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BOE Technology Group Co (SZSE:000725) Operating Margin % : 3.92% (As of Mar. 2024)


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What is BOE Technology Group Co Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. BOE Technology Group Co's Operating Income for the three months ended in Mar. 2024 was ¥1,799 Mil. BOE Technology Group Co's Revenue for the three months ended in Mar. 2024 was ¥45,888 Mil. Therefore, BOE Technology Group Co's Operating Margin % for the quarter that ended in Mar. 2024 was 3.92%.

Warning Sign:

BOE Technology Group Co Ltd operating margin has been in a 5-year decline. The average rate of decline per year is -19.8%.

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

SZSE:000725' s Operating Margin % Range Over the Past 10 Years
Min: 1.97   Med: 7.8   Max: 18.83
Current: 3.37


SZSE:000725's Operating Margin % is ranked worse than
50.32% of 2462 companies
in the Hardware industry
Industry Median: 3.445 vs SZSE:000725: 3.37

BOE Technology Group Co's 5-Year Average Operating Margin % Growth Rate was -19.80% per year.

BOE Technology Group Co's Operating Income for the three months ended in Mar. 2024 was ¥1,799 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2024 was ¥6,143 Mil.


BOE Technology Group Co Operating Margin % Historical Data

The historical data trend for BOE Technology Group 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.

BOE Technology Group Co Operating Margin % Chart

BOE Technology Group Co Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 3.90 8.13 18.83 1.97 2.28

BOE Technology Group Co 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 -0.96 -0.27 3.31 6.08 3.92

Competitive Comparison of BOE Technology Group Co's Operating Margin %

For the Electronic Components subindustry, BOE Technology Group 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.


BOE Technology Group Co's Operating Margin % Distribution in the Hardware Industry

For the Hardware industry and Technology sector, BOE Technology Group Co's Operating Margin % distribution charts can be found below:

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



BOE Technology Group 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.

BOE Technology Group Co'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 )
=3978.413 / 174543.446
=2.28 %

BOE Technology Group Co'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 )
=1798.675 / 45887.57
=3.92 %

* 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.


BOE Technology Group Co  (SZSE:000725) 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.


BOE Technology Group Co Operating Margin % Related Terms

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BOE Technology Group Co (SZSE:000725) Business Description

Traded in Other Exchanges
Address
No. 10 Jiuxianqiao Road, Chaoyang District, Beijing, CHN, 100015
BOE Technology Group Co Ltd is an investment holding company. The reportable segments of the company are Display device business; Internet of things innovation business; Sensing business; MLED business; Smart medical and industrial business and others. It generates maximum revenue from Display device business segment. The Display business segment integrates design and manufacturing of display devices and strives to offer TFT-LCD, AMOLED, Microdisplay, and other intelligent interface devices, which develops a platform that integrates panels, modules, whole widget, and services.

BOE Technology Group Co (SZSE:000725) Headlines

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