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Diodes (Diodes) Operating Margin %

: 5.48% (As of Dec. 2023)
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Operating Margin % is calculated as Operating Income divided by its Revenue. Diodes's Operating Income for the three months ended in Dec. 2023 was $18 Mil. Diodes's Revenue for the three months ended in Dec. 2023 was $323 Mil. Therefore, Diodes's Operating Margin % for the quarter that ended in Dec. 2023 was 5.48%.

Good Sign:

Diodes Inc operating margin is expanding. Margin expansion is usually a good sign.

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

DIOD' s Operating Margin % Range Over the Past 10 Years
Min: 4.05   Med: 11.81   Max: 20.22
Current: 15.05


DIOD's Operating Margin % is ranked better than
76.99% of 982 companies
in the Semiconductors industry
Industry Median: 4.475 vs DIOD: 15.05

Diodes's 5-Year Average Operating Margin % Growth Rate was 6.70% per year.

Diodes's Operating Income for the three months ended in Dec. 2023 was $18 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 was $250 Mil.


Diodes Operating Margin % Historical Data

The historical data trend for Diodes'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.

Diodes Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Operating Margin %
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 14.10 10.94 15.30 20.22 15.05

Diodes Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Operating Margin % 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 Premium Member Only Premium Member Only Premium Member Only 18.70 18.50 19.17 13.95 5.48

Competitive Comparison

For the Semiconductors subindustry, Diodes'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.


Diodes Operating Margin % Distribution

For the Semiconductors industry and Technology sector, Diodes's Operating Margin % distribution charts can be found below:

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



Diodes 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.

Diodes'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 )
=250.109 / 1661.739
=15.05 %

Diodes'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 )
=17.675 / 322.699
=5.48 %

* 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.


Diodes  (NAS:DIOD) 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.


Diodes Operating Margin % Related Terms

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


Diodes (Diodes) Business Description

Traded in Other Exchanges
Address
4949 Hedgcoxe Road, Suite 200, Plano, TX, USA, 75024
Diodes Inc is a manufacturer and supplier of high-quality application-specific products within the broad discrete, logic, analog, and mixed-signal semiconductor markets. It serves the customer electronics, computing, communications, industrial, and automotive markets. The Company's products include diodes; rectifiers; transistors; MOSFETs; GPP bridges; GPP rectifiers; protection devices; function-specific arrays; single gate logic; amplifiers and comparators; Hall-effect and temperature sensors; and power management devices, including LED drivers, AC-DC converters and controllers, DC-DC switching and linear voltage regulators, voltage references along with special-function devices, such as USB power switches, load switches, voltage supervisors, and motor controllers.
Executives
Gary Yu officer: SVP, Business Groups 4949 HEDGCOXE ROAD, SUITE 200, PLANO TX 75024
Andy Tsong officer: President, Diodes Asia 4949 HEDGCOXE ROAD, SUITE 200, PLANO TX 75024
Peter M Menard director 4949 HEDGCOXE ROAD, SUITE 200, PLANO TX 75024
Keh Shew Lu director C/O DIODES INC, 3050 E HILLCREST DR, WESTLAKE CA 91362
Emily Yang officer: VP Worldwide Sales/Marketing 4949 HEDGCOXE ROAD, SUITE 200, PLANO TX 75024
Richard Dallas White officer: Sr. VP of Finance 3050 E. HILLCREST DRIVE, WESTLAKE VILLAGE CA 91362
Jin Zhao officer: VP, Worldwide Analog Products 4949 HEDGCOXE ROAD, SUITE 200, PLANO TX 75024
Elizabeth Bull director 4949 HEDGCOXE ROAD, SUITE 200, PLANO TX 75024
Brett R Whitmire officer: CFO, Effective 3/1/2019 4949 HEDGCOXE ROAD, SUITE 200, PLANO TX 75024
Michael R Giordano director C/O DIODES INC, 3050 E HILLCREST DR, WESTLAKE CA 91362
Julie Holland officer: VP WW Analog Products 15660 DALLAS PARKWAY, SUITE 850, DALLAS TX 75248
Evan Yu officer: VP Worldwide Analog Products 4949 HEDGCOXE ROAD SUITE 200, PLANO TX 75024
Francis Tang officer: VP, Product Development 3050 E. HILLCREST DRIVE, WESTLAKE VILLAGE CA 91362
C H Chen director, officer: President & CEO C/O DIODES INC, 3050 E HILLCREST DR, WESTLAKE CA 91362
Button Angie Chen director 4949 HEDGCOXE ROAD, SUITE 200, PLANO TX 75024