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Shandong International Trust Co (HKSE:01697) Operating Margin % : 93.45% (As of Dec. 2023)


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What is Shandong International Trust Co Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Shandong International Trust Co's Operating Income for the six months ended in Dec. 2023 was HK$320.8 Mil. Shandong International Trust Co's Revenue for the six months ended in Dec. 2023 was HK$343.3 Mil. Therefore, Shandong International Trust Co's Operating Margin % for the quarter that ended in Dec. 2023 was 93.45%.

Good Sign:

Shandong International Trust Co Ltd operating margin is expanding. Margin expansion is usually a good sign.

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

HKSE:01697' s Operating Margin % Range Over the Past 10 Years
Min: 76   Med: 82.4   Max: 95.74
Current: 95.74


HKSE:01697's Operating Margin % is ranked better than
89.12% of 634 companies
in the Asset Management industry
Industry Median: 15.165 vs HKSE:01697: 95.74

Shandong International Trust Co's 5-Year Average Operating Margin % Growth Rate was 4.10% per year.

Shandong International Trust Co's Operating Income for the six months ended in Dec. 2023 was HK$320.8 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 was HK$920.2 Mil.


Shandong International Trust Co Operating Margin % Historical Data

The historical data trend for Shandong International Trust 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.

Shandong International Trust Co Operating Margin % Chart

Shandong International Trust 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 78.91 91.51 85.33 94.24 95.74

Shandong International Trust Co Semi-Annual Data
Dec14 Dec15 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 117.21 -134.01 133.32 97.02 93.45

Competitive Comparison of Shandong International Trust Co's Operating Margin %

For the Asset Management subindustry, Shandong International Trust 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.


Shandong International Trust Co's Operating Margin % Distribution in the Asset Management Industry

For the Asset Management industry and Financial Services sector, Shandong International Trust Co's Operating Margin % distribution charts can be found below:

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



Shandong International Trust 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.

Shandong International Trust 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 )
=920.224 / 961.151
=95.74 %

Shandong International Trust 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 )
=320.821 / 343.315
=93.45 %

* 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.


Shandong International Trust Co  (HKSE:01697) 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.


Shandong International Trust Co Operating Margin % Related Terms

Thank you for viewing the detailed overview of Shandong International Trust Co's Operating Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.


Shandong International Trust Co (HKSE:01697) Business Description

Traded in Other Exchanges
N/A
Address
166 Jiefang Road, Lixia District, Shandong Province, Jinan, CHN, 250013
Shandong International Trust Co Ltd provides financial and wealth management services. The company's business includes capital trust, asset trust, investment bank, asset management and securities investment funds. It has two business lines that are trust business and proprietary business. Shandong has developed a broad range of trust products to meet the financing, investment, wealth management and succession needs of their various types of clients.
Executives
Qing Dao Quan Qiu Cai Fu Zhong Xin Kai Fa Jian She You Xian Gong Si 2101 Beneficial owner
Qing Dao Shi Lao Shan Qu Cai Zheng Ju 2201 Interest of corporation controlled by you
Zhang Xin Ji Jin Guan Li You Xian Ze Ren Gong Si 2301 Trustee
Ji Nan Shi Ren Min Zheng Fu Guo You Zi Chan Jian Du Guan Li Wei Yuan Hui 2201 Interest of corporation controlled by you
Ji Nan Jin Rong Kong Gu Ji Tuan You Xian Gong Si 2101 Beneficial owner
China Create Capital Limited 2101 Beneficial owner
Hwabao Trust Co., Ltd 2301 Trustee
Shan Dong Fa Zhan Tou Zi Kong Gu Ji Tuan You Xian Gong Si

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