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PZ Cussons (LSE:PZC) Operating Margin % : 2.11% (As of May. 2024)


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What is PZ Cussons Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. PZ Cussons's Operating Income for the six months ended in May. 2024 was £5.3 Mil. PZ Cussons's Revenue for the six months ended in May. 2024 was £250.8 Mil. Therefore, PZ Cussons's Operating Margin % for the quarter that ended in May. 2024 was 2.11%.

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

LSE:PZC' s Operating Margin % Range Over the Past 10 Years
Min: -8.35   Med: 11.12   Max: 13.44
Current: -8.35


LSE:PZC's Operating Margin % is ranked worse than
86.46% of 1883 companies
in the Consumer Packaged Goods industry
Industry Median: 5.37 vs LSE:PZC: -8.35

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

PZ Cussons's Operating Income for the six months ended in May. 2024 was £5.3 Mil. Its Operating Income for the trailing twelve months (TTM) ended in May. 2024 was £-44.1 Mil.

Warning Sign:

PZ Cussons PLC has recorded a loss in operating income at least once over the past 3 years.


PZ Cussons Operating Margin % Historical Data

The historical data trend for PZ Cussons'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.

PZ Cussons Operating Margin % Chart

PZ Cussons Annual Data
Trend May15 May16 May17 May18 May19 May20 May21 May22 May23 May24
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 10.75 10.84 10.21 9.16 -8.35

PZ Cussons Semi-Annual Data
Nov14 May15 Nov15 May16 Nov16 May17 Nov17 May18 Nov18 May19 Nov19 May20 Nov20 May21 Nov21 May22 Nov22 May23 Nov23 May24
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 10.26 8.76 9.58 -17.83 2.11

Competitive Comparison of PZ Cussons's Operating Margin %

For the Household & Personal Products subindustry, PZ Cussons'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.


PZ Cussons's Operating Margin % Distribution in the Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, PZ Cussons's Operating Margin % distribution charts can be found below:

* The bar in red indicates where PZ Cussons's Operating Margin % falls into.



PZ Cussons 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.

PZ Cussons's Operating Margin % for the fiscal year that ended in May. 2024 is calculated as

Operating Margin %=Operating Income (A: May. 2024 ) / Revenue (A: May. 2024 )
=-44.1 / 527.9
=-8.35 %

PZ Cussons's Operating Margin % for the quarter that ended in May. 2024 is calculated as

Operating Margin %=Operating Income (Q: May. 2024 ) / Revenue (Q: May. 2024 )
=5.3 / 250.8
=2.11 %

* 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.


PZ Cussons  (LSE:PZC) 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.


PZ Cussons Operating Margin % Related Terms

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PZ Cussons Business Description

Traded in Other Exchanges
Address
3500 Aviator Way, Manchester Business Park, Manchester, GBR, M22 5TG
PZ Cussons PLC is a household and personal-care company. Its main business categories are personal care and beauty, home care, food and nutrition, and electricals. The principal activities of the Group are the manufacture and distribution of soaps, detergents, toiletries, beauty products, pharmaceuticals, electrical goods, edible oils, fats and spreads, and nutritional products. The geographical segments of the company are Europe and the Americas, Asia Pacific, Africa, and the Central regions. The company derives its maximum revenue from Europe and the Americas.

PZ Cussons Headlines