Megachem (SGX:5DS) Pretax Margin %: 3.65% (As of Dec. 2025) — 22% Below Median

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SGX:5DS Megachem Ltd SGX:5DS
44 GF Score
Price S$0.49
GF Value S$0.42
Valuation Modestly Overvalued
! 7 Warning Signs
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What is Megachem Pretax Margin %?

Megachem SGX:5DS 44 Pretax Margin % is 3.65% as of Dec. 2025, which is 22% below its 10-year median of 4.70. GuruFocus rates SGX:5DS with a GF Score™ of 44/100 and a GF Value™ of S$0.42 (Modestly Overvalued). The stock has 7 warning signs investors should review. Among 1,578 Chemicals companies, Megachem ranks worse than 59.57% on this metric.

Pre-Tax margin is calculated as Pre-Tax Income divided by its Revenue. Megachem's Pre-Tax Income for the six months ended in Dec. 2025 was S$2.2 Mil. Megachem's Revenue for the six months ended in Dec. 2025 was S$60.3 Mil. Therefore, Megachem's pretax margin for the quarter that ended in Dec. 2025 was 3.65%.

The historical rank and industry rank for Megachem's Pretax Margin % or its related term are showing as below:

SGX:5DS' s Pretax Margin % Range Over the Past 10 Years
Min: -4.34   Med: 4.7   Max: 6.75
Current: 3.43


SGX:5DS's Pretax Margin % is ranked worse than
59.57% of 1578 companies
in the Chemicals industry
Industry Median: 5.35 vs SGX:5DS: 3.43

Megachem  (SGX:5DS) Pretax Margin % Explanation

The pretax margin, as know as pretax profit margin, is widely used to measure the operating efficiency of a company before deducting taxes.

The pretax margin is sometimes preferred over the net margin as tax expenditures can make profitability comparisons between companies misleading.

It is a useful tool to compare companies operating in the same sector and less effective when comparing companies from other sectors as each industry generally has different operating expenses and sales patterns.

The long term trend of the pretax margin is a good indicator of the competitiveness and health of the business.


Megachem Pretax Margin % Related Terms


Megachem Pretax Margin % Historical Data

* Premium members only.

The historical data trend for Megachem's Pretax 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.

Megachem Pretax Margin % Chart

Megachem Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Pretax Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 6.61 5.45 -4.34 6.75 3.43

Megachem Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
Pretax 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 -10.59 4.48 9.07 3.22 3.65

SGX:5DS vs LIN, SHW, ECL: Pretax Margin % Comparison

For the Specialty Chemicals subindustry, Megachem's Pretax Margin %, along with its competitors' market caps and Pretax 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.


Megachem Pretax Margin % vs Chemicals Industry

For the Chemicals industry and Basic Materials sector, Megachem's Pretax Margin % distribution charts can be found below:

* The bar in red indicates where Megachem's Pretax Margin % falls into.


SGX:5DS
44GF Score
Megachem Ltd SGX:5DS
Pretax Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Megachem Pretax Margin % Calculation

Pretax margin - also known as pretax profit margin is the ratio of Pretax Income divided by net sales or Revenue, usually presented in percent.

Megachem's Pretax Margin for the fiscal year that ended in Dec. 2025 is calculated as

Pretax Margin=Pre-Tax Income (A: Dec. 2025 )/Revenue (A: Dec. 2025 )
=4.266/124.412
=3.43 %

Megachem's Pretax Margin for the quarter that ended in Dec. 2025 is calculated as

Pretax Margin=Pre-Tax Income (Q: Dec. 2025 )/Revenue (Q: Dec. 2025 )
=2.203/60.339
=3.65 %

* 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.

Frequently Asked Questions Learn more about Pretax Margin % →
What does a Pretax Margin % of 3.65% mean?
Megachem (SGX:5DS) has a Pretax Margin % of 3.65% as of Dec. 2025. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Megachem and its competitors. This is 22% below median its historical median of 4.70. According to the industry distribution chart, Megachem ranks #940 out of 1578 companies in the Chemicals industry, placing it in the top 59.6%.
Is Megachem's Pretax Margin % too high?
Megachem's current Pretax Margin % of 3.65% is 22% below median its 10-year median of 4.70. The Chemicals industry median Pretax Margin % is 5.35. Megachem's value of 3.65% is 31.8% below this industry median. Based on the distribution chart, Megachem ranks #940 out of 1578 companies in the Chemicals industry, which is below the industry midpoint. Overall, Megachem has a GF Score™ of 44/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Megachem's Pretax Margin % compare to LIN and SHW?
According to the Chemicals industry distribution chart, Megachem ranks #940 out of 1578 companies for Pretax Margin %. This places Megachem in the lower half of its industry. The industry median Pretax Margin % is 5.35. Megachem's value of 3.65% is 31.8% below this benchmark. While the company's 10-year median is 4.70 vs. the industry median of 5.35, Megachem has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Pretax Margin % for a Chemicals company?
The median Pretax Margin % among Chemicals companies is 5.35, based on 1,578 companies in the industry. Companies in the top quartile (top 25%) have a Pretax Margin % significantly above this median, while those in the bottom quartile fall well below. However, Pretax Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Megachem's current Pretax Margin % of 3.65% is 31.8% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Pretax Margin % mean?
A high Pretax Margin % can signal that a stock is expensive relative to its fundamentals. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Megachem and its competitors. For the Chemicals industry, the median Pretax Margin % is 5.35 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Megachem's current Pretax Margin % is 3.65%, which is 22% below median its own 10-year median of 4.70. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Megachem stock overvalued right now?
Based on GuruFocus' analysis, Megachem (SGX:5DS) is currently considered Modestly Overvalued. The stock's GF Value™ is S$0.42, compared to a current price of S$0.49 — trading 16.7% above its estimated fair value. The current Pretax Margin % is 3.65%, which is 22% below median its 10-year median of 4.70 and 31.8% below the Chemicals industry median of 5.35. Megachem's overall GF Score™ is 44/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Pretax Margin % calculated?
Pretax Margin % is calculated from a company's financial statements. For Megachem (SGX:5DS), the current Pretax Margin % is 3.65% as of Dec. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Megachem (SGX:5DS) Overvalued in 2026?

Based on GuruFocus' analysis, Megachem stock appears to be overvalued. The current stock price of S$0.49 is trading 16.7% above its estimated GF Value™ of S$0.42. GuruFocus considers Megachem to be Modestly Overvalued.

Key valuation signals for SGX:5DS:

  • Pretax Margin %: 3.65% (22% below median its 10-year median of 4.70)
  • GF Value™: S$0.42 vs. price of S$0.49 (16.7% above fair value)
  • GF Score™: 44/100 with 7 warning signs
  • Industry Position: 31.8% below the Chemicals median (#940 of 1578)

No single metric tells the full story. See the SGX:5DS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Megachem Business Description

Address 11 Tuas Link 1, Singapore, SGP, 638588
Megachem Ltd is a specialty chemical solutions provider, offering integrated value-added services including contract manufacturing tailored to customers' needs, as well as distribution of specialty chemicals. The company offers various specialty chemicals comprising adhesives, resins, polymers, cooling brine, anti-foam, surfactant, biocide, heat transfer fluid, plasticizer, silicone fluid, etc. Its customers belong to various industries, including textile, construction, biotech, oil and gas, pulp and paper, electronics, industrial cleaning, and others. The majority of the company's revenue is derived from its chemical distribution business. Megachem's operating segments are: Singapore, which generates the maximum revenue, Malaysia. the United Kingdom, China, Middle East, and Others.
44GF Score

Get the complete analysis for SGX:5DS

Pretax Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

S$0.49
Price
S$0.42
GF Value