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VeriSign Operating Margin %

: 67.06% (As of Jun. 2022)
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Operating Margin % is calculated as Operating Income divided by its Revenue. VeriSign's Operating Income for the three months ended in Jun. 2022 was $236 Mil. VeriSign's Revenue for the three months ended in Jun. 2022 was $352 Mil. Therefore, VeriSign's Operating Margin % for the quarter that ended in Jun. 2022 was 67.06%.

Good Sign:

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

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

VRSN' s Operating Margin % Range Over the Past 10 Years
Min: 52.35   Med: 60.43   Max: 65.84
Current: 65.84


VRSN's Operating Margin % is ranked better than
99.47% of 2646 companies
in the Software industry
Industry Median: 3.05 vs VRSN: 65.84

VeriSign's 5-Year Average Operating Margin % Growth Rate was 1.90% per year.

VeriSign's Operating Income for the three months ended in Jun. 2022 was $236 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Jun. 2022 was $904 Mil.


VeriSign Operating Margin % Historical Data

The historical data trend for VeriSign'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.

VeriSign Annual Data
Trend Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21
Operating Margin %
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 60.74 63.16 65.45 65.15 65.29

VeriSign Quarterly Data
Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22
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 64.66 66.21 65.27 64.80 67.06

Competitive Comparison

For the Software - Infrastructure subindustry, VeriSign'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.

   

VeriSign Operating Margin % Distribution

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

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



VeriSign 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.

VeriSign's Operating Margin % for the fiscal year that ended in Dec. 2021 is calculated as

Operating Margin %=Operating Income (A: Dec. 2021 ) / Revenue (A: Dec. 2021 )
=866.803 / 1327.576
=65.29 %

VeriSign's Operating Margin % for the quarter that ended in Jun. 2022 is calculated as

Operating Margin %=Operating Income (Q: Jun. 2022 ) / Revenue (Q: Jun. 2022 )
=236 / 351.9
=67.06 %

* 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.


VeriSign  (NAS:VRSN) 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.


VeriSign Operating Margin % Related Terms

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


VeriSign Business Description

VeriSign logo
Address
12061 Bluemont Way, Reston, VA, USA, 20190
Verisign is the sole authorized registry for several generic top-level domains, including the widely utilized .com and .net top-level domains. The company operates critical Internet infrastructure to support the domain name system, including operating two of the world's 13 root servers that are used to route Internet traffic. In 2018, the firm sold off its Security Services business, signalling a renewed focus on the core registry business.
Executives
Armstrong Courtney D director 12061 BLUEMONT WAY RESTON VA 20190
Buchalter Yehuda Ari director 12061 BLUEMONT WAY RESTON VA 20190
Strubbe Todd B officer: EVP and COO VERISIGN 12061 BLUEMONT WAY RESTON VA 20190
Kilguss George E Iii officer: EVP and CFO C/O VERISIGN, INC. 12061 BLUEMONT WAY RESTON VA 20190
Frist Thomas F Iii director 3100 WEST END AVENUE SUITE 1225 NASHVILLE TN 37203
Indelicarto Thomas C officer: SVP, Gen Counsel & Secretary 12061 BLUEMONT WAY ATTN: GENERAL COUNSEL RESTON VA 20190
Gorelick Jamie S director 12061 BLUEMONT WAY RESTON VA 20190
Berkshire Hathaway Inc 10 percent owner 3555 FARNAM STREET OMAHA NE 68131
Buffett Warren E 10 percent owner 3555 FARNAM ST STE 1440 OMAHA NE 68131
Calys John officer: VP, Interim CFO 12061 BLUEMONT WAY ATTN: OFFICE OF GENERAL COUNSEL RESTON VA 20190
Kane Patrick S officer: Senior Vice President 12061 BLUEMONT WAY ATTN: OFFICE OF GENERAL COUNSEL RESTON VA 20190
Brennan Christine officer: SVP Global HR 21355 RIDGETOP CIRCLE ATTN: GENERAL COUNSEL DULLES VA 20166
Robins Brian G officer: ACTING CHIEF FINANCIAL OFFICER 21355 RIDGETOP CIRCLE ATTN: GENERAL COUNSEL DULLES VA 20166
Cote Kathleen A director 12061 BLUEMONT WAY RESTON VA 20190
Tomlinson Timothy director 12061 BLUEMONT WAY ATTN: GENERAL COUNSEL RESTON VA 20190

VeriSign Headlines

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