GURUFOCUS.COM » STOCK LIST » Industrials » Transportation » Cebu Air Inc (OTCPK:CEBUF) » Definitions » Operating Margin %

Cebu Air (Cebu Air) Operating Margin % : 10.23% (As of Sep. 2023)


View and export this data going back to 2013. Start your Free Trial

What is Cebu Air Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Cebu Air's Operating Income for the three months ended in Sep. 2023 was $41 Mil. Cebu Air's Revenue for the three months ended in Sep. 2023 was $405 Mil. Therefore, Cebu Air's Operating Margin % for the quarter that ended in Sep. 2023 was 10.23%.

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

CEBUF' s Operating Margin % Range Over the Past 10 Years
Min: -147.12   Med: 8.75   Max: 19.79
Current: 6.87


CEBUF's Operating Margin % is ranked worse than
53.96% of 971 companies
in the Transportation industry
Industry Median: 7.58 vs CEBUF: 6.87

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

Cebu Air's Operating Income for the three months ended in Sep. 2023 was $41 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Sep. 2023 was $103 Mil.


Cebu Air Operating Margin % Historical Data

The historical data trend for Cebu Air'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.

Cebu Air Operating Margin % Chart

Cebu Air Annual Data
Trend Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 9.51 14.88 -91.83 -147.12 -20.14

Cebu Air Quarterly Data
Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23
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 -18.04 -1.21 5.93 11.13 10.23

Competitive Comparison of Cebu Air's Operating Margin %

For the Airlines subindustry, Cebu Air'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.


Cebu Air's Operating Margin % Distribution in the Transportation Industry

For the Transportation industry and Industrials sector, Cebu Air's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Cebu Air's Operating Margin % falls into.



Cebu Air 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.

Cebu Air's Operating Margin % for the fiscal year that ended in Dec. 2022 is calculated as

Operating Margin %=Operating Income (A: Dec. 2022 ) / Revenue (A: Dec. 2022 )
=-198.285 / 984.608
=-20.14 %

Cebu Air's Operating Margin % for the quarter that ended in Sep. 2023 is calculated as

Operating Margin %=Operating Income (Q: Sep. 2023 ) / Revenue (Q: Sep. 2023 )
=41.449 / 405.021
=10.23 %

* 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.


Cebu Air  (OTCPK:CEBUF) 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.


Cebu Air Operating Margin % Related Terms

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


Cebu Air (Cebu Air) Business Description

Traded in Other Exchanges
Address
Sergio Osmena Boulevard, Level 4, Unit 4030-4031, Robinsons Galleria Cebu, General Maxilom Avenue cor, Cebu, CEB, PHL, 6000
Cebu Air Inc is a carrier in the Philippine air transportation industry. It has two reportable operating segments, which are the airline business (Parent Company and CEBGO) and the line and light maintenance business (A-Plus). The revenue of the operating segment was mainly derived from rendering transportation services and line and light maintenance services. The Airline Group has a network of distributors in the Philippines selling its domestic and international air services within an agreed territory or geographical coverage. Geographically, it operates in the Philippines, Asia (excluding the Philippines), Europe, and Others, out of which the majority is from the Philippines.

Cebu Air (Cebu Air) Headlines

From GuruFocus

Baron Funds Comments on Cebu Air Inc.

By Holly LaFon Holly LaFon 12-10-2013