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Computer Task Group (Computer Task Group) Operating Margin % : -0.85% (As of Sep. 2023)


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What is Computer Task Group Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Computer Task Group's Operating Income for the three months ended in Sep. 2023 was $-0.6 Mil. Computer Task Group's Revenue for the three months ended in Sep. 2023 was $71.3 Mil. Therefore, Computer Task Group's Operating Margin % for the quarter that ended in Sep. 2023 was -0.85%.

Good Sign:

Computer Task Group Inc operating margin is expanding. Margin expansion is usually a good sign.

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

CTG' s Operating Margin % Range Over the Past 10 Years
Min: 0.58   Med: 2.69   Max: 5.9
Current: 0.94


CTG's Operating Margin % is not ranked
in the Software industry.
Industry Median: 3.29 vs CTG: 0.94

Computer Task Group's 5-Year Average Operating Margin % Growth Rate was 33.30% per year.

Computer Task Group's Operating Income for the three months ended in Sep. 2023 was $-0.6 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Sep. 2023 was $2.8 Mil.


Computer Task Group Operating Margin % Historical Data

The historical data trend for Computer Task 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.

Computer Task Group Operating Margin % Chart

Computer Task Group Annual Data
Trend Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.58 1.75 2.49 3.25 3.41

Computer Task Group Quarterly Data
Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23
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 3.00 3.15 0.90 0.38 -0.85

Competitive Comparison of Computer Task Group's Operating Margin %

For the Information Technology Services subindustry, Computer Task 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.


Computer Task Group's Operating Margin % Distribution in the Software Industry

For the Software industry and Technology sector, Computer Task Group's Operating Margin % distribution charts can be found below:

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



Computer Task 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.

Computer Task Group's Operating Margin % for the fiscal year that ended in Dec. 2022 is calculated as

Operating Margin %=Operating Income (A: Dec. 2022 ) / Revenue (A: Dec. 2022 )
=11.076 / 325.08
=3.41 %

Computer Task Group's Operating Margin % for the quarter that ended in Sep. 2023 is calculated as

Operating Margin %=Operating Income (Q: Sep. 2023 ) / Revenue (Q: Sep. 2023 )
=-0.604 / 71.291
=-0.85 %

* 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.


Computer Task Group  (NAS:CTG) 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.


Computer Task Group Operating Margin % Related Terms

Thank you for viewing the detailed overview of Computer Task Group's Operating Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.


Computer Task Group (Computer Task Group) Business Description

Traded in Other Exchanges
N/A
Address
300 Corporate Parkway, Suite 214N, Amherst, NY, USA, 14226
Computer Task Group Inc is engaged in providing information technology services to its clients. The company divides its services into information technology solutions and information technology & other staffing. Its segments include North America IT Solutions and Services, Europe IT Solutions and Services, and Non-Strategic Technology Services. The firm derives most of its revenues from information technology & other staffing services. It mainly caters its services to technology service providers, financial services, healthcare, manufacturing, and energy industries. The geographical segments are the United States, Luxembourg, Belgium, and other countries.
Executives
Thomas J Niehaus officer: Executive Vice President 300 CORPORATE PARKWAY SUITE 214N, AMHERST NY 14226
Gyde Filip J L director, officer: President and CEO C/O COMPUTER TASK GROUP INC, 800 DELAWARE AVE, BUFFALO NY 14209
Raj Rajgopal director C/O VIRTUSA CORPORATION, 2000 WEST PARK DRIVE, WESTBOROUGH MA 01581
Helvey Iii James R director 300 CORPORATE PARKWAY SUITE 214N, AMHERST NY 14226
Kathryn A Stein director 300 CORPORATE PARKWAY SUITE 214N, AMHERST NY 14226
Daniel J Sullivan director
Valerie Rahmani director 300 CORPORATE PARKWAY SUITE 214N, AMHERST NY 14226
Owen J Sullivan director 5301 NORTH IRONWOOD ROAD, MILWAUKEE WI 53217
David H Klein director 300 CORPORATE PARKWAY SUITE 214N, AMHERST NY 14226
Jeffrey D Gerkin officer: Executive Vice President 800 DELAWARE AVENUE, BUFFALO NY 14209
John M Laubacker officer: Chief Financial Officer & SVP 300 CORPORATE PARKWAY SUITE 214N, AMHERST NY 14226
Peter P Radetich officer: Sr Vice President & Secretary 300 CORPORATE PARKWAY SUITE 214N, AMHERST NY 14226
Brendan M Harrington officer: Chief Financial Officer Sr VP 800 DELAWARE AVENUE, BUFFALO NY 14209
Cliff Bleustein director, officer: President & CEO 800 DELAWARE AVENUE, BUFFALO NY 14209
Alfred Hamilton officer: Vice President 800 DELAWARE AVENUE, BUFFALO NY 14209