Switch to:
Group 1 Automotive Inc (NYSE:GPI)
Net Margin
0.67% (As of Jun. 2014)

Net margin is calculated as net income divided by its revenue. Group 1 Automotive Inc's net income for the three months ended in Jun. 2014 was $17 Mil. Group 1 Automotive Inc's revenue for the three months ended in Jun. 2014 was $2,512 Mil. Therefore, Group 1 Automotive Inc's net margin for the quarter that ended in Jun. 2014 was 0.67%.

GPI' s 10-Year Net Margin Range
Min: -0.56   Max: 1.68
Current: 1.28

-0.56
1.68
GPI's Net Marginis ranked lower than
51% of the 1213 Companies
in the Global Auto & Truck Dealerships industry.

( Industry Median: 4.34 vs. GPI: 1.28 )

Definition

Net margin - also known as net profit margin is the ratio of Net Income divided by net sales or Revenue, usually presented in percent.

Group 1 Automotive Inc's Net Margin for the fiscal year that ended in Dec. 2013 is calculated as

Net Margin=Net Income (A: Dec. 2013 )/Revenue (A: Dec. 2013 )
=113.992/8918.581
=1.28 %

Group 1 Automotive Inc's Net Margin for the quarter that ended in Jun. 2014 is calculated as

Net Margin=Net Income (Q: Jun. 2014 )/Revenue (Q: Jun. 2014 )
=16.862/2511.638
=0.67 %

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.


Explanation

Although Net Income and Earnings-per-Share (EPS) are the most widely used parameter in measuring a company’s profitability and valuation, it is the least reliable. The reason is that reported earnings can be manipulated easily by adjusting any numbers such as Depreciation, Depletion and Amotorization and non-recurring items.

But the long term trend of the net margin is a good indicator of the competitiveness and health of the business.


Related Terms

Net Income, Revenue, Cost of Goods Sold, Selling, General, & Admin. Expense, Research & Development, Depreciation, Depletion and Amortization, Interest Expense, Non-Recurring Items, Tax Expense


Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.

Group 1 Automotive Inc Annual Data

Dec04Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13
netmargin 0.510.911.451.06-0.560.770.911.361.341.28

Group 1 Automotive Inc Quarterly Data

Mar12Jun12Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14
netmargin 1.391.511.590.881.131.601.400.951.380.67
Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)
Free 7-day Trial
FEEDBACK