Switch to:
Level 3 Communications Inc (NYSE:LVLT)
Net Margin
0.05% (As of Sep. 2015)

Net margin is calculated as net income divided by its revenue. Level 3 Communications Inc's net income for the three months ended in Sep. 2015 was $1 Mil. Level 3 Communications Inc's revenue for the three months ended in Sep. 2015 was $2,062 Mil. Therefore, Level 3 Communications Inc's net margin for the quarter that ended in Sep. 2015 was 0.05%.

LVLT' s Net Margin Range Over the Past 10 Years
Min: -37.11   Max: 4.63
Current: 41.72

-37.11
4.63
LVLT's Net Margin is ranked higher than
98% of the 465 Companies
in the Global Telecom Services industry.

( Industry Median: 4.47 vs. LVLT: 41.72 )

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.

Level 3 Communications Inc's Net Margin for the fiscal year that ended in Dec. 2014 is calculated as

Net Margin=Net Income (A: Dec. 2014 )/Revenue (A: Dec. 2014 )
=314/6777
=4.63 %

Level 3 Communications Inc's Net Margin for the quarter that ended in Sep. 2015 is calculated as

Net Margin=Net Income (Q: Sep. 2015 )/Revenue (Q: Sep. 2015 )
=1/2062
=0.05 %

* 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.

Level 3 Communications Inc Annual Data

Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14Dec15
netmargin -22.02-26.10-7.39-16.43-17.32-17.45-6.62-1.734.6341.72

Level 3 Communications Inc Quarterly Data

Sep13Dec13Mar14Jun14Sep14Dec14Mar15Jun15Sep15Dec15
netmargin -1.340.876.963.145.223.455.94-0.630.05161.86
Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)

GuruFocus Premium Plus Membership

FEEDBACK