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Starwood Hotels & Resorts Worldwide (Starwood Hotels & Resorts Worldwide) Operating Margin % : 14.53% (As of Jun. 2016)


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What is Starwood Hotels & Resorts Worldwide Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Starwood Hotels & Resorts Worldwide's Operating Income for the three months ended in Jun. 2016 was $181 Mil. Starwood Hotels & Resorts Worldwide's Revenue for the three months ended in Jun. 2016 was $1,246 Mil. Therefore, Starwood Hotels & Resorts Worldwide's Operating Margin % for the quarter that ended in Jun. 2016 was 14.53%.

The historical rank and industry rank for Starwood Hotels & Resorts Worldwide's Operating Margin % or its related term are showing as below:


HOT's Operating Margin % is not ranked *
in the Travel & Leisure industry.
Industry Median: 8.29
* Ranked among companies with meaningful Operating Margin % only.

Starwood Hotels & Resorts Worldwide's 5-Year Average Operating Margin % Growth Rate was 0.00% per year.

Starwood Hotels & Resorts Worldwide's Operating Income for the three months ended in Jun. 2016 was $181 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Jun. 2016 was $724 Mil.


Starwood Hotels & Resorts Worldwide Operating Margin % Historical Data

The historical data trend for Starwood Hotels & Resorts Worldwide'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.

Starwood Hotels & Resorts Worldwide Operating Margin % Chart

Starwood Hotels & Resorts Worldwide Annual Data
Trend Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 11.20 14.43 15.13 14.76 12.84

Starwood Hotels & Resorts Worldwide Quarterly Data
Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16
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 13.30 13.95 13.33 10.83 14.53

Competitive Comparison of Starwood Hotels & Resorts Worldwide's Operating Margin %

For the Lodging subindustry, Starwood Hotels & Resorts Worldwide'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.


Starwood Hotels & Resorts Worldwide's Operating Margin % Distribution in the Travel & Leisure Industry

For the Travel & Leisure industry and Consumer Cyclical sector, Starwood Hotels & Resorts Worldwide's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Starwood Hotels & Resorts Worldwide's Operating Margin % falls into.



Starwood Hotels & Resorts Worldwide 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.

Starwood Hotels & Resorts Worldwide's Operating Margin % for the fiscal year that ended in Dec. 2015 is calculated as

Operating Margin %=Operating Income (A: Dec. 2015 ) / Revenue (A: Dec. 2015 )
=740 / 5763
=12.84 %

Starwood Hotels & Resorts Worldwide's Operating Margin % for the quarter that ended in Jun. 2016 is calculated as

Operating Margin %=Operating Income (Q: Jun. 2016 ) / Revenue (Q: Jun. 2016 )
=181 / 1246
=14.53 %

* 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.


Starwood Hotels & Resorts Worldwide  (NYSE:HOT) 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.


Starwood Hotels & Resorts Worldwide Operating Margin % Related Terms

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


Starwood Hotels & Resorts Worldwide (Starwood Hotels & Resorts Worldwide) Business Description

Traded in Other Exchanges
N/A
Address
Starwood Hotels & Resorts Worldwide Inc was incorporated in 1980 under the laws of Maryland. It operates as a hotel and leisure company. The Company conducts its hotel and leisure business both directly and through its subsidiaries. It has 1,222 properties providing approximately 354,200 rooms in approximately 100 countries and 180,400 employees under its management at its owned and managed properties, vacation ownership resorts and corporate offices. The Company manage and operate its hotel business in three separate hotel segments: the Americas, Europe, Africa and the Middle East ("EAME"), and Asia Pacific. Its vacation ownership and residential business is a separate segment. It franchises its Luxury Collection, Westin, Le Méridien, Sheraton, Four Points by Sheraton, Aloft and Element brands and generally derive licensing and other fees from franchisees based on a fixed percentage of the franchised hotel's room revenue, as well as fees for other services, including centralized reservations, loyalty program, national and international advertising and sales and marketing. The Company's brands name includes St. Regis, The Luxury Collection, W, Westin, Le Méridien, Sheraton, Four Points, Aloft, and Element. Some of its competitors are private management firms, several are national and international chains that own and operate their own hotels, as well as manage hotels for third-party owners and sell VOIs, under a variety of brands that compete directly with its brands. It is subject to taxation at the federal, state or provincial and local levels in the U.S. and various other countries and jurisdictions.
Executives
Charlene Barshefsky director
Lizanne Galbreath director LASALLE PARTNERS INC, 200 RANDOLPH DR, CHICAGO IL 60601
Kenneth S Siegel officer: CAO & General Counsel 40 STARWOOD HOTELS & RESORTS, 111 WESTCHESTER AVE, WHITE PLAINS NY 10604
Thomas B Mangas director, officer: Chief Executive Officer C/O ARMSTRONG WORLD INDUSTRIES, INC., 2500 COLUMBIA AVENUE, LANCASTER PA 17603
Sergio Rivera officer: President, The Americas C/O STARWOOD HOTELS & RESORTS WORLDWIDE,, ONE STARPOINT, STAMFORD CT 06902
Stephen R Quazzo director C/O STARWOOD HOTELS & RESORTS WORLDWIDE, 44 SOUTH BROADWAY, WHITE PLAINS NY 10601
Daley Clayton C Jr director C/O THE PROCTER & GAMBLE COMPANY,, ONE PROCTER & GAMBLE PLAZA, CINCINNATI OH 45202
Thomas E Clarke director C/O NEWELL RUBBERMAID INC, THREE GLENLAKE PKWY., ATLANTA 2Q 30328
Thomas O Ryder director C/O READERS DIGEST ASSOCITATION INC, READERS DIGEST RD., PLEASANTVILLE NY 10570
Aylwin B Lewis director 111 N. CANAL, SUITE 850, CHICAGO IL 60606
Eric Hippeau director STARWOOD HOTELS & RESORTS WORLDWIDE, 44 SOUTH BROADWAY, WHITE PLAINS NY 10601
Bruce W Duncan director ONE NORTH WACKER DRIVE, SUITE 4200, CHICAGO IL 60606
Adam M Aron director, officer: CEO on an interim basis AMC ENTERTAINMENT HOLDINGS, INC, 11500 ASH STREET, LEAWOOD KS 66211
Van Paasschen Frits D director, officer: President and CEO C/O STARWOOD HOTELS & RESORTS WORLDWIDE, 1111 WESTCHESTER AVENUE, WHITE PLAINS NY 10604
Vasant M Prabhu officer: Vice Chairman & CFO C/O SAFEWAY INC, 5918 STONERIDGE MALL ROAD, PLEASANTON CA 94588

Starwood Hotels & Resorts Worldwide (Starwood Hotels & Resorts Worldwide) Headlines