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Resolute Mining (ASX:RSG) Operating Margin % : 8.47% (As of Dec. 2023)


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What is Resolute Mining Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Resolute Mining's Operating Income for the six months ended in Dec. 2023 was A$38.2 Mil. Resolute Mining's Revenue for the six months ended in Dec. 2023 was A$450.6 Mil. Therefore, Resolute Mining's Operating Margin % for the quarter that ended in Dec. 2023 was 8.47%.

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

ASX:RSG' s Operating Margin % Range Over the Past 10 Years
Min: -6.09   Med: 8.24   Max: 28.66
Current: 11.75


ASX:RSG's Operating Margin % is ranked better than
73.71% of 856 companies
in the Metals & Mining industry
Industry Median: 1.73 vs ASX:RSG: 11.75

Resolute Mining's 5-Year Average Operating Margin % Growth Rate was 0.00% per year.

Resolute Mining's Operating Income for the six months ended in Dec. 2023 was A$38.2 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 was A$110.7 Mil.


Resolute Mining Operating Margin % Historical Data

The historical data trend for Resolute Mining'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.

Resolute Mining Operating Margin % Chart

Resolute Mining Annual Data
Trend Jun14 Jun15 Jun16 Jun17 Jun18 Dec19 Dec20 Dec21 Dec22 Dec23
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -6.09 0.01 -3.00 7.50 11.76

Resolute Mining 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 % 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 -7.02 9.27 5.81 14.76 8.47

Competitive Comparison of Resolute Mining's Operating Margin %

For the Gold subindustry, Resolute Mining'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.


Resolute Mining's Operating Margin % Distribution in the Metals & Mining Industry

For the Metals & Mining industry and Basic Materials sector, Resolute Mining's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Resolute Mining's Operating Margin % falls into.



Resolute Mining 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.

Resolute Mining's Operating Margin % for the fiscal year that ended in Dec. 2023 is calculated as

Operating Margin %=Operating Income (A: Dec. 2023 ) / Revenue (A: Dec. 2023 )
=110.849 / 942.823
=11.76 %

Resolute Mining'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 )
=38.172 / 450.552
=8.47 %

* 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.


Resolute Mining  (ASX:RSG) 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.


Resolute Mining Operating Margin % Related Terms

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Resolute Mining (ASX:RSG) Business Description

Traded in Other Exchanges
Address
152 St Georges Terrace, Level 37, Central Park Tower, Perth, WA, AUS, 6000
Resolute Mining Ltd is an Australia-based gold producer. Its principal activities include gold mining, prospecting, and exploration of minerals. The company organizes its operations into three main business divisions, namely: Mako (Senegal), and Syama (Mali). The firm generates the majority of its revenue from the Syama (Mali) segment. Syama is a robust, long-life asset comprising an underground mine and associated sulphide processing circuit, along with satellite open pit operations which provide ore feed to a separate oxide processing circuit. Mako is a high-quality, open-pit gold mine.