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Shenzhen Mindray Bio-Medical Electronics Co (SZSE:300760) Operating Margin %

: 43.67% (As of Sep. 2023)
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Operating Margin % is calculated as Operating Income divided by its Revenue. Shenzhen Mindray Bio-Medical Electronics Co's Operating Income for the three months ended in Sep. 2023 was ¥3,855 Mil. Shenzhen Mindray Bio-Medical Electronics Co's Revenue for the three months ended in Sep. 2023 was ¥8,828 Mil. Therefore, Shenzhen Mindray Bio-Medical Electronics Co's Operating Margin % for the quarter that ended in Sep. 2023 was 43.67%.

Good Sign:

Shenzhen Mindray Bio-Medical Electronics Co Ltd operating margin is expanding. Margin expansion is usually a good sign.

The historical rank and industry rank for Shenzhen Mindray Bio-Medical Electronics Co's Operating Margin % or its related term are showing as below:

SZSE:300760' s Operating Margin % Range Over the Past 10 Years
Min: 12.14   Med: 30.37   Max: 36.57
Current: 36.57


SZSE:300760's Operating Margin % is ranked better than
97.3% of 815 companies
in the Medical Devices & Instruments industry
Industry Median: 1.27 vs SZSE:300760: 36.57

Shenzhen Mindray Bio-Medical Electronics Co's 5-Year Average Operating Margin % Growth Rate was 4.50% per year.

Shenzhen Mindray Bio-Medical Electronics Co's Operating Income for the three months ended in Sep. 2023 was ¥3,855 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Sep. 2023 was ¥12,569 Mil.


Shenzhen Mindray Bio-Medical Electronics Co Operating Margin % Historical Data

The historical data trend for Shenzhen Mindray Bio-Medical Electronics 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.

Shenzhen Mindray Bio-Medical Electronics Co Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22
Operating Margin %
Get a 7-Day Free Trial Premium Member Only 30.37 31.03 35.86 35.98 35.13

Shenzhen Mindray Bio-Medical Electronics Co Quarterly Data
Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23
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 37.46 26.20 35.69 38.33 43.67

Competitive Comparison

For the Medical Devices subindustry, Shenzhen Mindray Bio-Medical Electronics 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.


Shenzhen Mindray Bio-Medical Electronics Co Operating Margin % Distribution

For the Medical Devices & Instruments industry and Healthcare sector, Shenzhen Mindray Bio-Medical Electronics Co's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Shenzhen Mindray Bio-Medical Electronics Co's Operating Margin % falls into.



Shenzhen Mindray Bio-Medical Electronics 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.

Shenzhen Mindray Bio-Medical Electronics Co's Operating Margin % for the fiscal year that ended in Dec. 2022 is calculated as

Operating Margin %=Operating Income (A: Dec. 2022 ) / Revenue (A: Dec. 2022 )
=10667.661 / 30365.644
=35.13 %

Shenzhen Mindray Bio-Medical Electronics Co's Operating Margin % for the quarter that ended in Sep. 2023 is calculated as

Operating Margin %=Operating Income (Q: Sep. 2023 ) / Revenue (Q: Sep. 2023 )
=3855.092 / 8828.024
=43.67 %

* 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.


Shenzhen Mindray Bio-Medical Electronics Co  (SZSE:300760) 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.


Shenzhen Mindray Bio-Medical Electronics Co Operating Margin % Related Terms

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Shenzhen Mindray Bio-Medical Electronics Co (SZSE:300760) Business Description

Traded in Other Exchanges
N/A
Address
Keji 12th Road South, Mindray Building, Hi-tech Industrial Park, Nanshan, Shenzhen, CHN, 518057
Shenzhen Mindray Bio-Medical Electronics Co Ltd is a developer, manufacturer, and supplier of medical devices. The company is focused on the medical industry in the fields of Patient Monitoring & Life Support, InVitro Diagnostics, and Medical Imaging.

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