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CalAtlantic Group (CalAtlantic Group) Operating Margin % : 10.08% (As of Sep. 2017)


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What is CalAtlantic Group Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. CalAtlantic Group's Operating Income for the three months ended in Sep. 2017 was $155 Mil. CalAtlantic Group's Revenue for the three months ended in Sep. 2017 was $1,536 Mil. Therefore, CalAtlantic Group's Operating Margin % for the quarter that ended in Sep. 2017 was 10.08%.

The historical rank and industry rank for CalAtlantic Group's Operating Margin % or its related term are showing as below:


CAA's Operating Margin % is not ranked *
in the Homebuilding & Construction industry.
Industry Median: 8.915
* Ranked among companies with meaningful Operating Margin % only.

CalAtlantic Group's 5-Year Average Operating Margin % Growth Rate was 0.00% per year.

CalAtlantic Group's Operating Income for the three months ended in Sep. 2017 was $155 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Sep. 2017 was $600 Mil.


CalAtlantic Group Operating Margin % Historical Data

The historical data trend for CalAtlantic Group's Operating Margin % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

CalAtlantic Group Operating Margin % Chart

CalAtlantic Group Annual Data
Trend Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 6.49 13.62 14.21 11.03 11.37

CalAtlantic Group Quarterly Data
Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17
Operating Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 13.31 9.33 8.86 9.13 10.08

Competitive Comparison of CalAtlantic Group's Operating Margin %

For the Residential Construction subindustry, CalAtlantic Group's Operating Margin %, along with its competitors' market caps and Operating Margin % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


CalAtlantic Group's Operating Margin % Distribution in the Homebuilding & Construction Industry

For the Homebuilding & Construction industry and Consumer Cyclical sector, CalAtlantic Group's Operating Margin % distribution charts can be found below:

* The bar in red indicates where CalAtlantic Group's Operating Margin % falls into.



CalAtlantic Group Operating Margin % Calculation

Operating Margin % - also known as operating income margin, operating profit margin and return on sales (ROS) - is the ratio of Operating Income divided by net sales or Revenue, usually presented in percent.

CalAtlantic Group's Operating Margin % for the fiscal year that ended in Dec. 2016 is calculated as

Operating Margin %=Operating Income (A: Dec. 2016 ) / Revenue (A: Dec. 2016 )
=726.171 / 6388.04
=11.37 %

CalAtlantic Group's Operating Margin % for the quarter that ended in Sep. 2017 is calculated as

Operating Margin %=Operating Income (Q: Sep. 2017 ) / Revenue (Q: Sep. 2017 )
=154.867 / 1536.004
=10.08 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


CalAtlantic Group  (NYSE:CAA) Operating Margin % Explanation

Just like Gross Margin %, it is important to see a company maintains its operating margin over time. Among the same industry, a company with higher operating margin is more efficient in its operation. It is also more stable during industry slowdown or recessions. Peter Lynch prefers those with higher margins than those with lower margins.


Be Aware

Operating Margin % can be manipulated by adjusting the rate of depreciation, depletion and amortization (DDA).

If a company is facing competition, its Operating Margin % may decline. Often the Operating Margin % declines well before the company's Revenue or even profit decline. Therefore, Operating Margin % is a very important indicator of whether the company is facing problems.

For instance, by 2012, Nokia (NOK)'s problems were well known and its stock had lost more than 90% of its market value since 2007. But Nokia’s Operating Margin % had already been in decline since 2002, although its Earnings per Share (Diluted) were still rising. Investors who paid attention to Operating Margin % would have avoided this huge loss. The same can be said for Research-in-Motion (RIMM).

Therefore, Operating Margin % is a very important screening filter for GuruFocus. GuruFocus's Buffett-Munger screener requires that the profit margin is either consistent or expanding. The Model Portfolio of the Buffett-Munger screener has outperformed the market every year since inception in 2009.


CalAtlantic Group Operating Margin % Related Terms

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CalAtlantic Group (CalAtlantic Group) Business Description

Traded in Other Exchanges
N/A
Address
CalAtlantic Group Inc is an American residential construction company that was formed in 2015 as a result of the merger between Ryland Homes and Standard Pacific, two of America's homebuilders. The company mainly constructs single-family housing communities in metropolitan areas across California, Florida, Arizona, the Carolinas, Texas, Colorado, and Nevada. CalAtlantic typically builds luxury single-family homes with average selling prices around $400,000 and completes more than 10,000 homes annually.
Executives
William L Jews director C/O FORTRESS INTERNATIONAL GROUP, INC., 7226 LEE DEFOREST DRIVE, SUITE 203, COLUMBIA, MD 21046
Norman J Metcalfe director 2007 BAYADERE TERRACE, CORONA DEL MAR CA 92625
Douglas C Jacobs director
Wendy L Marlett officer: CMO & EVP Sales & Marketing C/O KB HOME, 10990 WILSHIRE BOULEVARD, 7TH FLOOR, LOS ANGELES CA 90024
Robert E Mellor director SEVEN MADRONE AVE, KENTFIELD CA 94904
Scott D Stowell director, officer: Executive Chairman
Jeffrey Joseph Mccall officer: EVP & CFO 26 TECHNOLOGY DRIVE, IRVINE CA 92618
Bruce A Choate director
Matlinpatterson Global Advisers Llc 10 percent owner 70 EAST 55TH ST., 9TH FLOOR, NEW YORK NY 10022
Matlinpatterson Asset Management Llc 10 percent owner 520 MADISON AVENUE, NEW YORK NY 10022
Peter Schoels director GLOBAL AERO LOGISTICS INC., 101 WORLD DRIVE, PEACHTREE CITY GA 30269
David J Matlin director, 10 percent owner
Matlinpatterson Llc 10 percent owner 520 MADISON AVE, NEW YORK NY 10022
John R. Peshkin director 15360 BARRANCA PARKWAY, IRVINE CA 92618
Mark R Patterson 10 percent owner

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