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WBA (Walgreens Boots Alliance) Operating Margin % : -1.85% (As of Aug. 2024)


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What is Walgreens Boots Alliance Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Walgreens Boots Alliance's Operating Income for the three months ended in Aug. 2024 was $-695 Mil. Walgreens Boots Alliance's Revenue for the three months ended in Aug. 2024 was $37,547 Mil. Therefore, Walgreens Boots Alliance's Operating Margin % for the quarter that ended in Aug. 2024 was -1.85%.

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

WBA' s Operating Margin % Range Over the Past 10 Years
Min: -5.13   Med: 3.23   Max: 5.08
Current: -1.08


WBA's Operating Margin % is ranked worse than
65.91% of 663 companies
in the Healthcare Providers & Services industry
Industry Median: 4.45 vs WBA: -1.08

Walgreens Boots Alliance's 5-Year Average Operating Margin % Growth Rate was 0.00% per year.

Walgreens Boots Alliance's Operating Income for the three months ended in Aug. 2024 was $-695 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Aug. 2024 was $-1,588 Mil.

Warning Sign:

Walgreens Boots Alliance Inc had lost money in 67% of the time over the past 12quarters.


Walgreens Boots Alliance Operating Margin % Historical Data

The historical data trend for Walgreens Boots Alliance'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.

Walgreens Boots Alliance Operating Margin % Chart

Walgreens Boots Alliance Annual Data
Trend Aug15 Aug16 Aug17 Aug18 Aug19 Aug20 Aug21 Aug22 Aug23 Aug24
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.53 2.63 0.73 -5.13 -1.08

Walgreens Boots Alliance Quarterly Data
Nov19 Feb20 May20 Aug20 Nov20 Feb21 May21 Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24 May24 Aug24
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 -1.45 -0.22 -2.38 0.18 -1.85

Competitive Comparison of Walgreens Boots Alliance's Operating Margin %

For the Pharmaceutical Retailers subindustry, Walgreens Boots Alliance'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.


Walgreens Boots Alliance's Operating Margin % Distribution in the Healthcare Providers & Services Industry

For the Healthcare Providers & Services industry and Healthcare sector, Walgreens Boots Alliance's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Walgreens Boots Alliance's Operating Margin % falls into.



Walgreens Boots Alliance 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.

Walgreens Boots Alliance's Operating Margin % for the fiscal year that ended in Aug. 2024 is calculated as

Operating Margin %=Operating Income (A: Aug. 2024 ) / Revenue (A: Aug. 2024 )
=-1589 / 147658
=-1.08 %

Walgreens Boots Alliance's Operating Margin % for the quarter that ended in Aug. 2024 is calculated as

Operating Margin %=Operating Income (Q: Aug. 2024 ) / Revenue (Q: Aug. 2024 )
=-695 / 37547
=-1.85 %

* 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.


Walgreens Boots Alliance  (NAS:WBA) 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.


Walgreens Boots Alliance Operating Margin % Related Terms

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


Walgreens Boots Alliance Business Description

Address
108 Wilmot Road, Deerfield, IL, USA, 60015
Walgreens Boots Alliance is one of the largest retail pharmacy chains in the US, with over 8,000 locations. Nearly three quarters of Americans live within five miles of a Walgreens location. Roughly two thirds of revenue is generated from prescription drug sales; Walgreens makes up 20% of total prescription revenue in the US. Walgreens also generates sales from retail products (general wellness consumables and its own branded merchandise), European drug wholesale, and healthcare. With more locations incorporating additional services like Health Corner and Village Medical, Walgreens creates an omnichannel experience for patients and positions itself as a one-stop healthcare provider.
Executives
Inderpal S Bhandari director C/O WALGREENS BOOTS ALLIANCE, INC., DEERFIELD IL 60015
Manmohan Mahajan officer: SVP, Global Controller and CAO C/O WALGREENS BOOTS ALLIANCE, INC., 108 WILMOT ROAD, DEERFIELD IL 60015
Nancy M Schlichting director 200 WILMOT ROAD, DEERFIELD IL 60015
Timothy C Wentworth director, officer: Chief Executive Officer C/O EXPRESS SCRIPTS HOLDING COMPANY, ONE EXPRESS WAY, ST. LOUIS MO 63121
Richard P. Gates officer: SVP, Chief Pharmacy Officer C/O WALGREENS BOOTS ALLIANCE, INC., 108 WILMOT ROAD, DEERFIELD IL 60015
Neal J. Sample officer: EVP, Chief Information Officer 200 VESEY STREET, NEW YORK NY 10285
Todd Heckman officer: Interim Global Controller C/O WALGREENS BOOTS ALLIANCE, INC., 108 WILMOT ROAD, DEERFIELD IL 60015
Polen Thomas E Jr director BECTON, DICKINSON AND COMPANY, 1 BECTON DRIVE, FRANKLIN LAKES NJ 07417
John Patrick Driscoll officer: EVP, Pres. U.S. Healthcare C/O WALGREENS BOOTS ALLIANCE, INC., 108 WILMOT ROAD, DEERFIELD IL 60015
Rosalind G Brewer director, officer: CEO C/O MOLSON COORS BREWING COMPANY, 1225 17TH STREET, SUITE 3200, DENVER CO 80202
Kevin M. Ban officer: EVP, Chief Medical Officer C/O WALGREENS BOOTS ALLIANCE, INC., 108 WILMOT ROAD, DEERFIELD IL 60015
Bryan C Hanson director ZIMMER BIOMET HOLDINGS, 345 E. MAIN STREET, WARSAW IN 46580
Henry Lee Cooper officer: EVP, Pres. Walgreens Pharmacy C/O WALGREENS BOOTS ALLIANCE, INC., 108 WILMOT ROAD, DEERFIELD IL 60015
Tracey D Brown officer: SVP, Pres., Walgreens Retail 675 AVENUE OF THE AMERICAS, 6TH FLOOR, NEW YORK NY 10010
Steven J Shulman director 1564 NE EXPRESSWAY, ATTN: BJ PURCELL, ATLANTA GA 30329