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WS (Worthington Steel) Operating Margin % : 3.87% (As of Feb. 2025)


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What is Worthington Steel Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Worthington Steel's Operating Income for the three months ended in Feb. 2025 was $27 Mil. Worthington Steel's Revenue for the three months ended in Feb. 2025 was $687 Mil. Therefore, Worthington Steel's Operating Margin % for the quarter that ended in Feb. 2025 was 3.87%.

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

WS' s Operating Margin % Range Over the Past 10 Years
Min: 3.76   Med: 5.79   Max: 10.5
Current: 4.93


WS's Operating Margin % is ranked better than
61.34% of 613 companies
in the Steel industry
Industry Median: 2.96 vs WS: 4.93

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

Worthington Steel's Operating Income for the three months ended in Feb. 2025 was $27 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Feb. 2025 was $156 Mil.


Worthington Steel Operating Margin % Historical Data

The historical data trend for Worthington Steel'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.

Worthington Steel Operating Margin % Chart

Worthington Steel Annual Data
Trend May21 May22 May23 May24
Operating Margin %
10.50 5.29 3.76 6.28

Worthington Steel Quarterly Data
May21 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24 May24 Aug24 Nov24 Feb25
Operating Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 8.35 7.39 5.20 2.56 3.87

Competitive Comparison of Worthington Steel's Operating Margin %

For the Steel subindustry, Worthington Steel'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.


Worthington Steel's Operating Margin % Distribution in the Steel Industry

For the Steel industry and Basic Materials sector, Worthington Steel's Operating Margin % distribution charts can be found below:

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


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Worthington Steel 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.

Worthington Steel's Operating Margin % for the fiscal year that ended in May. 2024 is calculated as

Operating Margin %=Operating Income (A: May. 2024 ) / Revenue (A: May. 2024 )
=215.4 / 3430.6
=6.28 %

Worthington Steel's Operating Margin % for the quarter that ended in Feb. 2025 is calculated as

Operating Margin %=Operating Income (Q: Feb. 2025 ) / Revenue (Q: Feb. 2025 )
=26.6 / 687.4
=3.87 %

* 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.


Worthington Steel  (NYSE:WS) 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.


Worthington Steel Operating Margin % Related Terms

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Worthington Steel Business Description

Traded in Other Exchanges
Address
100 Old Wilson Bridge Road, Columbus, OH, USA, 43085
Worthington Steel Inc is a processor of carbon flat-rolled steel, a producer of laser-welded solutions, and a provider of electrical steel laminations. The company has manufacturing facilities across the United States, Canada, China, India, Germany and Mexico. It buys coils of steel from primary steel producers and processes them to precise type, thickness, length, width, shape, and surface quality required by customer specifications. The company's product lines and processing capabilities include; carbon flat-rolled steel processing, electrical steel laminations, and tailor welded products. Geographically, the company generates a majority of its revenue from the United States followed by Canada, Mexico, and other regions.