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Aveanna Healthcare Holdings (Aveanna Healthcare Holdings) Operating Margin % : 6.12% (As of Dec. 2023)


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What is Aveanna Healthcare Holdings Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Aveanna Healthcare Holdings's Operating Income for the three months ended in Dec. 2023 was $29 Mil. Aveanna Healthcare Holdings's Revenue for the three months ended in Dec. 2023 was $479 Mil. Therefore, Aveanna Healthcare Holdings's Operating Margin % for the quarter that ended in Dec. 2023 was 6.12%.

Warning Sign:

Aveanna Healthcare Holdings Inc operating margin has been in a 5-year decline. The average rate of decline per year is -2.8%.

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

AVAH' s Operating Margin % Range Over the Past 10 Years
Min: 1.86   Med: 4.96   Max: 9.26
Current: 9.26


AVAH's Operating Margin % is ranked better than
67.28% of 651 companies
in the Healthcare Providers & Services industry
Industry Median: 3.81 vs AVAH: 9.26

Aveanna Healthcare Holdings's 5-Year Average Operating Margin % Growth Rate was -2.80% per year.

Aveanna Healthcare Holdings's Operating Income for the three months ended in Dec. 2023 was $29 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 was $176 Mil.


Aveanna Healthcare Holdings Operating Margin % Historical Data

The historical data trend for Aveanna Healthcare Holdings'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.

Aveanna Healthcare Holdings Operating Margin % Chart

Aveanna Healthcare Holdings Annual Data
Trend Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Operating Margin %
Get a 7-Day Free Trial 4.45 5.47 5.63 1.86 6.00

Aveanna Healthcare Holdings Quarterly Data
Dec18 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 0.16 17.06 7.94 6.11 6.12

Competitive Comparison of Aveanna Healthcare Holdings's Operating Margin %

For the Medical Care Facilities subindustry, Aveanna Healthcare Holdings'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.


Aveanna Healthcare Holdings's Operating Margin % Distribution in the Healthcare Providers & Services Industry

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

* The bar in red indicates where Aveanna Healthcare Holdings's Operating Margin % falls into.



Aveanna Healthcare Holdings 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.

Aveanna Healthcare Holdings'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 )
=113.674 / 1895.209
=6.00 %

Aveanna Healthcare Holdings'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 )
=29.293 / 478.841
=6.12 %

* 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.


Aveanna Healthcare Holdings  (NAS:AVAH) 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.


Aveanna Healthcare Holdings Operating Margin % Related Terms

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


Aveanna Healthcare Holdings (Aveanna Healthcare Holdings) Business Description

Traded in Other Exchanges
N/A
Address
400 Interstate North Parkway SE, Suite 1600, Atlanta, GA, USA, 30339
Aveanna Healthcare Holdings Inc is a diversified home care platform that provides care to medically complex, high-cost patient populations. It directly addresses the pressing challenges facing the U.S. healthcare system by providing safe, high-quality care in the home. The firm provides its services through three segments: Private Duty Services (PDS); Home Health & Hospice (HHH); and Medical Solutions (MS). Private Duty Services include private duty nursing (PDN) and pediatric therapy services. HHH segment provides home health, hospice, and specialty program services to elderly populations seeking compassionate care and assistance with activities of daily living in the home. MS segment provides needed supplies to patients requiring enteral nutrition services or respiratory care.
Executives
Deborah Stewart officer: SVP, Chief Accounting Officer 400 INTERSTATE NORTH PARKWAY SE, ATLANTA GA 30339
Matthew Buckhalter officer: See Remarks 400 INTERSTATE NORTH PARKWAY SE, SUITE 1600, ATLANTA GA 30339
Victor F Ganzi director
David Afshar officer: Chief Financial Officer C/O AVEANNA HEALTHCARE HOLDINGS INC., 400 INTERSTATE NORTH PARKWAY SE STE 1600, ATLANTA GA 30339
Patrick A. Cunningham officer: Chief Compliance Officer C/O AVEANNA HEALTHCARE HOLDINGS INC., 400 INTERSTATE NORTH PARKWAY SE STE 1600, ATLANTA GA 30339
Edwin C. Reisz officer: Chief Administrative Officer C/O AVEANNA HEALTHCARE HOLDINGS INC., 400 INTERSTATE NORTH PARKWAY SE STE 1600, ATLANTA GA 30339
Jeff Shaner officer: Chief Operating Officer 3350 RIVERWOOD PARKWAY SUITE 1400, ATLANTA GA 30339
Tony Strange director, officer: Chief Executive Officer 3 HUNTINGTON QUADRANGLE 2S, MELVILLE NY 11747
Rodney D Windley director, officer: Executive Chairman 3 HUNTINGTON QUADRANGLE 2S, MELVILLE NY 11747
Steven E Rodgers director
Erica Schwartz director 400 INTERSTATE N. PARKWAY SE, SUITE 1600, C/O AVEANNA HEALTHCARE HOLDINGS INC., ATLANTA GA 30339
Bcip Associates Iv-b (us), L.p. 10 percent owner JOHN HANCOCK TOWER, 200 CLARENDON STREET, BOSTON MA 02116
Whitney Strategic Partners Vii, L.p. 10 percent owner 130 MAIN STREET, NEW CANAAN CT 06840
Bcip T Associates Iv-b (us), L.p. 10 percent owner JOHN HANCOCK TOWER, 200 CLARENDON STREET, BOSTON MA 02116
Bcip T Associates Iv (us), L.p. 10 percent owner JOHN HANCOCK TOWER, 200 CLARENDON STREET, BOSTON MA 02116