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Scicom MSC Bhd (XKLS:0099) Operating Margin % : 15.40% (As of Dec. 2023)


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What is Scicom MSC Bhd Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Scicom MSC Bhd's Operating Income for the three months ended in Dec. 2023 was RM9.7 Mil. Scicom MSC Bhd's Revenue for the three months ended in Dec. 2023 was RM62.9 Mil. Therefore, Scicom MSC Bhd's Operating Margin % for the quarter that ended in Dec. 2023 was 15.40%.

Warning Sign:

Scicom MSC Bhd operating margin has been in a 5-year decline. The average rate of decline per year is -3.1%.

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

XKLS:0099' s Operating Margin % Range Over the Past 10 Years
Min: 13.86   Med: 17.24   Max: 24.51
Current: 16.69


XKLS:0099's Operating Margin % is ranked better than
81.57% of 1058 companies
in the Business Services industry
Industry Median: 6.105 vs XKLS:0099: 16.69

Scicom MSC Bhd's 5-Year Average Operating Margin % Growth Rate was -3.10% per year.

Scicom MSC Bhd's Operating Income for the three months ended in Dec. 2023 was RM9.7 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 was RM39.9 Mil.


Scicom MSC Bhd Operating Margin % Historical Data

The historical data trend for Scicom MSC Bhd'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.

Scicom MSC Bhd Operating Margin % Chart

Scicom MSC Bhd 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 16.44 17.03 16.95 16.57 17.44

Scicom MSC Bhd Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 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 20.14 16.37 16.44 18.51 15.40

Competitive Comparison of Scicom MSC Bhd's Operating Margin %

For the Specialty Business Services subindustry, Scicom MSC Bhd'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.


Scicom MSC Bhd's Operating Margin % Distribution in the Business Services Industry

For the Business Services industry and Industrials sector, Scicom MSC Bhd's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Scicom MSC Bhd's Operating Margin % falls into.



Scicom MSC Bhd 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.

Scicom MSC Bhd'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 )
=42.788 / 245.341
=17.44 %

Scicom MSC Bhd'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 )
=9.681 / 62.851
=15.40 %

* 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.


Scicom MSC Bhd  (XKLS:0099) 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.


Scicom MSC Bhd Operating Margin % Related Terms

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


Scicom MSC Bhd (XKLS:0099) Business Description

Traded in Other Exchanges
N/A
Address
No. 22, Jalan P. Ramlee, 25th Floor Menara TA One, Kuala Lumpur, SGR, MYS, 50250
Scicom MSC Bhd is an investment holding company. The company is engaged in the provision of customer contact center services within the business process outsourcing space. The company operates through two segments namely Business Process Outsourcing services which generates maximum revenue for the company and Education Solutions. Its Outsourcing services segment comprises BPO services which offer multi-lingual, multi-channel customer care, technical support help desks, consultative sales, and associated fulfillment. The company's Education segment includes educational and industrial training services focused on customer care in the service industry. It provides services to clients geographically across Malaysia, Singapore, the Philippines, Hong Kong, Sri Lanka, Thailand, and China.

Scicom MSC Bhd (XKLS:0099) Headlines

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