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Deckers Outdoor (Deckers Outdoor) Operating Margin %

: 31.27% (As of Dec. 2023)
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Operating Margin % is calculated as Operating Income divided by its Revenue. Deckers Outdoor's Operating Income for the three months ended in Dec. 2023 was $488 Mil. Deckers Outdoor's Revenue for the three months ended in Dec. 2023 was $1,560 Mil. Therefore, Deckers Outdoor's Operating Margin % for the quarter that ended in Dec. 2023 was 31.27%.

Good Sign:

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

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

DECK' s Operating Margin % Range Over the Past 10 Years
Min: -0.11   Med: 15.85   Max: 21.58
Current: 21.58


DECK's Operating Margin % is ranked better than
94.65% of 1046 companies
in the Manufacturing - Apparel & Accessories industry
Industry Median: 3.805 vs DECK: 21.58

Deckers Outdoor's 5-Year Average Operating Margin % Growth Rate was 8.00% per year.

Deckers Outdoor's Operating Income for the three months ended in Dec. 2023 was $488 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 was $889 Mil.


Deckers Outdoor Operating Margin % Historical Data

The historical data trend for Deckers Outdoor'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.

Deckers Outdoor Annual Data
Trend Mar14 Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23
Operating Margin %
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 16.20 15.85 19.81 17.93 18.00

Deckers Outdoor Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Operating Margin % 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 Premium Member Only Premium Member Only Premium Member Only 26.95 13.38 10.47 20.57 31.27

Competitive Comparison

For the Footwear & Accessories subindustry, Deckers Outdoor'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.


Deckers Outdoor Operating Margin % Distribution

For the Manufacturing - Apparel & Accessories industry and Consumer Cyclical sector, Deckers Outdoor's Operating Margin % distribution charts can be found below:

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



Deckers Outdoor 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.

Deckers Outdoor's Operating Margin % for the fiscal year that ended in Mar. 2023 is calculated as

Operating Margin %=Operating Income (A: Mar. 2023 ) / Revenue (A: Mar. 2023 )
=652.751 / 3627.286
=18.00 %

Deckers Outdoor'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 )
=487.899 / 1560.307
=31.27 %

* 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.


Deckers Outdoor  (NYSE:DECK) 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.


Deckers Outdoor Operating Margin % Related Terms

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


Deckers Outdoor (Deckers Outdoor) Business Description

Traded in Other Exchanges
Address
250 Coromar Drive, Goleta, CA, USA, 93117
Deckers Outdoor Corp designs and sells casual and performance footwear, apparel, and accessories. Primary brands include UGG, Teva, and Sanuk. The company distributes Most of its products through its wholesale business, but it also has a substantial direct-to-consumer business with its company-owned retail stores and websites. Most sales are in the United States, although the company also has retail stores and distributors throughout Europe, Asia, Canada, and Latin America. Deckers sources its products from independent manufacturers primarily in Asia.
Executives
David Powers officer: President, Direct to Consumer 495-A SOUTH FAIRVIEW AVE, GOLETA CA 93117
Caroti Stefano officer: President of Omni Channel 250 COROMAR DRIVE, GOLETA CA 93117
Devine Michael F Iii director COACH, 516 W 34TH STREET, NEW YORK NY 1001
Thomas Garcia officer: SVP, General Counsel 250 COROMAR DRIVE, GOLETA CA 93117
Steven J. Fasching officer: Chief Financial Officer 250 COROMAR DRIVE, GOLETA CA 93117
Angela Ogbechie officer: Chief Supply Chain Officer 250 COROMAR DRIVE, GOLETA CA 93117
Lauri M Shanahan director C/O THE GAP, INC., TWO FOLSOM STREET, SAN FRANCISCO CA 94105-1205
Bonita C. Stewart director 250 COROMAR DRIVE, GOLETA CA 93117
Anne Spangenberg officer: President, Fashion Lifestyle 250 COROMAR DRIVE, GOLETA CA 93117
David E. Lafitte officer: COO 250 COROMAR DRIVE, GOLETA CA 93117
Wendy W Yang officer: President, PLG 250 COROMAR DRIVE, GOLETA CA 93117
David A Burwick director 32 AUTUMN LANE, NEW CANAAN CT 06840
Maha Saleh Ibrahim director 2765 SAND HILL ROAD, MENLO PARK CA 94025
Andrea O'donnell officer: President, Fashion Lifestyle 250 COROMAR DRIVE, GOLETA CA 93117
Victor Luis director 10 HUDSON YARDS, NEW YORK NY 10001