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PagerDuty (PagerDuty) Operating Margin % : -30.09% (As of Jan. 2024)


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What is PagerDuty Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. PagerDuty's Operating Income for the three months ended in Jan. 2024 was $-33.4 Mil. PagerDuty's Revenue for the three months ended in Jan. 2024 was $111.1 Mil. Therefore, PagerDuty's Operating Margin % for the quarter that ended in Jan. 2024 was -30.09%.

Good Sign:

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

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

PD' s Operating Margin % Range Over the Past 10 Years
Min: -48.12   Med: -34.89   Max: -22.35
Current: -22.35


PD's Operating Margin % is ranked worse than
77.6% of 2759 companies
in the Software industry
Industry Median: 3.28 vs PD: -22.35

PagerDuty's 5-Year Average Operating Margin % Growth Rate was 5.80% per year.

PagerDuty's Operating Income for the three months ended in Jan. 2024 was $-33.4 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Jan. 2024 was $-96.2 Mil.


PagerDuty Operating Margin % Historical Data

The historical data trend for PagerDuty'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.

PagerDuty Operating Margin % Chart

PagerDuty Annual Data
Trend Jan18 Jan19 Jan20 Jan21 Jan22 Jan23 Jan24
Operating Margin %
Get a 7-Day Free Trial -33.40 -31.04 -36.15 -34.89 -22.35

PagerDuty Quarterly Data
Apr19 Jul19 Oct19 Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24
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 -26.24 -15.30 -24.32 -19.17 -30.09

Competitive Comparison of PagerDuty's Operating Margin %

For the Software - Application subindustry, PagerDuty'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.


PagerDuty's Operating Margin % Distribution in the Software Industry

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

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



PagerDuty 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.

PagerDuty's Operating Margin % for the fiscal year that ended in Jan. 2024 is calculated as

Operating Margin %=Operating Income (A: Jan. 2024 ) / Revenue (A: Jan. 2024 )
=-96.246 / 430.699
=-22.35 %

PagerDuty's Operating Margin % for the quarter that ended in Jan. 2024 is calculated as

Operating Margin %=Operating Income (Q: Jan. 2024 ) / Revenue (Q: Jan. 2024 )
=-33.431 / 111.117
=-30.09 %

* 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.


PagerDuty  (NYSE:PD) 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.


PagerDuty Operating Margin % Related Terms

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


PagerDuty (PagerDuty) Business Description

Traded in Other Exchanges
Address
600 Townsend Street, Suite 200, San Francisco, CA, USA, 94103
PagerDuty is a digital operations management platform that manages urgent and mission-critical work for a modern, digital business. Its platform harnesses digital signals from virtually any software-enabled system or device, combines it with human response data, and orchestrates teams to take the right actions in real-time. The product offerings of the company include DEVOPS, AIOPS, PROCESS AUTOMATION and BUSINESS OPERATIONS.
Executives
Howard Wilson officer: Chief Financial Officer C/O PAGERDUTY, INC., 600 TOWNSEND ST., STE. 200, SAN FRANCISCO CA 94103
Shelley Webb officer: SVP and General Counsel 600 TOWNSEND STREET, SUITE 200, SAN FRANCISCO CA 94103
Mitra Rezvan officer: Principal Accounting Officer C/O, 600 TOWNSEND STREET, SUITE 200, SAN FRANCISCO CA 94103
Rathi Murthy director C/O PAGERDUTY, INC., 600 TOWNSEND ST., STE. 200, SAN FRANCISCO CA 94103
Jennifer Tejada director, officer: Chief Executive Officer 767 FIFTH AVENUE, C/O THE ESTEE LAUDER COMPANIES INC., NEW YORK NY 10153
Elena Gomez director TOAST, INC., 401 PARK DRIVE, BOSTON MA 02215
Dave Justice officer: Chief Revenue Officer C/O PAGERDUTY, INC., 600 TOWNSEND ST., SUITE 200, SAN FRANCISCO CA 94103
William E Losch director DREAMWORKS ANIMATION SKG, INC., 1000 FLOWER STREET, GLENDALE CA 91201
Stacey Giamalis officer: Senior VP, Legal and GC C/O PAGERDUTY, INC., 600 TOWNSEND ST., STE. 200, SAN FRANCISCO CA 94103
Sameer Dholakia director C/O SENDGRID, INC., 1801 CALIFORNIA STREET, SUITE 500, DENVER CO 80202
Zachary Nelson director C/O NETWORK ASSOCIATES, INC, 3965 FREEDOM CIRCLE, SANTA CLARA CA 95054
Bonita C. Stewart director 250 COROMAR DRIVE, GOLETA CA 93117
Dan Alexandru Solomon director, officer: CTO & Co-Founder C/O PAGERDUTY, INC., 600 TOWNSEND ST., STE. 200, SAN FRANCISCO CA 94103
Alec D. Gallimore director 2600 ANSYS DRIVE, CANONSBURG PA 15317
Karen Sammis Walker officer: Principal Accounting Officer 2101 WEBSTER STREET, #1650, OAKLAND CA 94612