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Zodiac Aerospace (Zodiac Aerospace) Operating Margin % : 10.24% (As of Aug. 2017)


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What is Zodiac Aerospace Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Zodiac Aerospace's Operating Income for the six months ended in Aug. 2017 was $324 Mil. Zodiac Aerospace's Revenue for the six months ended in Aug. 2017 was $3,164 Mil. Therefore, Zodiac Aerospace's Operating Margin % for the quarter that ended in Aug. 2017 was 10.24%.

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


ZODFY's Operating Margin % is not ranked *
in the Aerospace & Defense industry.
Industry Median: 6.89
* Ranked among companies with meaningful Operating Margin % only.

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

Zodiac Aerospace's Operating Income for the six months ended in Aug. 2017 was $324 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Aug. 2017 was $368 Mil.


Zodiac Aerospace Operating Margin % Historical Data

The historical data trend for Zodiac Aerospace'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.

Zodiac Aerospace Operating Margin % Chart

Zodiac Aerospace Annual Data
Trend Aug08 Aug09 Aug10 Aug11 Aug12 Aug13 Aug14 Aug15 Aug16 Aug17
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 15.66 14.39 8.32 6.88 6.16

Zodiac Aerospace Semi-Annual Data
Aug07 Aug08 Feb09 Aug09 Feb10 Aug10 Feb11 Aug11 Feb12 Aug12 Feb13 Aug13 Feb14 Aug14 Feb15 Aug15 Feb16 Aug16 Feb17 Aug17
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 7.12 5.04 8.56 1.70 10.24

Competitive Comparison of Zodiac Aerospace's Operating Margin %

For the Aerospace & Defense subindustry, Zodiac Aerospace'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.


Zodiac Aerospace's Operating Margin % Distribution in the Aerospace & Defense Industry

For the Aerospace & Defense industry and Industrials sector, Zodiac Aerospace's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Zodiac Aerospace's Operating Margin % falls into.



Zodiac Aerospace 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.

Zodiac Aerospace's Operating Margin % for the fiscal year that ended in Aug. 2017 is calculated as

Operating Margin %=Operating Income (A: Aug. 2017 ) / Revenue (A: Aug. 2017 )
=373.064 / 6053.296
=6.16 %

Zodiac Aerospace's Operating Margin % for the quarter that ended in Aug. 2017 is calculated as

Operating Margin %=Operating Income (Q: Aug. 2017 ) / Revenue (Q: Aug. 2017 )
=323.96 / 3164.27
=10.24 %

* 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.


Zodiac Aerospace  (OTCPK:ZODFY) 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.


Zodiac Aerospace Operating Margin % Related Terms

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Zodiac Aerospace (Zodiac Aerospace) Business Description

Traded in Other Exchanges
N/A
Address
Zodiac Aerospace has two operating segments: aerosystem activities (70% of revenue), with tier-one niche positions in safety systems, electrical systems, control systems, and water and waste systems; and aircraft interiors activities (30% of revenue), comprising cabin and seats activities. The cabin business group provides all elements of integrated cabins, and Zodiac Seats design, certifies, and assembles aircraft seats for passengers and crew. In fiscal 2016, Zodiac generated EUR 5.2 billion in revenue.

Zodiac Aerospace (Zodiac Aerospace) Headlines

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