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W R Grace & Co (NYSE:GRA)
Net Margin
9.91% (As of Jun. 2016)

Net margin is calculated as net income divided by its revenue. W R Grace & Co's net income for the three months ended in Jun. 2016 was $39 Mil. W R Grace & Co's revenue for the three months ended in Jun. 2016 was $391 Mil. Therefore, W R Grace & Co's net margin for the quarter that ended in Jun. 2016 was 9.91%.

GRA' s Net Margin Range Over the Past 10 Years
Min: 0.65   Max: 8.52
Current: 3.05

0.65
8.52
GRA's Net Margin is ranked lower than
62% of the 1066 Companies
in the Global Specialty Chemicals industry.

( Industry Median: 4.45 vs. GRA: 3.05 )

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.

W R Grace & Co's Net Margin for the fiscal year that ended in Dec. 2015 is calculated as

Net Margin=Net Income (A: Dec. 2015 )/Revenue (A: Dec. 2015 )
=144.2/3051.5
=4.73 %

W R Grace & Co's Net Margin for the quarter that ended in Jun. 2016 is calculated as

Net Margin=Net Income (Q: Jun. 2016 )/Revenue (Q: Jun. 2016 )
=38.7/390.5
=9.91 %

* 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.

W R Grace & Co Annual Data

Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14Dec15
netmargin 0.652.853.662.527.746.841.278.378.524.73

W R Grace & Co Quarterly Data

Mar14Jun14Sep14Dec14Mar15Jun15Sep15Dec15Mar16Jun16
netmargin 6.7316.258.701.9313.2714.101.752.68-0.749.91
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