GURUFOCUS.COM » STOCK LIST » Consumer Defensive » Beverages - Alcoholic » Molson Coors Beverage Co (NYSE:TAP) » Definitions » Operating Margin %

Molson Coors Beverage Co (Molson Coors Beverage Co) Operating Margin %

: 12.53% (As of Dec. 2023)
View and export this data going back to 1975. Start your Free Trial

Operating Margin % is calculated as Operating Income divided by its Revenue. Molson Coors Beverage Co's Operating Income for the three months ended in Dec. 2023 was $350 Mil. Molson Coors Beverage Co's Revenue for the three months ended in Dec. 2023 was $2,791 Mil. Therefore, Molson Coors Beverage Co's Operating Margin % for the quarter that ended in Dec. 2023 was 12.53%.

Warning Sign:

Molson Coors Beverage Co operating margin has been in a 5-year decline. The average rate of decline per year is -2.1%.

The historical rank and industry rank for Molson Coors Beverage Co's Operating Margin % or its related term are showing as below:

TAP' s Operating Margin % Range Over the Past 10 Years
Min: 5.91   Med: 13.21   Max: 15.58
Current: 13.58


TAP's Operating Margin % is ranked better than
68.25% of 211 companies
in the Beverages - Alcoholic industry
Industry Median: 8.05 vs TAP: 13.58

Molson Coors Beverage Co's 5-Year Average Operating Margin % Growth Rate was -2.10% per year.

Molson Coors Beverage Co's Operating Income for the three months ended in Dec. 2023 was $350 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 was $1,589 Mil.


Molson Coors Beverage Co Operating Margin % Historical Data

The historical data trend for Molson Coors Beverage Co'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.

Molson Coors Beverage Co Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Operating Margin %
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 13.93 13.79 14.58 9.69 13.58

Molson Coors Beverage Co Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Operating Margin % 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 Premium Member Only Premium Member Only Premium Member Only 13.24 6.64 14.82 18.17 12.53

Competitive Comparison

For the Beverages - Brewers subindustry, Molson Coors Beverage Co'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.


Molson Coors Beverage Co Operating Margin % Distribution

For the Beverages - Alcoholic industry and Consumer Defensive sector, Molson Coors Beverage Co's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Molson Coors Beverage Co's Operating Margin % falls into.



Molson Coors Beverage Co 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.

Molson Coors Beverage Co'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 )
=1588.9 / 11702.1
=13.58 %

Molson Coors Beverage Co's Operating Margin % for the quarter that ended in Dec. 2023 is calculated as

Operating Margin %=Operating Income (Q: Dec. 2023 ) / Revenue (Q: Dec. 2023 )
=349.8 / 2790.8
=12.53 %

* 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.


Molson Coors Beverage Co  (NYSE:TAP) 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.


Molson Coors Beverage Co Operating Margin % Related Terms

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


Molson Coors Beverage Co (Molson Coors Beverage Co) Business Description

Traded in Other Exchanges
Address
NH353, P.O. Box 4030, Golden, CO, USA, 80401
Molson Coors owns well-known beer brands including Miller, Coors, Blue Moon, and Carling, and ranks as the second largest beer maker in both value and volume terms in the U.S., Canada, and the United Kingdom. Through licensing agreements, it also brews and distributes beer and hard seltzer under partner brands from Heineken, Anheuser-Busch InBev, Asahi, and Coca-Cola. The company uses independent distributors in the U.S. given the three-tier distribution requirements, while using a combination of distributors and an in-house sales team in Canada and Europe. North America remains its largest market contributing over 80% of total revenue.
Executives
Winnefeld James A Jr director 870 WINTER STREET, WALTHAM MA 02451
Natalie G. Maciolek officer: Chief Legal & Govt Affairs Off 3939 W HIGHLAND BLVD, MILWAUKEE WI 53208
Geoffrey E. Molson director 1801 CALIFORNIA STREET, SUITE 4600, DENVER CO 80202
Williams Leroy James Jr director 10 LONGS PEAK DRIVE, BROOMFIELD CO 80021-2510
Anne-marie W D'angelo officer: Chief Legal & Govt Affairs Off 801 E. 86TH AVENUE, MERRILLVILLE IN 46410
Louis Vachon director 1155 METCALFE STREET, MONTREAL QUEBEC CANADA E6 0000
Julia M Brown director C/O ABLE BRANDS CO., 30 HUDSON YARDS, NEW YORK NY 10001
Simon Cox officer: Pres&CEO, Molson Coors Europe 1801 CALIFORNIA STREET, SUITE 4600, DENVER CO 80202
Roxanne Stelter officer: VP,Controller & Chf Acct Off 3939 W HIGHLAND BLVD, MILWAUKEE WI 53208
Andrew Thomas Molson director 1801 CALIFORNIA STREET, SUITE 4600, DENVER CO 80202
David S. Coors director P.O. BOX 4030, NH353, GOLDEN CO 80401
Nessa O'sullivan director P.O. BOX 4030, NH353, GOLDEN CO 80401
Peter H Coors director, other: Chairman of the Board 1801 CALIFORNIA STREET, SUITE 4600, DENVER CO 80202
Peter John Marino officer: President of Emerging Growth 250 SOUTH WACKER DRIVE, CHICAGO IL 60606
Jacques Michelle St. officer: Chief Marketing Officer 250 SOUTH WACKER DRIVE, CHICAGO IL 60606

Molson Coors Beverage Co (Molson Coors Beverage Co) Headlines