BHP Group Ltd
JSE:BHG

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BHP Group Ltd
JSE:BHG
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Price: 58 250 Zac 1.49%
Market Cap: 3T ZAR

Operating Margin

38.2%
Current
Declining
by 1.2%
vs 3-y average of 39.4%

Operating Margin shows how much profit a company makes from its regular business activities after covering operating costs. It helps measure how efficiently the company turns sales into profit.

Operating Margin
38.2%
=
Operating Income
$19.6B
/
Revenue
$51.3B

Operating Margin shows how much profit a company makes from its regular business activities after covering operating costs. It helps measure how efficiently the company turns sales into profit.

Operating Margin
38.2%
=
Operating Income
Zac19.6B
/
Revenue
$51.3B

Peer Comparison

Country Company Market Cap Operating
Margin
AU
BHP Group Ltd
ASX:BHP
256.1B AUD
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AU
Rio Tinto Ltd
ASX:RIO
255.5B AUD
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US
Southern Copper Corp
NYSE:SCCO
161.2B USD
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UK
Rio Tinto PLC
LSE:RIO
112B GBP
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ZA
Kumba Iron Ore Ltd
JSE:KIO
120.6B ZAR
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US
Freeport-McMoRan Inc
NYSE:FCX
89.4B USD
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CH
Glencore PLC
LSE:GLEN
60.1B GBP
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BR
Vale SA
BOVESPA:VALE3
381B BRL
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AU
Wesfarmers Ltd
ASX:WES
97.7B AUD
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MX
Grupo Mexico SAB de CV
BMV:GMEXICOB
1.6T MXN
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CN
CMOC Group Ltd
SSE:603993
470B CNY
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Market Distribution

Higher than 93% of companies in Australia
Percentile
93rd
Based on 3 951 companies
93rd percentile
38.2%
Low
-14 949 200% — -526.4%
Typical Range
-526.4% — 6.1%
High
6.1% — 145 596.9%
Distribution Statistics
Australia
Min -14 949 200%
30th Percentile -526.4%
Median -25.2%
70th Percentile 6.1%
Max 145 596.9%

BHP Group Ltd
Glance View

BHP Group Ltd., often perceived as a colossus in the world of mining, stands as a paragon of effective resource management and operational excellence. Originally rooted in Melbourne, this behemoth of a company has built an empire on the extraction and processing of essential raw materials. Its operations span the globe, with a portfolio primarily focusing on four pillars: iron ore, copper, coal, and petroleum. Each of these commodities serves critical roles in global industries—iron ore for steel production, copper for electrical systems, coal for energy, and petroleum for fuel and chemical products. BHP's extensive mining infrastructure and advanced technological integration enable it to efficiently extract and transport these materials to markets worldwide, capitalizing on scale, safety, and sustainability to enhance profitability. At the heart of BHP's financial engine lies its strategic emphasis on cost efficiency and expanding high-margin operations. The company systematically invests in innovation and development to optimize ore grades and extend the life of its mines, ensuring a steady stream of production that aligns with market demand. By hedging against the volatility typical of commodity markets through long-term contracts and judicious price management, BHP achieves a remarkable balance between risk and reward. Furthermore, the group's diversified portfolio mitigates exposure to downturns in any single commodity market. This approach not only fortifies its revenue streams but also positions BHP as a resilient entity amidst shifting global economic landscapes—a mining titan continually adapting to the minutes of time.

BHG Intrinsic Value
50 309.61 Zac
Overvaluation 14%
Intrinsic Value
Price
What is Operating Margin?
Operating Margin shows how much profit a company makes from its regular business activities after covering operating costs. It helps measure how efficiently the company turns sales into profit.
How is Operating Margin calculated?

Operating Margin is calculated by dividing the Operating Income by the Revenue.

Operating Margin
38.2%
=
Operating Income
$19.6B
/
Revenue
$51.3B
What is BHP Group Ltd's current Operating Margin?

The current Operating Margin for BHP Group Ltd is 38.2%, which is below its 3-year median of 39.4%.

How has Operating Margin changed over time?

Over the last 3 years, BHP Group Ltd’s Operating Margin has decreased from 51.4% to 38.2%. During this period, it reached a low of 34.9% on Dec 31, 2023 and a high of 51.4% on Jun 30, 2022.

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