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Evolent Health (Evolent Health) Operating Margin % : -1.69% (As of Dec. 2023)


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What is Evolent Health Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Evolent Health's Operating Income for the three months ended in Dec. 2023 was $-9 Mil. Evolent Health's Revenue for the three months ended in Dec. 2023 was $556 Mil. Therefore, Evolent Health's Operating Margin % for the quarter that ended in Dec. 2023 was -1.69%.

Good Sign:

Evolent Health Inc operating margin is expanding. Margin expansion is usually a good sign.

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

EVH' s Operating Margin % Range Over the Past 10 Years
Min: -44.36   Med: -8.23   Max: -1.07
Current: -1.07


EVH's Operating Margin % is ranked worse than
64.11% of 652 companies
in the Healthcare Providers & Services industry
Industry Median: 3.805 vs EVH: -1.07

Evolent Health's 5-Year Average Operating Margin % Growth Rate was 40.30% per year.

Evolent Health's Operating Income for the three months ended in Dec. 2023 was $-9 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 was $-21 Mil.


Evolent Health Operating Margin % Historical Data

The historical data trend for Evolent Health'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.

Evolent Health Operating Margin % Chart

Evolent Health Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -17.85 -4.67 -3.21 -1.47 -1.07

Evolent Health Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
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 -5.12 -0.42 -1.14 -0.89 -1.69

Competitive Comparison of Evolent Health's Operating Margin %

For the Health Information Services subindustry, Evolent Health'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.


Evolent Health's Operating Margin % Distribution in the Healthcare Providers & Services Industry

For the Healthcare Providers & Services industry and Healthcare sector, Evolent Health's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Evolent Health's Operating Margin % falls into.



Evolent Health 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.

Evolent Health's Operating Margin % for the fiscal year that ended in Dec. 2023 is calculated as

Operating Margin %=Operating Income (A: Dec. 2023 ) / Revenue (A: Dec. 2023 )
=-21.055 / 1963.896
=-1.07 %

Evolent Health's Operating Margin % for the quarter that ended in Dec. 2023 is calculated as

Operating Margin %=Operating Income (Q: Dec. 2023 ) / Revenue (Q: Dec. 2023 )
=-9.403 / 556.055
=-1.69 %

* 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.


Evolent Health  (NYSE:EVH) 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.


Evolent Health Operating Margin % Related Terms

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


Evolent Health (Evolent Health) Business Description

Traded in Other Exchanges
Address
800 N. Glebe Road, Suite 500, Arlington, VA, USA, 22203
Evolent Health Inc is engaged in healthcare delivery and payment. The company supports health systems and physician organizations in their migration toward value-based care and population health management. The company's two reportable segments: EHS and Clinical Solutions. The Company's EHS segment provides an integrated administrative and clinical platform for health plan administration and value-based business infrastructure and clinical Solutions segment addresses a broad spectrum of clinical needs, with tailored solutions for specialty care management in oncology and cardiology and increasingly the musculoskeletal markets and holistic total cost of care improvement. It generates a majority of its revenue from Clinical Solutions segment.
Executives
Seth Blackley officer: President 800 N. GLEBE ROAD, SUITE 500, ARLINGTON VA 22203
Daniel Joseph Mccarthy officer: PRESIDENT 800 N GLEBE ROAD, SUITE 500, ARLINGTON VA 22203
Emily Ann Rafferty officer: Chief Operating Officer 800 N. GLEBE ROAD, SUITE 500, ARLINGTON VA 22203
Toyin Ajayi director 800 NORTH GLEBE ROAD, SUITE 500, ARLINGTON VA 22203
Cheryl Scott director 800 N. GLEBE ROAD, SUITE 500, ARLINGTON VA 22203
Mary Bridget Duffy director C/O VOCERA COMMUNICATIONS, INC., 525 RACE STREET, SAN JOSE CA 95126
Diane Holder director 800 GLEBE ROAD, SUITE 500, ARLINGTON VA 22203
Richard M Jelinek director 40 W 47TH STREET, FLOOR 33, NEW YORK NY 10035
Frank J Williams director, officer: Chief Executive Officer 800 NORTH GLEBE ROAD, SUITE 500, ARLINGTON VA 22203
John Paul Johnson officer: Chief Financial Officer 800 NORTH GLEBE ROAD, SUITE 500, ARLINGTON VA 22203
Jonathan Weinberg officer: General Counsel 800 N. GLEBE ROAD, SUITE 500, ARLINGTON VA 22203
Steve Tutewohl officer: Chief Operating Officer 800 NORTH GLEBE ROAD, SUITE 500, ARLINGTON VA 22203
Tunde Sotunde director 800 N. GLEBE RD, SUITE 500, ARLINGTON VA 22203
Kim Keck director 30 W. MONROE STREET, SUITE 1200, CHICAGO IL 60603
Craig A. Barbarosh director 3525 PIEDMONT RD., NE, BUILDING 6, SUITE 700, ATLANTA GA 30305