Resources Connection (FRA:RCO) Net Margin %: -8.77% (As of Feb. 2026)


FRA:RCO Resources Connection Inc FRA:RCO
60 GF Score
Price €3.52
GF Value €5.75
! 5 Warning Signs
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What is Resources Connection Net Margin %?

Resources Connection FRA:RCO -1.68% 60 Net Margin % is -8.77% as of Feb. 2026. GuruFocus rates FRA:RCO with a GF Score™ of 60/100 and a GF Value™ of €5.75. The stock has 5 warning signs investors should review. Among 1,074 Business Services companies, Resources Connection ranks worse than 89.48% on this metric.

Net margin is calculated as Net Income divided by its Revenue. Resources Connection's Net Income for the three months ended in Feb. 2026 was €-8.0 Mil. Resources Connection's Revenue for the three months ended in Feb. 2026 was €91.3 Mil. Therefore, Resources Connection's net margin for the quarter that ended in Feb. 2026 was -8.77%.

The historical rank and industry rank for Resources Connection's Net Margin % or its related term are showing as below:

FRA:RCO' s Net Margin % Range Over the Past 10 Years
Min: -34.78   Med: 4.02   Max: 8.34
Current: -20.16


FRA:RCO's Net Margin % is ranked worse than
89.48% of 1074 companies
in the Business Services industry
Industry Median: 3.83 vs FRA:RCO: -20.16

Resources Connection  (FRA:RCO) Net Margin % Explanation

Although Net Income and Earnings-per-Share (EPS) are the most widely used parameter in measuring a company's profitability and valuation, it is the least reliable. The reason is that reported earnings can be manipulated easily by adjusting any numbers such as Depreciation, Depletion and Amotorization and non-recurring items.

But the long term trend of the net margin is a good indicator of the competitiveness and health of the business.


Resources Connection Net Margin % Related Terms


Resources Connection Net Margin % Historical Data

* Premium members only.

The historical data trend for Resources Connection's Net 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.

Resources Connection Net Margin % Chart

Resources Connection Annual Data
Trend May16 May17 May18 May19 May20 May21 May22 May23 May24 May25
Net Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 4.01 8.34 7.01 3.32 -34.78

Resources Connection Quarterly Data
May21 Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24 May24 Aug24 Nov24 Feb25 May25 Aug25 Nov25 Feb26
Net 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 -34.03 -52.61 -2.00 -10.75 -8.77

FRA:RCO vs FORR, EGG, GLAI: Net Margin % Comparison

For the Consulting Services subindustry, Resources Connection's Net Margin %, along with its competitors' market caps and Net 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.


Resources Connection Net Margin % vs Business Services Industry

For the Business Services industry and Industrials sector, Resources Connection's Net Margin % distribution charts can be found below:

* The bar in red indicates where Resources Connection's Net Margin % falls into.


FRA:RCO
60GF Score
Resources Connection Inc FRA:RCO
Net Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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Resources Connection Net Margin % Calculation

Net margin - also known as net profit margin is the ratio of Net Income divided by net sales or Revenue, usually presented in percent.

Resources Connection's Net Margin for the fiscal year that ended in May. 2025 is calculated as

Net Margin=Net Income (A: May. 2025 )/Revenue (A: May. 2025 )
=-170.109/489.031
=-34.78 %

Resources Connection's Net Margin for the quarter that ended in Feb. 2026 is calculated as

Net Margin=Net Income (Q: Feb. 2026 )/Revenue (Q: Feb. 2026 )
=-8.009/91.309
=-8.77 %

* 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.

Frequently Asked Questions Learn more about Net Margin % →
What does a Net Margin % of -8.77% mean?
Resources Connection (FRA:RCO) has a Net Margin % of -8.77% as of Feb. 2026. Net margin is the ratio of total net income to net sales. View historical data on Resources Connection and its competitors. According to the industry distribution chart, Resources Connection ranks #961 out of 1074 companies in the Business Services industry, placing it in the top 89.5%.
Is Resources Connection's Net Margin % too high?
Resources Connection's current Net Margin % is -8.77%. Based on the distribution chart, Resources Connection ranks #961 out of 1074 companies in the Business Services industry, which is in the bottom quartile relative to peers. Overall, Resources Connection has a GF Score™ of 60/100, reflecting its overall financial health beyond just this single metric.
How does Resources Connection's Net Margin % compare to FORR and EGG?
According to the Business Services industry distribution chart, Resources Connection ranks #961 out of 1074 companies for Net Margin %. This places Resources Connection in the lower half of its industry. The industry median Net Margin % is 3.83. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Net Margin % for a Business Services company?
The median Net Margin % among Business Services companies is 3.83, based on 1,074 companies in the industry. Companies in the top quartile (top 25%) have a Net Margin % significantly above this median, while those in the bottom quartile fall well below. However, Net Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Net Margin % mean?
A high Net Margin % can signal that a stock is expensive relative to its fundamentals. Net margin is the ratio of total net income to net sales. View historical data on Resources Connection and its competitors. For the Business Services industry, the median Net Margin % is 3.83 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Resources Connection's current Net Margin % is -8.77%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Resources Connection stock overvalued right now?
Resources Connection (FRA:RCO) has a current Net Margin % of -8.77%. The stock's GF Value™ is €5.75, compared to a current price of €3.52 — trading 38.8% below its estimated fair value. The current Net Margin % is -8.77%. Resources Connection's overall GF Score™ is 60/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Net Margin % calculated?
Net Margin % is calculated from a company's financial statements. For Resources Connection (FRA:RCO), the current Net Margin % is -8.77% as of Feb. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Resources Connection (FRA:RCO) Overvalued in 2026?

Based on GuruFocus' analysis, Resources Connection stock appears to be undervalued. The current stock price of €3.52 is trading 38.8% below its estimated GF Value™ of €5.75.

Key valuation signals for FRA:RCO:

  • Net Margin %: -8.77%
  • GF Value™: €5.75 vs. price of €3.52 (38.8% below fair value)
  • GF Score™: 60/100 with 5 warning signs

No single metric tells the full story. See the FRA:RCO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Resources Connection Business Description

Other Exchanges RGP:USARCO:Germany
Address 15950 North Dallas Parkway, Suite 330, Dallas, TX, USA, 75248
Resources Connection Inc provides consulting and business initiative support services predominantly through its operative subsidiary, Resources Global Professionals. It has two segments RGP ( Resources Global Professionals.) and Sitrick. The RGP segment is focused on delivering consulting services catering to its client's operational needs and change initiatives utilizing a combination of bench and on-demand, talent. The Sitrick segment provides corporate, financial, transactional, and crisis communication and management services. The company generates a majority of its revenue from the RGP segment. Geographically, it derives its key revenue from North America and the rest from Europe and the Asia Pacific region.
60GF Score

Get the complete analysis for FRA:RCO

Net Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€3.52
Price
€5.75
GF Value