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Helmerich & Payne Inc (NYSE:HP)
Net Margin
17.13% (As of Sep. 2014)

Net margin is calculated as net income divided by its revenue. Helmerich & Payne Inc's net income for the three months ended in Sep. 2014 was $169 Mil. Helmerich & Payne Inc's revenue for the three months ended in Sep. 2014 was $985 Mil. Therefore, Helmerich & Payne Inc's net margin for the quarter that ended in Sep. 2014 was 17.13%.

HP' s 10-Year Net Margin Range
Min: 0.74   Max: 27.57
Current: 19.05

0.74
27.57
HP's Net Marginis ranked higher than
92% of the 185 Companies
in the Global Oil & Gas Drilling industry.

( Industry Median: 4.51 vs. HP: 19.05 )

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.

Helmerich & Payne Inc's Net Margin for the fiscal year that ended in Sep. 2014 is calculated as

Net Margin=Net Income (A: Sep. 2014 )/Revenue (A: Sep. 2014 )
=708.719/3719.707
=19.05 %

Helmerich & Payne Inc's Net Margin for the quarter that ended in Sep. 2014 is calculated as

Net Margin=Net Income (Q: Sep. 2014 )/Revenue (Q: Sep. 2014 )
=168.688/985.038
=17.13 %

* 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.

Helmerich & Payne Inc Annual Data

Sep05Sep06Sep07Sep08Sep09Sep10Sep11Sep12Sep13Sep14
netmargin 15.9423.9927.5722.6719.188.3417.0718.4421.7519.05

Helmerich & Payne Inc Quarterly Data

Jun12Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14
netmargin 18.2918.9418.9018.0231.6818.4819.4819.5420.2017.13
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