GURUFOCUS.COM » STOCK LIST » Utilities » Utilities - Independent Power Producers » Talen Energy Corp (NAS:TLN) » Definitions » Operating Margin %

TLN (Talen Energy) Operating Margin % : 12.04% (As of Mar. 2025)


View and export this data going back to 2023. Start your Free Trial

What is Talen Energy Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Talen Energy's Operating Income for the three months ended in Mar. 2025 was $76 Mil. Talen Energy's Revenue for the three months ended in Mar. 2025 was $631 Mil. Therefore, Talen Energy's Operating Margin % for the quarter that ended in Mar. 2025 was 12.04%.

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

TLN' s Operating Margin % Range Over the Past 10 Years
Min: -5.07   Med: 8.67   Max: 19.29
Current: 3.93


TLN's Operating Margin % is ranked worse than
72.99% of 411 companies
in the Utilities - Independent Power Producers industry
Industry Median: 15.03 vs TLN: 3.93

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

Talen Energy's Operating Income for the three months ended in Mar. 2025 was $76 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2025 was $82 Mil.


Talen Energy Operating Margin % Historical Data

The historical data trend for Talen Energy'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.

Talen Energy Operating Margin % Chart

Talen Energy Annual Data
Trend Dec11 Dec12 Dec13 Dec14 Dec15 Dec22 Dec23 Dec24
Operating Margin %
Get a 7-Day Free Trial 8.67 13.79 4.31 - 7.96

Talen Energy Quarterly Data
Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
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 25.93 -15.25 10.09 2.66 12.04

Competitive Comparison of Talen Energy's Operating Margin %

For the Utilities - Independent Power Producers subindustry, Talen Energy'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.


Talen Energy's Operating Margin % Distribution in the Utilities - Independent Power Producers Industry

For the Utilities - Independent Power Producers industry and Utilities sector, Talen Energy's Operating Margin % distribution charts can be found below:

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


;
;

Talen Energy 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.

Talen Energy's Operating Margin % for the fiscal year that ended in Dec. 2024 is calculated as

Operating Margin %=Operating Income (A: Dec. 2024 ) / Revenue (A: Dec. 2024 )
=165 / 2073
=7.96 %

Talen Energy's Operating Margin % for the quarter that ended in Mar. 2025 is calculated as

Operating Margin %=Operating Income (Q: Mar. 2025 ) / Revenue (Q: Mar. 2025 )
=76 / 631
=12.04 %

* 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.


Talen Energy  (NAS:TLN) 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.


Talen Energy Operating Margin % Related Terms

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


Talen Energy Business Description

Traded in Other Exchanges
N/A
Address
2929 Allen Parkway, Suite 2200, Houston, TX, USA, 77019
Talen Energy Corp is an independent power producer and energy infrastructure company. The company owns and operates approximately 10.7 gigawatts of power infrastructure in the United States. The group produces and sells electricity, capacity, and ancillary services into wholesale U.S. power markets, including PJM and WECC, with its generation fleet located in the Mid-Atlantic and Montana.