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Dunkin' Brands Group (Dunkin' Brands Group) Operating Margin % : 33.68% (As of Sep. 2020)


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What is Dunkin' Brands Group Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Dunkin' Brands Group's Operating Income for the three months ended in Sep. 2020 was $122 Mil. Dunkin' Brands Group's Revenue for the three months ended in Sep. 2020 was $362 Mil. Therefore, Dunkin' Brands Group's Operating Margin % for the quarter that ended in Sep. 2020 was 33.68%.

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


DNKN's Operating Margin % is not ranked *
in the Restaurants industry.
Industry Median: 4.375
* Ranked among companies with meaningful Operating Margin % only.

Dunkin' Brands Group's 5-Year Average Operating Margin % Growth Rate was 0.00% per year.

Dunkin' Brands Group's Operating Income for the three months ended in Sep. 2020 was $122 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Sep. 2020 was $399 Mil.


Dunkin' Brands Group Operating Margin % Historical Data

The historical data trend for Dunkin' Brands Group'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.

Dunkin' Brands Group Operating Margin % Chart

Dunkin' Brands Group Annual Data
Trend Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 44.63 29.33 29.59 30.16 31.68

Dunkin' Brands Group Quarterly Data
Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20
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 32.23 30.27 30.24 27.08 33.68

Competitive Comparison of Dunkin' Brands Group's Operating Margin %

For the Restaurants subindustry, Dunkin' Brands Group'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.


Dunkin' Brands Group's Operating Margin % Distribution in the Restaurants Industry

For the Restaurants industry and Consumer Cyclical sector, Dunkin' Brands Group's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Dunkin' Brands Group's Operating Margin % falls into.



Dunkin' Brands Group 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.

Dunkin' Brands Group's Operating Margin % for the fiscal year that ended in Dec. 2019 is calculated as

Operating Margin %=Operating Income (A: Dec. 2019 ) / Revenue (A: Dec. 2019 )
=434.084 / 1370.227
=31.68 %

Dunkin' Brands Group's Operating Margin % for the quarter that ended in Sep. 2020 is calculated as

Operating Margin %=Operating Income (Q: Sep. 2020 ) / Revenue (Q: Sep. 2020 )
=121.756 / 361.543
=33.68 %

* 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.


Dunkin' Brands Group  (NAS:DNKN) 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.


Dunkin' Brands Group Operating Margin % Related Terms

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Dunkin' Brands Group (Dunkin' Brands Group) Business Description

Traded in Other Exchanges
N/A
Address
130 Royall Street, Canton, MA, USA, 02021
Dunkin' Brands, through Dunkin' Donuts (83% of system sales) and Baskin-Robbins (17%), generates revenue through franchise royalties and rent payments, sales of ice cream products to franchisees, and sales at company-owned stores. Based on systemwide sales of $12.2 billion in 2019, Dunkin' is the second-largest global beverage and snack chain behind Starbucks. There are more than 13,100 Dunkin' Donuts (9,600 U.S. and 3,500 international) and almost 8,000 Baskin-Robbins locations worldwide (2,500 U.S. and 5,500 international). In October 2020, the company agreed to a $11.3 billion buyout by Roark Capital-backed Inspire Brands, the parent company of Arby's, Sonic, Buffalo Wild Wings, Jimmy John's and others.
Executives
Carl Sparks director 4315 NORTHAVEN ROAD, DALLAS TX 75229
Mark E Nunnelly director BAIN CAPITAL PARTNERS LLC, JOHN HANCOCK TOWER, 200 CLARENDON STREET, BOSTON MA 02116
Anthony Dinovi director C/O THOMAS H LEE PARTNERS LP, 100 FEDERAL STREET, 35TH FLOOR, BOSTON MA 02110
Irene Chang Britt director CAMPBELL SOUP COMPANY, ONE CAMPBELL PLACE, CAMDEN NJ 08103
Ralph Alvarez director ELI LILLY AND COMPANY, LILLY CORPORATE CENTER, INDIANAPOLIS IN 46285
Karen Raskopf officer: Chief Comm & Sust Officer 130 ROYALL STREET CANTON MA 02021
John Varughese officer: SVP, International C/O DUNKIN BRANDS, INC. 131 ROYALL STREET CANTON MA 02021
Philip Auerbach officer: Chief Digital & Strategy Offcr C/O LINDBLAD EXPEDITIONS HOLDING, INC., 96 MORTON STREET, 9TH FLOOR, NEW YORK NY 10014
Nigel Travis director C/O BLOCKBUSTER INC, 1201 ELM ST #2100, DALLAS TX 75270
Michael F Hines director
Roland Smith director 2951 28TH STREET, SANTA MONICA CA 90405
John L. Clare officer: CIO and Chief Strategy Officer C/O DUNKIN BRANDS, INC. 130 ROYALL STREET CANTON MA 02021
Richard J Emmett officer: Chief Legal Officer 2002 PAPA JOHNS BOVD, PO BOX 999000, LLOUISVILLE KY 40269-0900
Sandra Horbach director C/O FORSTMANN LITTLE & CO, 767 FIFTH AVE, NEW YORK NY 10153
William M Mitchell officer: President, International P.O. BOX 99900, LOUISVILLE KY 40269

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