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Humm Group (Humm Group) Operating Margin % : -287.70% (As of Dec. 2023)


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What is Humm Group Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Humm Group's Operating Income for the six months ended in Dec. 2023 was $-84.5 Mil. Humm Group's Revenue for the six months ended in Dec. 2023 was $29.4 Mil. Therefore, Humm Group's Operating Margin % for the quarter that ended in Dec. 2023 was -287.70%.

Warning Sign:

Humm Group Ltd operating margin has been in a 5-year decline. The average rate of decline per year is -7%.

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

HUMGF' s Operating Margin % Range Over the Past 10 Years
Min: 22.78   Med: 43.4   Max: 69.37
Current: 30.26


HUMGF's Operating Margin % is ranked better than
62.53% of 379 companies
in the Credit Services industry
Industry Median: 19.95 vs HUMGF: 30.26

Humm Group's 5-Year Average Operating Margin % Growth Rate was -7.00% per year.

Humm Group's Operating Income for the six months ended in Dec. 2023 was $-84.5 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 was $102.1 Mil.


Humm Group Operating Margin % Historical Data

The historical data trend for Humm Group'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.

Humm Group Operating Margin % Chart

Humm Group Annual Data
Trend Jun14 Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 39.34 22.78 36.11 25.67 33.67

Humm Group 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 -224.17 58.70 -210.84 60.75 -287.70

Competitive Comparison of Humm Group's Operating Margin %

For the Credit Services subindustry, Humm Group'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.


Humm Group's Operating Margin % Distribution in the Credit Services Industry

For the Credit Services industry and Financial Services sector, Humm Group's Operating Margin % distribution charts can be found below:

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



Humm Group 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.

Humm Group's Operating Margin % for the fiscal year that ended in Jun. 2023 is calculated as

Operating Margin %=Operating Income (A: Jun. 2023 ) / Revenue (A: Jun. 2023 )
=114.899 / 341.275
=33.67 %

Humm Group'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 )
=-84.538 / 29.384
=-287.70 %

* 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.


Humm Group  (OTCPK:HUMGF) 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.


Humm Group Operating Margin % Related Terms

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Humm Group (Humm Group) Business Description

Traded in Other Exchanges
Address
121 Harrington Street, Level 1, Sydney, NSW, AUS, 2000
Humm is a diversified finance provider with offerings centered on buy now pay later, or BNPL, credit cards and equipment finance. It facilitates purchases for over 2.7 million customers. Humm operates in Australia, New Zealand, Ireland, and Canada. While it caters for a diverse range of industries, its focus is on financing higher ticket items. Unlike the glut of new BNPL firms, Humm is established with a long operating history. Originally Flexigroup, Humm had a strategic refresh in 2019 where it has now consolidated to around four main brands in ANZ, from 20 before. In its earlier days, Humm focused on Visa and interest-free cards, lay-by, consumer leasing, commercial finance, and other payment solutions to consumers and small businesses.

Humm Group (Humm Group) Headlines

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