Hydro One Ltd
TSX:H

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Hydro One Ltd Logo
Hydro One Ltd
TSX:H
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Price: 49.66 CAD -0.08% Market Closed
Market Cap: 29.8B CAD

Operating Margin
Hydro One Ltd

23.7%
Current
23%
Average
14.2%
Industry

Operating Margin represents how efficiently a company is able to generate profit through its core operations.

Higher ratios are generally better, illustrating the company is efficient in its operations and is good at turning sales into profits.

Operating Margin
23.7%
=
Operating Profit
2.1B
/
Revenue
8.7B

Operating Margin Across Competitors

Hydro One Ltd
Glance View

Economic Moat
None
Market Cap
29.8B CAD
Industry
Utilities

Hydro One Ltd. is a cornerstone of Ontario's electric utility landscape, rooted deeply in the province's economic engine as the largest electricity transmission and distribution service provider. The company's origins date back to the Hydro-Electric Power Commission of Ontario, which was established to harness and deliver power across vast, sparsely populated regions. Over the decades, Hydro One has evolved, transforming from a government-controlled entity to a publicly traded company, although the Province of Ontario maintains a significant ownership stake. This transition has enabled the company to modernize its operations while continuing its mission of ensuring a reliable energy supply throughout Ontario. In terms of operations, Hydro One's business model revolves around its extensive network of transmission and distribution assets. The transmission system delivers high-voltage electricity from power generators to local distribution networks, while the distribution network brings electricity directly to homes and businesses. The company generates revenue primarily through regulated rates set by the Ontario Energy Board, which provides a stable cash flow, anchoring its business against market volatility. This model not only supports Hydro One's financial health but also allows for consistent reinvestment in infrastructure and technology, ensuring the ongoing resilience and adaptability of Ontario's power grid amidst shifting energy landscapes and growing consumer demand.

H Intrinsic Value
53.5 CAD
Undervaluation 7%
Intrinsic Value
Price
What is Operating Margin?

Operating Margin represents how efficiently a company is able to generate profit through its core operations.

Higher ratios are generally better, illustrating the company is efficient in its operations and is good at turning sales into profits.

Operating Margin
23.7%
=
Operating Profit
2.1B
/
Revenue
8.7B
What is the Operating Margin of Hydro One Ltd?

Based on Hydro One Ltd's most recent financial statements, the company has Operating Margin of 23.7%.

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