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Barrett Business Services (FRA:BB1) Operating Margin % : 7.97% (As of Sep. 2024)


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What is Barrett Business Services Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Barrett Business Services's Operating Income for the three months ended in Sep. 2024 was €21 Mil. Barrett Business Services's Revenue for the three months ended in Sep. 2024 was €265 Mil. Therefore, Barrett Business Services's Operating Margin % for the quarter that ended in Sep. 2024 was 7.97%.

Good Sign:

Barrett Business Services Inc operating margin is expanding. Margin expansion is usually a good sign.

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

FRA:BB1' s Operating Margin % Range Over the Past 10 Years
Min: -6.78   Med: 4.35   Max: 5.67
Current: 5.14


FRA:BB1's Operating Margin % is ranked worse than
54.4% of 1046 companies
in the Business Services industry
Industry Median: 6.21 vs FRA:BB1: 5.14

Barrett Business Services's 5-Year Average Operating Margin % Growth Rate was 6.10% per year.

Barrett Business Services's Operating Income for the three months ended in Sep. 2024 was €21 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Sep. 2024 was €52 Mil.


Barrett Business Services Operating Margin % Historical Data

The historical data trend for Barrett Business Services'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.

Barrett Business Services Operating Margin % Chart

Barrett Business Services 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 5.36 4.10 4.60 5.59 5.67

Barrett Business Services Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
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 8.16 6.58 -1.77 7.30 7.97

Competitive Comparison of Barrett Business Services's Operating Margin %

For the Staffing & Employment Services subindustry, Barrett Business Services'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.


Barrett Business Services's Operating Margin % Distribution in the Business Services Industry

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

* The bar in red indicates where Barrett Business Services's Operating Margin % falls into.



Barrett Business Services 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.

Barrett Business Services'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 )
=55.616 / 980.555
=5.67 %

Barrett Business Services's Operating Margin % for the quarter that ended in Sep. 2024 is calculated as

Operating Margin %=Operating Income (Q: Sep. 2024 ) / Revenue (Q: Sep. 2024 )
=21.131 / 265.144
=7.97 %

* 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.


Barrett Business Services  (FRA:BB1) 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.


Barrett Business Services Operating Margin % Related Terms

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


Barrett Business Services Business Description

Traded in Other Exchanges
Address
8100 NE Parkway Drive, Suite 200, Vancouver, WA, USA, 98662
Barrett Business Services Inc is a provider of payroll administrative services and staffing services. The company categories of services include professional employer services and staffing. Professional employer services offer payroll management, payroll tax services, and workers' compensation coverage solutions, as well as workforce management services, including hiring and termination of employees. Staffing offers temporary staffing services, as well as contract staffing, long-term or indefinite on-site management, and direct placement services. The company operates in the United States of America. It generates maximum revenue from the Professional employer service fees.

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