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Grenke AG (XTER:GLJ) Operating Margin % : 19.01% (As of Dec. 2023)


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What is Grenke AG Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Grenke AG's Operating Income for the three months ended in Dec. 2023 was €40.3 Mil. Grenke AG's Revenue for the three months ended in Dec. 2023 was €212.2 Mil. Therefore, Grenke AG's Operating Margin % for the quarter that ended in Dec. 2023 was 19.01%.

Warning Sign:

Grenke AG operating margin has been in a 5-year decline. The average rate of decline per year is -26.9%.

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

XTER:GLJ' s Operating Margin % Range Over the Past 10 Years
Min: 9.37   Med: 14.19   Max: 53.62
Current: 23


XTER:GLJ's Operating Margin % is ranked better than
52.77% of 379 companies
in the Credit Services industry
Industry Median: 19.95 vs XTER:GLJ: 23.00

Grenke AG's 5-Year Average Operating Margin % Growth Rate was -26.90% per year.

Grenke AG's Operating Income for the three months ended in Dec. 2023 was €40.3 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 was €158.0 Mil.


Grenke AG Operating Margin % Historical Data

The historical data trend for Grenke AG'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.

Grenke AG Operating Margin % Chart

Grenke AG Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 50.54 50.96 25.88 12.49 15.88

Grenke AG Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
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 -16.64 33.44 30.78 11.11 19.01

Competitive Comparison of Grenke AG's Operating Margin %

For the Credit Services subindustry, Grenke AG'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.


Grenke AG's Operating Margin % Distribution in the Credit Services Industry

For the Credit Services industry and Financial Services sector, Grenke AG's Operating Margin % distribution charts can be found below:

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



Grenke AG 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.

Grenke AG'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 )
=109.085 / 687.136
=15.88 %

Grenke AG'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 )
=40.333 / 212.206
=19.01 %

* 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.


Grenke AG  (XTER:GLJ) 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.


Grenke AG Operating Margin % Related Terms

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Grenke AG (XTER:GLJ) Business Description

Traded in Other Exchanges
Address
Neuer Markt 2, Baden-Baden, DEU, 76532
Grenke AG is a financial-services company that, under a franchise model, provides operational infrastructure, the licensing of the group's name to contracted parties, and other support services. The firm retains the right to acquire the franchisee based on a predetermined formula and time frame. Grenke's reporting segments include Leasing, Banking, and Factoring. The Leasing segment produces the most revenue. GRENKE Bank's actions compose the banking segment, primarily including acting as the financing partner for SMEs. The Factoring segment includes mainly small-ticket factoring services. The company operates primarily in Europe, with the most revenue coming from Ireland and Germany.
Executives
Dr. Sebastian Hirsch Board of Directors
Gilles Christ Board of Directors
Isabel Rösler Board of Directors

Grenke AG (XTER:GLJ) Headlines

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