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Pros Holdings (Pros Holdings) Operating Margin % : -13.69% (As of Dec. 2023)


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What is Pros Holdings Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Pros Holdings's Operating Income for the three months ended in Dec. 2023 was $-10.6 Mil. Pros Holdings's Revenue for the three months ended in Dec. 2023 was $77.5 Mil. Therefore, Pros Holdings's Operating Margin % for the quarter that ended in Dec. 2023 was -13.69%.

Good Sign:

Pros Holdings Inc operating margin is expanding. Margin expansion is usually a good sign.

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

PRO' s Operating Margin % Range Over the Past 10 Years
Min: -42.67   Med: -26.95   Max: -8.26
Current: -16.66


PRO's Operating Margin % is ranked worse than
74.33% of 2758 companies
in the Software industry
Industry Median: 3.07 vs PRO: -16.66

Pros Holdings's 5-Year Average Operating Margin % Growth Rate was 3.10% per year.

Pros Holdings's Operating Income for the three months ended in Dec. 2023 was $-10.6 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 was $-50.6 Mil.


Pros Holdings Operating Margin % Historical Data

The historical data trend for Pros Holdings'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.

Pros Holdings Operating Margin % Chart

Pros Holdings Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -21.11 -26.18 -28.62 -27.72 -16.66

Pros Holdings 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 -20.97 -25.68 -17.62 -10.15 -13.69

Competitive Comparison of Pros Holdings's Operating Margin %

For the Software - Application subindustry, Pros Holdings'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.


Pros Holdings's Operating Margin % Distribution in the Software Industry

For the Software industry and Technology sector, Pros Holdings's Operating Margin % distribution charts can be found below:

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



Pros Holdings 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.

Pros Holdings'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 )
=-50.602 / 303.708
=-16.66 %

Pros Holdings'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 )
=-10.609 / 77.484
=-13.69 %

* 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.


Pros Holdings  (NYSE:PRO) 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.


Pros Holdings Operating Margin % Related Terms

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


Pros Holdings (Pros Holdings) Business Description

Traded in Other Exchanges
Address
3200 Kirby Drive, Suite 600, Houston, TX, USA, 77098
Pros Holdings Inc. is a provider of cloud-based revenue and profit realization software solutions to business-to-business and business-to-consumer companies. Its solutions assist customers in growing revenue, modernizing business processes, and supporting profitability by leveraging prescriptive analytics and data science-based decision-making technology. The company's solutions enable buyers to move fluidly across its customers' direct sales, partner, online, mobile, and emerging channels with personalized experiences. The firm generates revenue in the United States, Europe, Africa, Asia-Pacific, and Middle East regions.
Executives
Andres Reiner officer: Senior VP Pricing Solutions 3100 MAIN STREET, SUITE 900, HOUSTON TX 77002
Stefan B Schulz officer: EVP and CFO 9625 W 76TH STREET, EDEN PRAIRIE MN 55344
Cynthia Johnson director 3200 KIRBY DR., SUITE 600, HOUSTON TX 77098
Scott William Cook officer: Sr.VP,Chief Accounting Officer 3100 MAIN ST., SUITE 900, HOUSTON TX 77002
Leland Jourdan director 3200 KIRBY DR., SUITE 600, HOUSTON TX 77098
Greg Petersen director 3100 MAIN STREET, SUITE 900, HOUSTON TX 77002
Timothy V Williams director 3100 MAIN STREET, STE 900, HOUSTON TX 77002
Leslie J Rechan director 2207 BRIDGEPOINTE PARKWAY, SAN MATEO CA 94404
Roberto D Reiner officer: EVP, Chief Technology Officer 3100 MAIN ST., SUITE 900, HOUSTON TX 77002
Allessio John P. C. officer: EVP, Chief Customer Officer 3100 MAIN ST., SUITE 900, HOUSTON TX 77002
Catherine A Lesjak director GENERAL ELECTRIC COMPANY, ONE FINANCIAL CENTER, SUITE 3700, BOSTON MA 02111
Raja Hammoud director 3100 MAIN ST., SUITE 900, HOUSTON TX 77002
Penny Herscher director 1001 RIDDER PARK DRIVE, SAN JOSE CA 95131
Carlos Dominguez director C/O MEDIDATA SOLUTIONS, INC., 79 FIFTH AVENUE, 8TH FLOOR, NEW YORK NY 10003
Ronald F Woestemeyer director, 10 percent owner, officer: EVP, Strategic Bus. Planning 3100 MAIN STREET, SUITE 900, HOUSTON TX 77002