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RR Donnelley & Sons Co (NAS:RRD)
Net Margin
0.64% (As of Dec. 2014)

Net margin is calculated as net income divided by its revenue. RR Donnelley & Sons Co's net income for the three months ended in Dec. 2014 was $20 Mil. RR Donnelley & Sons Co's revenue for the three months ended in Dec. 2014 was $3,069 Mil. Therefore, RR Donnelley & Sons Co's net margin for the quarter that ended in Dec. 2014 was 0.64%.

RRD' s 10-Year Net Margin Range
Min: -6.37   Max: 5.95
Current: 1.01

-6.37
5.95
RRD's Net Marginis ranked higher than
53% of the 1066 Companies
in the Global Business Services industry.

( Industry Median: 4.14 vs. RRD: 1.01 )

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.

RR Donnelley & Sons Co'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 )
=117.4/11603.4
=1.01 %

RR Donnelley & Sons Co's Net Margin for the quarter that ended in Dec. 2014 is calculated as

Net Margin=Net Income (Q: Dec. 2014 )/Revenue (Q: Dec. 2014 )
=19.5/3069.3
=0.64 %

* 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.

RR Donnelley & Sons Co Annual Data

Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14
netmargin 1.634.30-0.42-1.64-0.282.21-1.16-6.372.021.01

RR Donnelley & Sons Co Quarterly Data

Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14Dec14
netmargin 2.85-31.921.072.540.563.77-1.082.232.100.64
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