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Jack Henry & Associates, Inc (NAS:JKHY)
Net Margin
15.54% (As of Mar. 2014)

Net margin is calculated as net income divided by its revenue. Jack Henry & Associates, Inc's net income for the three months ended in Mar. 2014 was $47 Mil. Jack Henry & Associates, Inc's revenue for the three months ended in Mar. 2014 was $301 Mil. Therefore, Jack Henry & Associates, Inc's net margin for the quarter that ended in Mar. 2014 was 15.54%.

JKHY' s 10-Year Net Margin Range
Min: 12.21   Max: 18.96
Current: 15.64

12.21
18.96
JKHY's Net Marginis ranked higher than
90% of the 978 Companies
in the Global Business Services industry.

( Industry Median: 4.38 vs. JKHY: 15.64 )

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.

Jack Henry & Associates, Inc's Net Margin for the fiscal year that ended in Jun. 2013 is calculated as

Net Margin=Net Income (A: Jun. 2013 )/Revenue (A: Jun. 2013 )
=176.645/1129.386
=15.64 %

Jack Henry & Associates, Inc's Net Margin for the quarter that ended in Mar. 2014 is calculated as

Net Margin=Net Income (Q: Mar. 2014 )/Revenue (Q: Mar. 2014 )
=46.757/300.929
=15.54 %

* 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.

Jack Henry & Associates, Inc Annual Data

Jun04Jun05Jun06Jun07Jun08Jun09Jun10Jun11Jun12Jun13
netmargin 13.3314.0915.1815.6714.0313.8314.0914.2215.0915.64

Jack Henry & Associates, Inc Quarterly Data

Dec11Mar12Jun12Sep12Dec12Mar13Jun13Sep13Dec13Mar14
netmargin 15.0614.3016.2515.6714.5316.3415.9916.8417.8415.54
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