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Adverty AB (NGM:ADVT) Operating Margin % : 11.86% (As of Dec. 2023)


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What is Adverty AB Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Adverty AB's Operating Income for the three months ended in Dec. 2023 was kr2.89 Mil. Adverty AB's Revenue for the three months ended in Dec. 2023 was kr24.37 Mil. Therefore, Adverty AB's Operating Margin % for the quarter that ended in Dec. 2023 was 11.86%.

Good Sign:

Adverty AB operating margin is expanding. Margin expansion is usually a good sign.

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

NGM:ADVT' s Operating Margin % Range Over the Past 10 Years
Min: -18543.48   Med: -1324.8   Max: -15.22
Current: -15.22


NGM:ADVT's Operating Margin % is ranked worse than
78.08% of 1040 companies
in the Media - Diversified industry
Industry Median: 3.2 vs NGM:ADVT: -15.22

Adverty AB's 5-Year Average Operating Margin % Growth Rate was 74.80% per year.

Adverty AB's Operating Income for the three months ended in Dec. 2023 was kr2.89 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 was kr-7.72 Mil.

Warning Sign:

Adverty AB had lost money in 92% of the time over the past 12quarters.


Adverty AB Operating Margin % Historical Data

The historical data trend for Adverty AB'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.

Adverty AB Operating Margin % Chart

Adverty AB Annual Data
Trend Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Operating Margin %
Get a 7-Day Free Trial -5,919.25 -2,187.66 -461.94 -145.42 -15.22

Adverty AB 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 -49.77 -129.28 -47.73 -7.19 11.86

Competitive Comparison of Adverty AB's Operating Margin %

For the Advertising Agencies subindustry, Adverty AB'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.


Adverty AB's Operating Margin % Distribution in the Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, Adverty AB's Operating Margin % distribution charts can be found below:

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



Adverty AB 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.

Adverty AB'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 )
=-7.718 / 50.693
=-15.22 %

Adverty AB'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 )
=2.89 / 24.373
=11.86 %

* 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.


Adverty AB  (NGM:ADVT) 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.


Adverty AB Operating Margin % Related Terms

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


Adverty AB (NGM:ADVT) Business Description

Traded in Other Exchanges
N/A
Address
Rosterigrand 16, Stockholm, SWE, SE-117 61
Adverty AB is engaged in the development and operation of advertising solutions for Virtual Reality and Augmented Reality and related business.

Adverty AB (NGM:ADVT) Headlines

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