Dec. 2023)
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Operating Margin % is calculated as Operating Income divided by its Revenue. Nippon Life India Asset Management's Operating Income for the three months ended in Dec. 2023 was ₹2,526 Mil. Nippon Life India Asset Management's Revenue for the three months ended in Dec. 2023 was ₹4,233 Mil. Therefore, Nippon Life India Asset Management's Operating Margin % for the quarter that ended in Dec. 2023 was 59.68%.

Good Sign:

Nippon Life India Asset Management Ltd operating margin is expanding. Margin expansion is usually a good sign.

The historical rank and industry rank for Nippon Life India Asset Management's Operating Margin % or its related term are showing as below:

NSE:NAM-INDIA' s Operating Margin % Range Over the Past 10 Years
Min: 31.52   Med: 38.5   Max: 58.44
Current: 57.94


NSE:NAM-INDIA's Operating Margin % is ranked better than
81.23% of 634 companies
in the Asset Management industry
Industry Median: 13.595 vs NSE:NAM-INDIA: 57.94

Nippon Life India Asset Management's 5-Year Average Operating Margin % Growth Rate was 13.60% per year.

Nippon Life India Asset Management's Operating Income for the three months ended in Dec. 2023 was ₹2,526 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 was ₹8,825 Mil.


Nippon Life India Asset Management Operating Margin % Historical Data

The historical data trend for Nippon Life India Asset Management'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.

Nippon Life India Asset Management Annual Data
Trend Mar14 Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23
Operating Margin %
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 35.71 47.77 49.39 58.44 56.72

Nippon Life India Asset Management Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Operating Margin % 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 Premium Member Only Premium Member Only Premium Member Only 58.09 57.80 54.88 58.92 59.68

Competitive Comparison

For the Asset Management subindustry, Nippon Life India Asset Management'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.


Nippon Life India Asset Management Operating Margin % Distribution

For the Asset Management industry and Financial Services sector, Nippon Life India Asset Management's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Nippon Life India Asset Management's Operating Margin % falls into.



Nippon Life India Asset Management 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.

Nippon Life India Asset Management'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 )
=7655.9 / 13498.2
=56.72 %

Nippon Life India Asset Management'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 )
=2526.4 / 4233.2
=59.68 %

* 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.


Nippon Life India Asset Management  (NSE:NAM-INDIA) 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.


Nippon Life India Asset Management Operating Margin % Related Terms

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Nippon Life India Asset Management (NSE:NAM-INDIA) Business Description

Traded in Other Exchanges
Address
Ganapatrao Kadam Marg, 4th Floor, Tower A, Peninsula Business Park, Lower Parel (W), Mumbai, MH, IND, 400013
Nippon Life India Asset Management Ltd is an asset management company managing equity and fixed-income mutual funds. It engages in managing mutual funds including exchange-traded funds (ETFs); managed accounts, including portfolio management services, alternative investment funds, and pension funds; and offshore funds and advisory mandates. The group mainly focuses on equity funds, debt funds, gold funds, liquid funds, ETFs, retirement funds, and others.

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