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II-VI Inc (NAS:IIVI)
Net Margin
6.62% (As of Sep. 2014)

Net margin is calculated as net income divided by its revenue. II-VI Inc's net income for the three months ended in Sep. 2014 was $12.3 Mil. II-VI Inc's revenue for the three months ended in Sep. 2014 was $185.8 Mil. Therefore, II-VI Inc's net margin for the quarter that ended in Sep. 2014 was 6.62%.

IIVI' s 10-Year Net Margin Range
Min: 4.64   Max: 20.33
Current: 5.71

4.64
20.33
IIVI's Net Marginis ranked higher than
76% of the 2640 Companies
in the Global Scientific & Technical Instruments industry.

( Industry Median: 2.99 vs. IIVI: 5.71 )

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.

II-VI Inc's Net Margin for the fiscal year that ended in Jun. 2014 is calculated as

Net Margin=Net Income (A: Jun. 2014 )/Revenue (A: Jun. 2014 )
=38.449/683.261
=5.63 %

II-VI 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 )
=12.302/185.833
=6.62 %

* 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.

II-VI Inc Annual Data

Jun05Jun06Jun07Jun08Jun09Jun10Jun11Jun12Jun13Jun14
netmargin 11.984.6414.4320.3312.5911.1816.4411.289.225.63

II-VI Inc Quarterly Data

Jun12Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14
netmargin 10.559.619.7511.026.516.464.414.926.736.62
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