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PRGX Global (PRGX Global) Operating Margin % : 11.66% (As of Sep. 2020)


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What is PRGX Global Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. PRGX Global's Operating Income for the three months ended in Sep. 2020 was $4.8 Mil. PRGX Global's Revenue for the three months ended in Sep. 2020 was $41.5 Mil. Therefore, PRGX Global's Operating Margin % for the quarter that ended in Sep. 2020 was 11.66%.

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


PRGX's Operating Margin % is not ranked *
in the Business Services industry.
Industry Median: 6.32
* Ranked among companies with meaningful Operating Margin % only.

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

PRGX Global's Operating Income for the three months ended in Sep. 2020 was $4.8 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Sep. 2020 was $9.2 Mil.


PRGX Global Operating Margin % Historical Data

The historical data trend for PRGX Global'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.

PRGX Global Operating Margin % Chart

PRGX Global Annual Data
Trend Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 3.67 2.33 2.74 3.34 -0.86

PRGX Global Quarterly Data
Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20
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 -0.72 11.98 -5.78 2.33 11.66

Competitive Comparison of PRGX Global's Operating Margin %

For the Specialty Business Services subindustry, PRGX Global'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.


PRGX Global's Operating Margin % Distribution in the Business Services Industry

For the Business Services industry and Industrials sector, PRGX Global's Operating Margin % distribution charts can be found below:

* The bar in red indicates where PRGX Global's Operating Margin % falls into.



PRGX Global 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.

PRGX Global's Operating Margin % for the fiscal year that ended in Dec. 2019 is calculated as

Operating Margin %=Operating Income (A: Dec. 2019 ) / Revenue (A: Dec. 2019 )
=-1.463 / 169.758
=-0.86 %

PRGX Global's Operating Margin % for the quarter that ended in Sep. 2020 is calculated as

Operating Margin %=Operating Income (Q: Sep. 2020 ) / Revenue (Q: Sep. 2020 )
=4.843 / 41.532
=11.66 %

* 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.


PRGX Global  (NAS:PRGX) 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.


PRGX Global Operating Margin % Related Terms

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PRGX Global (PRGX Global) Business Description

Traded in Other Exchanges
N/A
Address
600 Galleria Parkway, Suite 100, Atlanta, GA, USA, 30339-5986
PRGX Global Inc is engaged in providing recovery audit and spends analytics service. Its services include recovery audit, spend analytics and supplier information management services. The company conducts its operations through three reportable segments: Recovery Audit Services - Americas, Recovery Audit Services - Europe/Asia-Pacific and Adjacent Services. The Recovery Audit Services - Americas segment are the largest segment in terms of clients served and revenue generated. The Recovery Audit Services - Europe/Asia-Pacific segment represents recovery audit services provided in Europe, Asia, and the Pacific region. Adjacent Services offerings are generally provided to clients on a global basis. The vast majority of the firm's revenue comes from recovery audit.
Executives
Matthew A Drapkin director 10 CORBIN DRIVE, 3RD FLOOR, DARIEN CT 06820
Mylle H Mangum director 3231 S E SIXTH AVENUE, TOPEKA KS 66607
Kevin Costello director C/O ARIBA INC, 807 11TH AVENUE, SUNNYVALE CA 94089
Joseph E Whitters director
William F Kimble director 6900 E. LAYTON AVE., SUITE 900, DENVER CO 80237
Simone C Walsh officer: Controller 600 GALLERIA PARKWAY, SUITE 100, ATLANTA GA 30339
Kurt Abkemeier officer: Chief Financial Officer C/O PROGRESS SOFTWARE CORPORATION, 14 OAK PARK DRIVE, BEDFORD MA 01730
Victor A Allums officer: SVP & General Counsel 600 GALLERIA PKWY SE SUITE 100 ATLANTA GA 30339
Ronald E. Stewart director, officer: President & CEO 5360 LONG ISLAND DRIVE ATLANTA GA 30327
Gregory J Owens director, officer: Executive Chairman 2755 CAMPUS DR 3RD FL SAN MATEO CA 94403-2538
Michael Cochrane officer: SVP, COO - Global Audit Oper. 600 GALLERIA PARKWAY SUITE 100 ATLANTA GA 30342
Headlands Strategic Opportunities Fund, Lp (the Partnership) 10 percent owner ONE EMBARCADERO CENTER SUITE 1600 SAN FRANCISCO CA 94111
Headlands Capital Management, Llc other: General Partner of 10% Owner ONE FERRY BUILDING SUITE 255 SAN FRANCISCO CA 94111
Cost David W Jr other: Member of investment committee ONE FERRY BUILDING SUITE 255 SAN FRANCISCO CA 94111
Park David E Iii other: Member of investment committee ONE FERRY BUILDING SUITE 255 SAN FRANCISCO CA 94111