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Capcom Co (TSE:9697) Operating Margin %

: 44.39% (As of Dec. 2023)
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Operating Margin % is calculated as Operating Income divided by its Revenue. Capcom Co's Operating Income for the three months ended in Dec. 2023 was 円13,869 Mil. Capcom Co's Revenue for the three months ended in Dec. 2023 was 円31,245 Mil. Therefore, Capcom Co's Operating Margin % for the quarter that ended in Dec. 2023 was 44.39%.

Good Sign:

Capcom Co Ltd operating margin is expanding. Margin expansion is usually a good sign.

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

TSE:9697' s Operating Margin % Range Over the Past 10 Years
Min: 10.07   Med: 17.56   Max: 42.76
Current: 42.76


TSE:9697's Operating Margin % is ranked better than
95.88% of 583 companies
in the Interactive Media industry
Industry Median: 1.21 vs TSE:9697: 42.76

Capcom Co's 5-Year Average Operating Margin % Growth Rate was 21.80% per year.

Capcom Co's Operating Income for the three months ended in Dec. 2023 was 円13,869 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 was 円65,186 Mil.


Capcom Co Operating Margin % Historical Data

The historical data trend for Capcom 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.

Array ( [0] => - [1] => - [2] => - [3] => - [4] => - [5] => 18.14 [6] => 27.98 [7] => 36.30 [8] => 38.99 [9] => 40.35 )
Capcom Co 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 18.14 27.98 36.30 38.99 40.35

Capcom Co 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 37.37 37.79 54.83 31.50 44.39

Competitive Comparison

For the Electronic Gaming & Multimedia subindustry, Capcom 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.


Capcom Co Operating Margin % Distribution

For the Interactive Media industry and Communication Services sector, Capcom Co's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Capcom Co's Operating Margin % falls into.



Capcom 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.

Capcom Co'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 )
=50813 / 125930
=40.35 %

Capcom Co'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 )
=13869 / 31245
=44.39 %

* 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.


Capcom Co  (TSE:9697) 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.


Capcom Co Operating Margin % Related Terms

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Capcom Co (TSE:9697) Business Description

Traded in Other Exchanges
Address
3-1-3 Uchihirano-machi, Chuo-ku, Osaka-shi, Osaka, JPN, 540-0037
Capcom Co Ltd is a Japanese company that produces and sells videogame software, online games, mobile games, and operates amusement facilities. The company has operations in Japan, North America, Europe, Asia, and emerging markets. The majority of its revenue is split fairly evenly between Japan, Asia, North America, and Europe. Capcom's segments include Digital Contents, which sells mobile and PC games; Arcade Operations, which operates Plaza Capcom amusement facilities; Amusement Equipment, which sells frames and LCD devices for gaming machines and software; and Other Businesses. The company derives the vast majority of its revenue from its Digital Contents segment. Some of the firm's notable games include Resident Evil, Street Fighter, Monster Hunter, and Mega Man.

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