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Aspen Pharmacare Holdings (Aspen Pharmacare Holdings) Operating Margin %

: 16.56% (As of Dec. 2023)
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Operating Margin % is calculated as Operating Income divided by its Revenue. Aspen Pharmacare Holdings's Operating Income for the six months ended in Dec. 2023 was $188 Mil. Aspen Pharmacare Holdings's Revenue for the six months ended in Dec. 2023 was $1,135 Mil. Therefore, Aspen Pharmacare Holdings's Operating Margin % for the quarter that ended in Dec. 2023 was 16.56%.

Warning Sign:

Aspen Pharmacare Holdings Ltd operating margin has been in a 5-year decline. The average rate of decline per year is -3.1%.

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

APNHY' s Operating Margin % Range Over the Past 10 Years
Min: 20.02   Med: 23.87   Max: 28.65
Current: 20.02


APNHY's Operating Margin % is ranked better than
84.09% of 1018 companies
in the Drug Manufacturers industry
Industry Median: 6.395 vs APNHY: 20.02

Aspen Pharmacare Holdings's 5-Year Average Operating Margin % Growth Rate was -3.10% per year.

Aspen Pharmacare Holdings's Operating Income for the six months ended in Dec. 2023 was $188 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 was $457 Mil.


Aspen Pharmacare Holdings Operating Margin % Historical Data

The historical data trend for Aspen Pharmacare Holdings'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.

Aspen Pharmacare Holdings Annual Data
Trend Jun14 Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23
Operating Margin %
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 24.30 24.08 21.51 22.77 21.97

Aspen Pharmacare Holdings 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 % 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 23.52 22.02 20.34 23.41 16.56

Competitive Comparison

For the Drug Manufacturers - Specialty & Generic subindustry, Aspen Pharmacare Holdings'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.


Aspen Pharmacare Holdings Operating Margin % Distribution

For the Drug Manufacturers industry and Healthcare sector, Aspen Pharmacare Holdings's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Aspen Pharmacare Holdings's Operating Margin % falls into.



Aspen Pharmacare Holdings 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.

Aspen Pharmacare Holdings'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 )
=477.092 / 2171.749
=21.97 %

Aspen Pharmacare Holdings'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 )
=187.841 / 1134.612
=16.56 %

* 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.


Aspen Pharmacare Holdings  (OTCPK:APNHY) 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.


Aspen Pharmacare Holdings Operating Margin % Related Terms

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Aspen Pharmacare Holdings (Aspen Pharmacare Holdings) Business Description

Traded in Other Exchanges
Address
Douglas Saunders Drive, Aspen Place, 9 Rydall Vale Park, La Lucia Ridge, Durban, NL, ZAF
Aspen Pharmacare Holdings Ltd is a specialty pharmaceutical company with a commercial footprint covering more than 50 countries and complex manufacturing capabilities in both API and finished dose form. The company focuses on a broad range of post-patent, branded medicines and domestic brands spanning many therapeutic areas. The company has four business segments such as Active Pharmaceutical Ingredients (API) - this segment includes the API Chemicals business and non-heparin biochemical API business, Heparin - this segment includes the full value chain contribution from all heparin containing products including API and Finished Dose. Form (FDF) sales Key products include the Fraxiparine and MonoEmbolex heparin containing FDF products and FDF Steriles segment.

Aspen Pharmacare Holdings (Aspen Pharmacare Holdings) Headlines

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