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KLA-Tencor Corp (NAS:KLAC)
Net Margin
11.24% (As of Sep. 2014)

Net margin is calculated as net income divided by its revenue. KLA-Tencor Corp's net income for the three months ended in Sep. 2014 was $72 Mil. KLA-Tencor Corp's revenue for the three months ended in Sep. 2014 was $643 Mil. Therefore, KLA-Tencor Corp's net margin for the quarter that ended in Sep. 2014 was 11.24%.

KLAC' s 10-Year Net Margin Range
Min: -34.43   Max: 25.02
Current: 18.66

-34.43
25.02
KLAC's Net Marginis ranked higher than
93% of the 1103 Companies
in the Global Semiconductor Equipment & Materials industry.

( Industry Median: 3.27 vs. KLAC: 18.66 )

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.

KLA-Tencor Corp'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 )
=582.755/2929.408
=19.89 %

KLA-Tencor Corp'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 )
=72.233/642.901
=11.24 %

* 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.

KLA-Tencor Corp Annual Data

Jun05Jun06Jun07Jun08Jun09Jun10Jun11Jun12Jun13Jun14
netmargin 21.3818.3719.3414.24-34.4311.6625.0223.8319.1119.89

KLA-Tencor Corp Quarterly Data

Jun12Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14
netmargin 27.7718.7815.8422.8218.7216.8919.7524.4817.5311.24
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