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Sharda Cropchem (BOM:538666) Operating Margin % : 54.32% (As of Mar. 2024)


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What is Sharda Cropchem Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Sharda Cropchem's Operating Income for the three months ended in Mar. 2024 was ₹7,127 Mil. Sharda Cropchem's Revenue for the three months ended in Mar. 2024 was ₹13,121 Mil. Therefore, Sharda Cropchem's Operating Margin % for the quarter that ended in Mar. 2024 was 54.32%.

Good Sign:

Sharda Cropchem Ltd operating margin is expanding. Margin expansion is usually a good sign.

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

BOM:538666' s Operating Margin % Range Over the Past 10 Years
Min: 12.62   Med: 16.56   Max: 22.04
Current: 16.19


BOM:538666's Operating Margin % is ranked better than
84.58% of 240 companies
in the Agriculture industry
Industry Median: 5.37 vs BOM:538666: 16.19

Sharda Cropchem's 5-Year Average Operating Margin % Growth Rate was 6.60% per year.

Sharda Cropchem's Operating Income for the three months ended in Mar. 2024 was ₹7,127 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2024 was ₹5,120 Mil.


Sharda Cropchem Operating Margin % Historical Data

The historical data trend for Sharda Cropchem'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.

Sharda Cropchem Operating Margin % Chart

Sharda Cropchem Annual Data
Trend Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 12.62 13.72 14.32 22.04 16.16

Sharda Cropchem Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 44.83 -21.80 -6.73 -3.57 54.32

Competitive Comparison of Sharda Cropchem's Operating Margin %

For the Agricultural Inputs subindustry, Sharda Cropchem'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.


Sharda Cropchem's Operating Margin % Distribution in the Agriculture Industry

For the Agriculture industry and Basic Materials sector, Sharda Cropchem's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Sharda Cropchem's Operating Margin % falls into.



Sharda Cropchem 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.

Sharda Cropchem's Operating Margin % for the fiscal year that ended in Mar. 2024 is calculated as

Operating Margin %=Operating Income (A: Mar. 2024 ) / Revenue (A: Mar. 2024 )
=5110.724 / 31630.245
=16.16 %

Sharda Cropchem's Operating Margin % for the quarter that ended in Mar. 2024 is calculated as

Operating Margin %=Operating Income (Q: Mar. 2024 ) / Revenue (Q: Mar. 2024 )
=7127.25 / 13120.504
=54.32 %

* 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.


Sharda Cropchem  (BOM:538666) 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.


Sharda Cropchem Operating Margin % Related Terms

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Sharda Cropchem (BOM:538666) Business Description

Traded in Other Exchanges
Address
Dashrathlal Joshi Road, 2nd Floor, Prime Business Park, Vile Parle (West), Mumbai, MH, IND, 400 056
Sharda Cropchem Ltd is an agrochemical company based in India. It markets and sells formulations and active ingredients for agricultural purposes world wide through its subsidiaries. its business is obtained from the European continent. Its customers are also spread across North America, Latin America, and the Rest of the world. The company functions through two segments, which are Agrochemicals, and Non Agrochemicals. The company earns its income through the development and sale of agrochemicals such as insecticides, herbicides, fungicides, and biocides. The company also sells conveyor belts and V-belts under the belts segment.

Sharda Cropchem (BOM:538666) Headlines

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