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PAL Group Holdings Co (TSE:2726) Operating Margin % : 10.85% (As of Nov. 2023)


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What is PAL Group Holdings Co Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. PAL Group Holdings Co's Operating Income for the three months ended in Nov. 2023 was 円5,249 Mil. PAL Group Holdings Co's Revenue for the three months ended in Nov. 2023 was 円48,400 Mil. Therefore, PAL Group Holdings Co's Operating Margin % for the quarter that ended in Nov. 2023 was 10.85%.

Good Sign:

PAL Group Holdings Co Ltd operating margin is expanding. Margin expansion is usually a good sign.

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

TSE:2726' s Operating Margin % Range Over the Past 10 Years
Min: 1.28   Med: 5.9   Max: 9.67
Current: 9.67


TSE:2726's Operating Margin % is ranked better than
77.93% of 1110 companies
in the Retail - Cyclical industry
Industry Median: 3.49 vs TSE:2726: 9.67

PAL Group Holdings Co's 5-Year Average Operating Margin % Growth Rate was 14.70% per year.

PAL Group Holdings Co's Operating Income for the three months ended in Nov. 2023 was 円5,249 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Nov. 2023 was 円18,609 Mil.


PAL Group Holdings Co Operating Margin % Historical Data

The historical data trend for PAL Group Holdings 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.

PAL Group Holdings Co Operating Margin % Chart

PAL Group Holdings Co Annual Data
Trend Feb15 Feb16 Feb17 Feb18 Feb19 Feb20 Feb21 Feb22 Feb23 Feb24
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 6.86 1.28 5.61 9.62 9.66

PAL Group Holdings Co Quarterly Data
May19 Aug19 Nov19 Feb20 May20 Aug20 Nov20 Feb21 May21 Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24
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 7.85 12.14 9.74 10.85 6.12

Competitive Comparison of PAL Group Holdings Co's Operating Margin %

For the Apparel Retail subindustry, PAL Group Holdings 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.


PAL Group Holdings Co's Operating Margin % Distribution in the Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, PAL Group Holdings Co's Operating Margin % distribution charts can be found below:

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



PAL Group Holdings 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.

PAL Group Holdings Co's Operating Margin % for the fiscal year that ended in Feb. 2024 is calculated as

Operating Margin %=Operating Income (A: Feb. 2024 ) / Revenue (A: Feb. 2024 )
=18609 / 192544
=9.66 %

PAL Group Holdings Co's Operating Margin % for the quarter that ended in Nov. 2023 is calculated as

Operating Margin %=Operating Income (Q: Nov. 2023 ) / Revenue (Q: Nov. 2023 )
=5249 / 48400
=10.85 %

* 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.


PAL Group Holdings Co  (TSE:2726) 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.


PAL Group Holdings Co Operating Margin % Related Terms

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PAL Group Holdings Co (TSE:2726) Business Description

Traded in Other Exchanges
N/A
Address
3-6-1, Doshumachi, 10th floor, Keihanshin Midosuji Building, Chuo-ku, Osaka, JPN, 541-0041
PAL Group Holdings Co Ltd is a holding company with subsidiaries that are manufacturers and retailers of women's clothing, men's clothing, and miscellaneous goods. The company's stores operate under dozens of brands, including Asoko, Beardsley, Capricieux Lemage, Chez toi, Ciaopanic, Colle, Discoat, Daily Russet, Dou Dou, CPCM, Lattice, Kastane, Mystic, 3 Coins, Who's Who, Goocy, Live Tart, Prose Verse, Loungedress, Omekashi, and Recette. PAL Group's brands have stores located in Japan and offer on-line ordering.

PAL Group Holdings Co (TSE:2726) Headlines

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