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Guangzhou Kingmed Diagnostics Group Co (SHSE:603882) Operating Margin % : 4.43% (As of Mar. 2025)


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What is Guangzhou Kingmed Diagnostics Group Co Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Guangzhou Kingmed Diagnostics Group Co's Operating Income for the three months ended in Mar. 2025 was ¥65 Mil. Guangzhou Kingmed Diagnostics Group Co's Revenue for the three months ended in Mar. 2025 was ¥1,467 Mil. Therefore, Guangzhou Kingmed Diagnostics Group Co's Operating Margin % for the quarter that ended in Mar. 2025 was 4.43%.

Warning Sign:

Guangzhou Kingmed Diagnostics Group Co Ltd operating margin has been in a 5-year decline. The average rate of decline per year is -10.5%.

The historical rank and industry rank for Guangzhou Kingmed Diagnostics Group Co's Operating Margin % or its related term are showing as below:

SHSE:603882' s Operating Margin % Range Over the Past 10 Years
Min: 6.3   Med: 8.82   Max: 24.07
Current: 6.3


SHSE:603882's Operating Margin % is ranked better than
61.54% of 208 companies
in the Medical Diagnostics & Research industry
Industry Median: -4.025 vs SHSE:603882: 6.30

Guangzhou Kingmed Diagnostics Group Co's 5-Year Average Operating Margin % Growth Rate was -10.50% per year.

Guangzhou Kingmed Diagnostics Group Co's Operating Income for the three months ended in Mar. 2025 was ¥65 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2025 was ¥429 Mil.

Warning Sign:

Guangzhou Kingmed Diagnostics Group Co Ltd has recorded a loss in operating income at least once over the past 3 years.


Guangzhou Kingmed Diagnostics Group Co Operating Margin % Historical Data

The historical data trend for Guangzhou Kingmed Diagnostics Group Co'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.

Guangzhou Kingmed Diagnostics Group Co Operating Margin % Chart

Guangzhou Kingmed Diagnostics Group Co Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 23.02 24.07 23.24 11.49 6.64

Guangzhou Kingmed Diagnostics Group Co Quarterly Data
Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
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 6.16 13.85 7.72 -3.35 4.43

Competitive Comparison of Guangzhou Kingmed Diagnostics Group Co's Operating Margin %

For the Diagnostics & Research subindustry, Guangzhou Kingmed Diagnostics Group Co'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.


Guangzhou Kingmed Diagnostics Group Co's Operating Margin % Distribution in the Medical Diagnostics & Research Industry

For the Medical Diagnostics & Research industry and Healthcare sector, Guangzhou Kingmed Diagnostics Group Co's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Guangzhou Kingmed Diagnostics Group Co's Operating Margin % falls into.


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Guangzhou Kingmed Diagnostics Group Co 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.

Guangzhou Kingmed Diagnostics Group Co's Operating Margin % for the fiscal year that ended in Dec. 2024 is calculated as

Operating Margin %=Operating Income (A: Dec. 2024 ) / Revenue (A: Dec. 2024 )
=477.6 / 7189.545
=6.64 %

Guangzhou Kingmed Diagnostics Group Co's Operating Margin % for the quarter that ended in Mar. 2025 is calculated as

Operating Margin %=Operating Income (Q: Mar. 2025 ) / Revenue (Q: Mar. 2025 )
=64.955 / 1466.505
=4.43 %

* 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.


Guangzhou Kingmed Diagnostics Group Co  (SHSE:603882) 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.


Guangzhou Kingmed Diagnostics Group Co Operating Margin % Related Terms

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Guangzhou Kingmed Diagnostics Group Co Business Description

Traded in Other Exchanges
N/A
Address
International Biological Island spiral three on the 10th, Guangdong Province, Guangzhou, CHN, 510000
Founded in 1994, KingMed is the largest independent clinical laboratory in China. It was listed on the Shanghai Stock Exchange in 2017. As of 2024, KingMed has 50 centralized labs and provides over 4000 test items. Over 90% of its total revenue comes from clinical diagnostics. Furthermore, KingMed has been actively investing in its cold chain logistics. Its service network covers the most intensely populated areas in China.
Executives
Hao Bi Xi Directors, senior managers
Wang Ling Lai Director
Yu Shi Hui senior management
Liang Yao Ming Director
Peng Yong Xiang Director

Guangzhou Kingmed Diagnostics Group Co Headlines

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