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Luxottica Group SpA (Luxottica Group SpA) Operating Margin % : 17.05% (As of Jun. 2018)


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What is Luxottica Group SpA Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Luxottica Group SpA's Operating Income for the six months ended in Jun. 2018 was $907 Mil. Luxottica Group SpA's Revenue for the six months ended in Jun. 2018 was $5,318 Mil. Therefore, Luxottica Group SpA's Operating Margin % for the quarter that ended in Jun. 2018 was 17.05%.

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


LUXTY's Operating Margin % is not ranked *
in the Retail - Cyclical industry.
Industry Median: 3.585
* Ranked among companies with meaningful Operating Margin % only.

Luxottica Group SpA's 5-Year Average Operating Margin % Growth Rate was 0.00% per year.

Luxottica Group SpA's Operating Income for the six months ended in Jun. 2018 was $907 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Jun. 2018 was $1,428 Mil.


Luxottica Group SpA Operating Margin % Historical Data

The historical data trend for Luxottica Group SpA'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.

Luxottica Group SpA Operating Margin % Chart

Luxottica Group SpA Annual Data
Trend Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 14.44 15.13 15.58 15.00 14.49

Luxottica Group SpA Semi-Annual Data
Dec08 Jun09 Dec09 Jun10 Dec10 Jun11 Dec11 Jun12 Dec12 Jun13 Dec13 Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18
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 16.70 13.16 17.97 10.42 17.05

Competitive Comparison of Luxottica Group SpA's Operating Margin %

For the Apparel Retail subindustry, Luxottica Group SpA'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.


Luxottica Group SpA's Operating Margin % Distribution in the Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Luxottica Group SpA's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Luxottica Group SpA's Operating Margin % falls into.



Luxottica Group SpA 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.

Luxottica Group SpA's Operating Margin % for the fiscal year that ended in Dec. 2017 is calculated as

Operating Margin %=Operating Income (A: Dec. 2017 ) / Revenue (A: Dec. 2017 )
=1570.06 / 10837.031
=14.49 %

Luxottica Group SpA's Operating Margin % for the quarter that ended in Jun. 2018 is calculated as

Operating Margin %=Operating Income (Q: Jun. 2018 ) / Revenue (Q: Jun. 2018 )
=906.626 / 5318.396
=17.05 %

* 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.


Luxottica Group SpA  (OTCPK:LUXTY) 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.


Luxottica Group SpA Operating Margin % Related Terms

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Luxottica Group SpA (Luxottica Group SpA) Business Description

Traded in Other Exchanges
N/A
Address
Piazzale L. Cadorna, 3, Milan, ITA, 20123
Luxottica designs, manufactures, and distributes high-quality prescription eyewear, frames and sunglasses. The company markets owned brands, including Ray-Ban, Oakley, Revo, and Arnette, as well as licensed brands, including Coach, Prada, Kors, and Polo Ralph Lauren. Luxottica is North America's largest eyewear retailer, with over 4,600 stores, through its Sunglass Hut, LensCrafters, Pearle Vision, Target Optical, and Ilori brands. The company also operates retail chains in Asia, Australia, South America, and Israel, totalling over 7,000 doors.

Luxottica Group SpA (Luxottica Group SpA) Headlines

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