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Indigo Books & Music (Indigo Books & Music) Operating Margin %

: 4.68% (As of Dec. 2023)
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Operating Margin % is calculated as Operating Income divided by its Revenue. Indigo Books & Music's Operating Income for the three months ended in Dec. 2023 was $12.9 Mil. Indigo Books & Music's Revenue for the three months ended in Dec. 2023 was $276.3 Mil. Therefore, Indigo Books & Music's Operating Margin % for the quarter that ended in Dec. 2023 was 4.68%.

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

IDGBF' s Operating Margin % Range Over the Past 10 Years
Min: -6   Med: -1.29   Max: 2.73
Current: -6


IDGBF's Operating Margin % is ranked worse than
83.27% of 1106 companies
in the Retail - Cyclical industry
Industry Median: 3.485 vs IDGBF: -6.00

Indigo Books & Music's 5-Year Average Operating Margin % Growth Rate was 0.00% per year.

Indigo Books & Music's Operating Income for the three months ended in Dec. 2023 was $12.9 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 was $-42.0 Mil.


Indigo Books & Music Operating Margin % Historical Data

The historical data trend for Indigo Books & Music'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.

Indigo Books & Music 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 -5.13 -1.93 -3.52 2.73 -2.44

Indigo Books & Music 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 9.82 -18.81 -12.34 -7.61 4.68

Competitive Comparison

For the Specialty Retail subindustry, Indigo Books & Music'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.


Indigo Books & Music Operating Margin % Distribution

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

* The bar in red indicates where Indigo Books & Music's Operating Margin % falls into.



Indigo Books & Music 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.

Indigo Books & Music'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 )
=-18.851 / 773.032
=-2.44 %

Indigo Books & Music'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 )
=12.943 / 276.271
=4.68 %

* 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.


Indigo Books & Music  (OTCPK:IDGBF) 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.


Indigo Books & Music Operating Margin % Related Terms

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Indigo Books & Music (Indigo Books & Music) Business Description

Traded in Other Exchanges
Address
620 King Street West, Suite 400, Toronto, ON, CAN, M5V 1M6
Indigo Books & Music Inc is a Canada-based book, gift, and toy retailer. It operates a chain of retail bookstores across all Canada, including approximately 87 superstores under Indigo and Chapters banners names as well as over 80 small format stores under the banners Coles, Indigospirit, SmithBooks, and The Book company. Its digital platforms sell expanded selection of books, gifts, toys, and paper products. It also has interest in Calendar Club of Canada, which operates seasonal kiosks and year-round stores in shopping malls across Canada. The company generates its revenue from Superstores, Small format stores, Online, and Others.

Indigo Books & Music (Indigo Books & Music) Headlines