GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Retail - Cyclical » Finish Line Inc (NAS:FINL) » Definitions » Operating Margin %

Finish Line (Finish Line) Operating Margin % : 7.01% (As of Feb. 2018)


View and export this data going back to 1992. Start your Free Trial

What is Finish Line Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Finish Line's Operating Income for the three months ended in Feb. 2018 was $39 Mil. Finish Line's Revenue for the three months ended in Feb. 2018 was $561 Mil. Therefore, Finish Line's Operating Margin % for the quarter that ended in Feb. 2018 was 7.01%.

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


FINL's Operating Margin % is not ranked *
in the Retail - Cyclical industry.
Industry Median: 3.49
* Ranked among companies with meaningful Operating Margin % only.

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

Finish Line's Operating Income for the three months ended in Feb. 2018 was $39 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Feb. 2018 was $46 Mil.


Finish Line Operating Margin % Historical Data

The historical data trend for Finish Line'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.

Finish Line Operating Margin % Chart

Finish Line Annual Data
Trend Feb09 Feb10 Feb11 Feb12 Feb13 Feb14 Feb15 Feb16 Feb17 Feb18
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 7.36 7.79 4.79 3.66 2.48

Finish Line Quarterly Data
May13 Aug13 Nov13 Feb14 May14 Aug14 Nov14 Feb15 May15 Aug15 Nov15 Feb16 May16 Aug16 Nov16 Feb17 May17 Aug17 Nov17 Feb18
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 6.00 3.49 1.82 -4.57 7.01

Competitive Comparison of Finish Line's Operating Margin %

For the Specialty Retail subindustry, Finish Line'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.


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

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

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



Finish Line 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.

Finish Line's Operating Margin % for the fiscal year that ended in Feb. 2018 is calculated as

Operating Margin %=Operating Income (A: Feb. 2018 ) / Revenue (A: Feb. 2018 )
=45.613 / 1838.956
=2.48 %

Finish Line's Operating Margin % for the quarter that ended in Feb. 2018 is calculated as

Operating Margin %=Operating Income (Q: Feb. 2018 ) / Revenue (Q: Feb. 2018 )
=39.325 / 561.299
=7.01 %

* 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.


Finish Line  (NAS:FINL) 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.


Finish Line Operating Margin % Related Terms

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


Finish Line (Finish Line) Business Description

Traded in Other Exchanges
N/A
Address
Finish Line is a United States-based specialty retailer that is principally engaged in the sale of athletic footwear, apparel, and accessories, with presence in the United States, Puerto Rico, and the District of Columbia. The company operates business through physical stores and digital formats under two brands: Finish Line and JackRabbit. Finish Line is a mall-based retailer offering brand names including Nike, Brand Jordan, Adidas, Under Armour, and Puma. JackRabbit is a lifestyle community-based retailer offering brand names, such as Brooks, Asics, Nike, Saucony, New Balance, and others. The company also operates unbranded stores at Macy's, without Finish Line signage. The company generates the majority of its total net sales from the Finish Line division.
Executives
Torrence Boone director 3308 N MITTHOEFFER, INDIANAPOLIS IN 46235
Richard P Crystal director THE FINISH LINE 3308 N. MITTHOEFFER RD. INDIANAPOLIS IN 46235
William P Carmichael director 3308 N. MITTHOEFFER ROAD, INDIANAPOLIS IN 46235
Imran Jooma officer: EVP, Div Pres, Omni Strat 3333 BEVERLY ROAD HOFFMAN ESTATES IL 60179
Alan H Cohen director, 10 percent owner, officer: Chairman of the Board 3308 MITTHOEFFER RD, C/O THE FINISH LINE INC, INDIANAPOLIS IN 46236
Schultze Asset Management, Llc 10 percent owner 3000 WESTCHESTER AVENUE, PURCHASE NY 10577
George J Schultze 10 percent owner C/O SCHULTZE ASSET MANAGEMENT, LLC, 3000 WESTCHESTER AVENUE, PURCHASE NY 10577
Kevin S Wampler officer: Executive Vice President - CFO 3308 N MITTHOEFFER RD, INDIANAPOLIS IN 46235
Jeffrey H Smulyan director