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Conn's (Conn's) Operating Margin % : -13.87% (As of Jan. 2024)


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What is Conn's Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Conn's's Operating Income for the three months ended in Jan. 2024 was $-51 Mil. Conn's's Revenue for the three months ended in Jan. 2024 was $366 Mil. Therefore, Conn's's Operating Margin % for the quarter that ended in Jan. 2024 was -13.87%.

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

CONN' s Operating Margin % Range Over the Past 10 Years
Min: -10.19   Med: 7.87   Max: 10.78
Current: -10.19


CONN's Operating Margin % is ranked worse than
88.28% of 1109 companies
in the Retail - Cyclical industry
Industry Median: 3.47 vs CONN: -10.19

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

Conn's's Operating Income for the three months ended in Jan. 2024 was $-51 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Jan. 2024 was $-126 Mil.

Warning Sign:

Conn's Inc had lost money in 50% of the time over the past 12quarters.


Conn's Operating Margin % Historical Data

The historical data trend for Conn's'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.

Conn's Operating Margin % Chart

Conn's Annual Data
Trend Jan15 Jan16 Jan17 Jan18 Jan19 Jan20 Jan21 Jan22 Jan23 Jan24
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 8.92 2.41 10.78 -1.13 -10.19

Conn's Quarterly Data
Apr19 Jul19 Oct19 Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24
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 -7.64 -7.56 -5.00 -13.73 -13.87

Competitive Comparison of Conn's's Operating Margin %

For the Specialty Retail subindustry, Conn's'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.


Conn's's Operating Margin % Distribution in the Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Conn's's Operating Margin % distribution charts can be found below:

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



Conn's 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.

Conn's's Operating Margin % for the fiscal year that ended in Jan. 2024 is calculated as

Operating Margin %=Operating Income (A: Jan. 2024 ) / Revenue (A: Jan. 2024 )
=-126.085 / 1237.683
=-10.19 %

Conn's's Operating Margin % for the quarter that ended in Jan. 2024 is calculated as

Operating Margin %=Operating Income (Q: Jan. 2024 ) / Revenue (Q: Jan. 2024 )
=-50.762 / 366.077
=-13.87 %

* 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.


Conn's  (NAS:CONN) 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.


Conn's Operating Margin % Related Terms

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


Conn's (Conn's) Business Description

Traded in Other Exchanges
Address
2445 Technology Forest Boulevard, Suite 800, The Woodlands, TX, USA, 77381
Conn's Inc is a United-States-based specialty retailer engaged in the sale of durable consumer goods and related services. The company operates through two segments. The retail segment sells a broad range of merchandise, including furniture and mattress products, home appliances, consumer electronics, and home office products. The credit segment provides credit solutions for credit-constrained consumers based on customer risk and income level. A material portion of the company's customers finances purchases through its credit segment. The company focuses its business on the U.S. and generates its revenue from the retail segment.
Executives
Stephens Group, Llc 10 percent owner 100 RIVER BLUFF DRIVE, SUITE 500, LITTLE ROCK AR 72202
Ann B Gugino director 1031 MENDOTA HEIGHTS ROAD, ST. PAUL MN 55120
Timothy P Santo officer: Chief Accounting Officer 2445 TECHNOLOGY FOREST BLVD., STE. 800, THE WOODLANDS TX 77381
Karen Hartje director 251 1ST AVENUE N, SUITE 200, MINNEAPOLIS MN 55401-1672
Douglas H Martin director, 10 percent owner C/O STEPHENS INC, 111 CENTER ST, LITTLE ROCK AR 72201
Paula W. & John P. Calhoun Family Trust - Wmas 10 percent owner 111 CENTER STREET, SUITE 2300, LITTLE ROCK AR 72201
Warren Miles Amerine Stephens Family Trust One 10 percent owner 111 CENTER STREET, SUITE 2300, LITTLE ROCK AR 72201
Brian Daly officer: Chief Human Resources Officer 4055 TECHNOLOGY FOREST BLVD., STE. 210, THE WOODLANDS TX 77381
Warren A Stephens 10 percent owner 111 CENTER STREET, LITTLE ROCK AR 72201
Harriet C Stephens 10 percent owner C/O STEPHENS INC, 111 CENTER ST, LITTLE ROCK AR 72201
Was Family Trust Five 10 percent owner 111 CENTER STREET, SUITE 2300, LITTLE ROCK AR 72201
Stephens Warren A Trust Uid 9/30/87 10 percent owner C/O STEPHENS INC, 111 CENTER ST, LITTLE ROCK AR 72201
Thomas John Fenton officer: Chief Credit Officer 2445 TECHNOLOGY FOREST BLVD., SUITE 800, THE WOODLANDS TX 77381
Warren Miles Stephens 10 percent owner 111 CENTER STREET, SUITE 2300, LITTLE ROCK AR 72201
John Calhoun Stephens 10 percent owner 111 CENTER STREET, SUITE 2300, LITTLE ROCK AR 72201