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Corinthian Colleges (FRA:CH7) Operating Margin % : 3.22% (As of Jun. 2013)


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What is Corinthian Colleges Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Corinthian Colleges's Operating Income for the six months ended in Jun. 2013 was €39 Mil. Corinthian Colleges's Revenue for the six months ended in Jun. 2013 was €1,213 Mil. Therefore, Corinthian Colleges's Operating Margin % for the quarter that ended in Jun. 2013 was 3.22%.

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


FRA:CH7's Operating Margin % is not ranked *
in the Education industry.
Industry Median: 7.9
* Ranked among companies with meaningful Operating Margin % only.

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

Corinthian Colleges's Operating Income for the six months ended in Jun. 2013 was €39 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Jun. 2013 was €39 Mil.


Corinthian Colleges Operating Margin % Historical Data

The historical data trend for Corinthian Colleges'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.

Corinthian Colleges Operating Margin % Chart

Corinthian Colleges Annual Data
Trend Jun04 Jun05 Jun06 Jun07 Jun08 Jun09 Jun10 Jun11 Jun12 Jun13
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 9.12 13.65 -4.44 2.62 3.22

Corinthian Colleges Semi-Annual Data
Jun98 Jun99 Jun00 Jun01 Jun02 Jun03 Jun04 Jun05 Jun06 Jun07 Jun08 Jun09 Jun10 Jun11 Jun12 Jun13
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 9.12 13.65 -4.44 2.62 3.22

Competitive Comparison of Corinthian Colleges's Operating Margin %

For the Education & Training Services subindustry, Corinthian Colleges'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.


Corinthian Colleges's Operating Margin % Distribution in the Education Industry

For the Education industry and Consumer Defensive sector, Corinthian Colleges's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Corinthian Colleges's Operating Margin % falls into.



Corinthian Colleges 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.

Corinthian Colleges's Operating Margin % for the fiscal year that ended in Jun. 2013 is calculated as

Operating Margin %=Operating Income (A: Jun. 2013 ) / Revenue (A: Jun. 2013 )
=39.068 / 1212.955
=3.22 %

Corinthian Colleges's Operating Margin % for the quarter that ended in Jun. 2013 is calculated as

Operating Margin %=Operating Income (Q: Jun. 2013 ) / Revenue (Q: Jun. 2013 )
=39.068 / 1212.955
=3.22 %

* 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.


Corinthian Colleges  (FRA:CH7) 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.


Corinthian Colleges Operating Margin % Related Terms

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Corinthian Colleges (FRA:CH7) Business Description

Traded in Other Exchanges
N/A
Address
Corinthian Colleges Inc is a post-secondary education company in the United States and Canada. It offers diploma programs and associate, bachelors and master's degrees through a single operating segment. As of June 30, 2013, it has a student enrollment of 81,284 and operated 97 schools in 25 states, and 14 schools in the province of Ontario, Canada. The Company has acquired 76 colleges including the Heald acquisition and has opened 35 branch campuses. Its training program areas include healthcare, criminal justice, business, mechanical, trades, and information technology. The Company's diploma programs provide students with the requisite knowledge and job skills for entry-level positions in their chosen career.Key elements of its operating strategy includes emphasize Student Outcomes, create an Effective Learning Environment, focus on Attractive Markets, manage School and Program Performance, Standardize Key Business Processes and Centralize Key Functions.

Corinthian Colleges (FRA:CH7) Headlines

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