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URS (FRA:URS) Operating Margin % : 5.40% (As of Jun. 2014)


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What is URS Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. URS's Operating Income for the three months ended in Jun. 2014 was €102 Mil. URS's Revenue for the three months ended in Jun. 2014 was €1,880 Mil. Therefore, URS's Operating Margin % for the quarter that ended in Jun. 2014 was 5.40%.

Good Sign:

URS Corp operating margin is expanding. Margin expansion is usually a good sign.

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

FRA:URS' s Operating Margin % Range Over the Past 10 Years
Min: 2.63   Med: 5.31   Max: 7.41
Current: 4.94


FRA:URS's Operating Margin % is not ranked
in the Construction industry.
Industry Median: 5.24 vs FRA:URS: 4.94

URS's 5-Year Average Operating Margin % Growth Rate was 0.50% per year.

URS's Operating Income for the three months ended in Jun. 2014 was €102 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Jun. 2014 was €381 Mil.

Warning Sign:

URS Corp had operating loss over the past 3 years.


URS Operating Margin % Historical Data

The historical data trend for URS'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.

URS Operating Margin % Chart

URS Annual Data
Trend Oct04 Dec05 Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 5.07 5.93 2.63 6.25 5.38

URS Quarterly Data
Sep09 Dec09 Mar10 Jun10 Sep10 Dec10 Mar11 Jun11 Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14
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 5.21 6.55 4.27 3.43 5.40

Competitive Comparison of URS's Operating Margin %

For the Engineering & Construction subindustry, URS'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.


URS's Operating Margin % Distribution in the Construction Industry

For the Construction industry and Industrials sector, URS's Operating Margin % distribution charts can be found below:

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



URS 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.

URS's Operating Margin % for the fiscal year that ended in Dec. 2013 is calculated as

Operating Margin %=Operating Income (A: Dec. 2013 ) / Revenue (A: Dec. 2013 )
=431.284 / 8023.211
=5.38 %

URS's Operating Margin % for the quarter that ended in Jun. 2014 is calculated as

Operating Margin %=Operating Income (Q: Jun. 2014 ) / Revenue (Q: Jun. 2014 )
=101.568 / 1880.48
=5.40 %

* 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.


URS  (FRA:URS) 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.


URS Operating Margin % Related Terms

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


URS (FRA:URS) Business Description

Traded in Other Exchanges
N/A
Address
URS Corporation was originally incorporated in California on May 1, 1957 under the former name of Broadview Research Corporation. On May 18, 1976, it re-incorporated in Delaware under the name URS Corporation. After several additional name changes, it re-adopted the name 'URS Corporation' on February 21, 1990. The Company is an international provider of engineering, construction and technical services. It offers a range of program management, planning, design, engineering, construction and construction management, operations and maintenance, and decommissioning and closure services to public agencies and private sector clients around the world. It is also a U.S. federal government contractor in the areas of systems engineering and technical assistance, and operations and maintenance. The Company expertise is focused in four market sectors: power, infrastructure, federal, and industrial and commercial. Within these markets, it offers a broad range of services, including program management; planning, design and engineering; systems engineering and technical assistance; IT services; construction and construction management; operations and maintenance; and decommissioning and closure. In the power sector, the Company plans, designs, engineers, constructs, retrofits and maintains a wide range of power-generating facilities, as well as the systems that transmit and distribute electricity. Its services include planning, siting and licensing, permitting, engineering, procurement, construction and construction management, facility start-up, operations and maintenance, upgrades and modifications, and decommissioning and closure. It provides these services to utilities, industrial co-generators, independent power producers, original equipment manufacturers and government utilities. In the infrastructure sector, the Company plans, designs, engineers, constructs, retrofits and maintains a wide range of power-generating facilities, as well as the systems that transmit and distribute electricity. Its services include planning, siting and licensing, permitting, engineering, procurement, construction and construction management, facility start-up, operations and maintenance, upgrades and modifications, and decommissioning and closure. As a contractor to the U.S. federal government and national governments of other countries, it serves a wide variety of government departments and agencies, including the DOD, DHS, Department of Energy, as well as the General Services Administration, the Environmental Protection Agency, NASA and other federal agencies. The Company's services range from program management; planning, design and engineering; systems engineering and technical assistance; and IT services to construction and construction management; operations and maintenance; and decommissioning and closure. In industrial and commercial sector it provides a wide range of engineering, procurement and construction services for new industrial and commercial

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