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Derma Sciences (Derma Sciences) Operating Margin % : -26.59% (As of Sep. 2016)


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What is Derma Sciences Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Derma Sciences's Operating Income for the three months ended in Sep. 2016 was $-5.80 Mil. Derma Sciences's Revenue for the three months ended in Sep. 2016 was $21.81 Mil. Therefore, Derma Sciences's Operating Margin % for the quarter that ended in Sep. 2016 was -26.59%.

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


DSCI's Operating Margin % is not ranked *
in the Medical Devices & Instruments industry.
Industry Median: 1.44
* Ranked among companies with meaningful Operating Margin % only.

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

Derma Sciences's Operating Income for the three months ended in Sep. 2016 was $-5.80 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Sep. 2016 was $-14.34 Mil.


Derma Sciences Operating Margin % Historical Data

The historical data trend for Derma Sciences'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.

Derma Sciences Operating Margin % Chart

Derma Sciences Annual Data
Trend Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -6.10 -19.92 -15.75 -25.29 -26.00

Derma Sciences Quarterly Data
Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16
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 -28.41 -12.89 -11.10 -9.12 -26.59

Competitive Comparison of Derma Sciences's Operating Margin %

For the Medical Instruments & Supplies subindustry, Derma Sciences'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.


Derma Sciences's Operating Margin % Distribution in the Medical Devices & Instruments Industry

For the Medical Devices & Instruments industry and Healthcare sector, Derma Sciences's Operating Margin % distribution charts can be found below:

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



Derma Sciences 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.

Derma Sciences's Operating Margin % for the fiscal year that ended in Dec. 2015 is calculated as

Operating Margin %=Operating Income (A: Dec. 2015 ) / Revenue (A: Dec. 2015 )
=-21.962 / 84.474
=-26.00 %

Derma Sciences's Operating Margin % for the quarter that ended in Sep. 2016 is calculated as

Operating Margin %=Operating Income (Q: Sep. 2016 ) / Revenue (Q: Sep. 2016 )
=-5.799 / 21.81
=-26.59 %

* 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.


Derma Sciences  (NAS:DSCI) 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.


Derma Sciences Operating Margin % Related Terms

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


Derma Sciences (Derma Sciences) Business Description

Traded in Other Exchanges
N/A
Address
Derma Sciences Inc was incorporated on September 10, 1984. The Company is a tissue regeneration company engaged in three segments of the wound care marketplace: pharmaceutical wound care, advanced wound care and traditional wound care products. The Company has one drug candidate that initiated its Phase 3 study. The Company maintains manufacturing facilities in Toronto, Canada and Nantong, China and an established network of third party suppliers for its products. Its products are sold through distributors to health care providers such as wound care centers, extended care facilities, acute care facilities, home health care agencies and physicians' offices. Some of its products are sold through retail channels to care givers. The Company markets its products through direct sales representatives in the United States, Canada and the United Kingdom, and through independent distributors within other select international markets. In Pharmaceutical Wound Care, the DSC127 product is in clinical trial for the treatment of diabetic foot ulcers. The Phase 3 clinical trial for diabetic foot ulcers is expected to be completed by the end of 2015. In addition to the diabetic foot ulcer indication, the Company has begun preclinical testing for scar reduction. The product lines in Advanced Wound Care include MEDIHONEY, TCC-EZ, AMNIOEXCEL and AMNIOMATRIX, XTRASORB, BIOGUARD, and ALGICELL AG. The Traditional Wound Care line consists of gauze sponges and bandages, non-adherent impregnated dressings, retention devices, paste bandages and other compression devices. It also manufactures and market adhesive bandages and related first aid products for the medical, industrial, private label and retail markets. It markets a line of wound closure strips, nasal tube fasteners and a variety of catheter fasteners to doctors, clinics, nursing homes, hospitals and other institutions. In addition, the Company owns or licenses over 50 U.S. patents, corresponding foreign patents and patent applications. The patents relating to the DSC127, MEDIHONEY, BIOGUARD, AMNIOEXCEL and AMNIOMATRIX technologies are held under license agreements of indefinite duration. It is subject to the regulation regarding occupational safety, laboratory practices, environmental protection and hazardous substance control and may be subject to other present and future U.S. and foreign regulations.
Executives
Samuel E Navarro director C/O STRATA SKIN SCIENCES, INC., 5 WALNUT GROVE DRIVE, SUITE 140, HORSHAM PA 19044
Robert G Moussa director 1375 KINGS HIGHWAY EAST, FAIRFIELD CT 06824
Stephen T Wills director, other: Executive Chairman PALATIN TECHNOLOGIES, INC., 4B CEDAR BROOK DRIVE, CRANBURY NJ 08512
Amy S Paul other: Former Director C.R. BARD, INC. 730 CENTRAL AVENUE MURRAY HILL NJ 07974
Bruce F Wesson other: Former Director 1827 PACIFIC ST BROOKLYN NY 11233
Peter Kolchinsky other: Fmr 10% Owner - See Fn (1)-(5) 200 BERKELEY STREET, 18TH FLOOR, BOSTON MA 02116
Ra Capital Management, L.p. other: Fmr 10% Owner - See Fn (1)-(5) 200 BERKELEY STREET, 18TH FLOOR, BOSTON MA 02116
Ra Capital Healthcare Fund Lp other: Fmr 10% Owner - See Fn (1)-(5) 200 BERKELEY STREET, 18TH FLOOR, BOSTON MA 02116
William C Martin 10 percent owner C/O RAGING CAPITAL MANAGEMENT, LLC, TEN PRINCETON AVENUE, PO BOX 228, ROCKY HILL NJ 08553
Raging Capital Master Fund, Ltd. 10 percent owner C/O OGIER FIDUCIARY SERVICES (CAYMAN), 89 NEXUS WAY, CAMANA BAY, GRAND CAYMAN E9 KY 1-9007
Raging Capital Management, Llc 10 percent owner TEN PRINCETON AVENUE, PO BOX 228, ROCKY HILL NJ 08553-0228
Raging Capital Fund (qp), Lp other: See explanation of responses TEN PRINCETON AVENUE, PO BOX 228, ROCKY HILL NJ 08853
Raging Capital Fund, Lp other: See explanation of responses TEN PRINCETON AVENUE, ROCKY HILL NJ 08553
Lehman Brothers Holdings Inc 10 percent owner 1271 AVENUE OF THE AMERICAS, NEW YORK NY 10020
Galen Partners Iii L P 10 percent owner 610 FIFTH AVE 5TH FL NEW YORK NY 10020

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