GURUFOCUS.COM » STOCK LIST » Technology » Software » Tracsis PLC (OTCPK:TCIIF) » Definitions » Operating Margin %

TCIIF (Tracsis) Operating Margin % : 2.87% (As of Jul. 2024)


View and export this data going back to 2012. Start your Free Trial

What is Tracsis Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Tracsis's Operating Income for the six months ended in Jul. 2024 was $1.6 Mil. Tracsis's Revenue for the six months ended in Jul. 2024 was $57.2 Mil. Therefore, Tracsis's Operating Margin % for the quarter that ended in Jul. 2024 was 2.87%.

Warning Sign:

Tracsis PLC operating margin has been in a 5-year decline. The average rate of decline per year is -31.2%.

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

TCIIF' s Operating Margin % Range Over the Past 10 Years
Min: 1.19   Med: 11.66   Max: 21.3
Current: 1.19


TCIIF's Operating Margin % is ranked worse than
56.75% of 2756 companies
in the Software industry
Industry Median: 3.665 vs TCIIF: 1.19

Tracsis's 5-Year Average Operating Margin % Growth Rate was -31.20% per year.

Tracsis's Operating Income for the six months ended in Jul. 2024 was $1.6 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Jul. 2024 was $1.3 Mil.


Tracsis Operating Margin % Historical Data

The historical data trend for Tracsis'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.

Tracsis Operating Margin % Chart

Tracsis Annual Data
Trend Jul15 Jul16 Jul17 Jul18 Jul19 Jul20 Jul21 Jul22 Jul23 Jul24
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 9.21 10.26 4.74 8.84 1.19

Tracsis Semi-Annual Data
Jan15 Jul15 Jan16 Jul16 Jan17 Jul17 Jan18 Jul18 Jan19 Jul19 Jan20 Jul20 Jan21 Jul21 Jan22 Jul22 Jan23 Jul23 Jan24 Jul24
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 4.10 6.07 11.39 -0.84 2.87

Competitive Comparison of Tracsis's Operating Margin %

For the Software - Application subindustry, Tracsis'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.


Tracsis's Operating Margin % Distribution in the Software Industry

For the Software industry and Technology sector, Tracsis's Operating Margin % distribution charts can be found below:

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



Tracsis 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.

Tracsis's Operating Margin % for the fiscal year that ended in Jul. 2024 is calculated as

Operating Margin %=Operating Income (A: Jul. 2024 ) / Revenue (A: Jul. 2024 )
=1.245 / 104.275
=1.19 %

Tracsis's Operating Margin % for the quarter that ended in Jul. 2024 is calculated as

Operating Margin %=Operating Income (Q: Jul. 2024 ) / Revenue (Q: Jul. 2024 )
=1.641 / 57.194
=2.87 %

* 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.


Tracsis  (OTCPK:TCIIF) 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.


Tracsis Operating Margin % Related Terms

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


Tracsis Business Description

Traded in Other Exchanges
Address
Discovery Way, Nexus, Leeds, GBR, LS2 3AA
Tracsis PLC is engaged in the business of software development and consultancy for the rail industry. It is organized into two main business segments: Rail Technology and Services and Data, Analytics, Consultancy & Events. The Rail Technology and Services division includes software, consultancy, and remote condition monitoring technology and also includes Ontrac. The Data, Analytics, Consultancy & Events division which derives majority revenue, focuses on data capture and analytics, geographic information systems, earth observation, consultancy and event traffic management within a range of transport and pedestrian rich environments. The company currently operates in three geographical markets: the United Kingdom, Ireland, Europe, North America Australia, and the Rest of the world.

Tracsis Headlines

From GuruFocus

Full Year 2023 Tracsis PLC Earnings Call Transcript

By GuruFocus Research 03-27-2024