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Procter & Gamble Co Operating Margin %

: 18.44% (As of Jun. 2022)
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Operating Margin % is calculated as Operating Income divided by its Revenue. Procter & Gamble Co's Operating Income for the three months ended in Jun. 2022 was $3,598 Mil. Procter & Gamble Co's Revenue for the three months ended in Jun. 2022 was $19,515 Mil. Therefore, Procter & Gamble Co's Operating Margin % for the quarter that ended in Jun. 2022 was 18.44%.

Good Sign:

Procter & Gamble Co operating margin is expanding. Margin expansion is usually a good sign.

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

PG' s Operating Margin % Range Over the Past 10 Years
Min: 17.63   Med: 20.51   Max: 23.63
Current: 22.21


PG's Operating Margin % is ranked better than
92.62% of 1788 companies
in the Consumer Packaged Goods industry
Industry Median: 4.78 vs PG: 22.21

Procter & Gamble Co's 5-Year Average Operating Margin % Growth Rate was 2.40% per year.

Procter & Gamble Co's Operating Income for the three months ended in Jun. 2022 was $3,598 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Jun. 2022 was $17,813 Mil.


Procter & Gamble Co Operating Margin % Historical Data

The historical data trend for Procter & Gamble Co'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.

Procter & Gamble Co Annual Data
Trend Jun13 Jun14 Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22
Operating Margin %
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 19.99 20.44 22.14 23.63 22.21

Procter & Gamble Co 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 18.68 24.70 24.66 20.76 18.44

Competitive Comparison

For the Household & Personal Products subindustry, Procter & Gamble Co'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.

   

Procter & Gamble Co Operating Margin % Distribution

For the Consumer Packaged Goods industry and Consumer Defensive sector, Procter & Gamble Co's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Procter & Gamble Co's Operating Margin % falls into.



Procter & Gamble Co 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.

Procter & Gamble Co's Operating Margin % for the fiscal year that ended in Jun. 2022 is calculated as

Operating Margin %=Operating Income (A: Jun. 2022 ) / Revenue (A: Jun. 2022 )
=17813 / 80187
=22.21 %

Procter & Gamble Co'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 )
=3598 / 19515
=18.44 %

* 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.


Procter & Gamble Co  (NYSE:PG) 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.


Procter & Gamble Co Operating Margin % Related Terms

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


Procter & Gamble Co Business Description

Procter & Gamble Co logo
Address
One Procter and Gamble Plaza, Cincinnati, OH, USA, 45202
Since its founding in 1837, Procter & Gamble has become one of the world's largest consumer product manufacturers, generating more than $75 billion in annual sales. It operates with a lineup of leading brands, including 21 that generate more than $1 billion each in annual global sales, such as Tide laundry detergent, Charmin toilet paper, Pantene shampoo, and Pampers diapers. P&G sold its last remaining food brand, Pringles, to Kellogg in calendar 2012. Sales outside its home turf represent around 55% of the firm's consolidated total, with around one third coming from emerging markets.
Executives
Davis Jennifer L. officer: CEO - Health Care 1 PROCTER & GAMBLE PLAZA CINCINNATI OH 45202
Janzaruk Matthew W. officer: SVP - Chief Accounting Officer 1 PROCTER & GAMBLE PLAZA CINCINNATI OH 45202
Kempczinski Christopher J director THREE LAKES DRIVE NORTHFIELD IL 60093
Raman Sundar G. officer: CEO-Fabric & Home Care ONE PROCTER & GAMBLE PLAZA CINCINNATI OH 45202
Homan Michael G. officer: SVP - Chief Accounting Officer ONE PROCTER & GAMBLE PLAZA CINCINNATI OH 45202
Schulten Andre officer: Chief Financial Officer ONE PROCTER & GAMBLE PLAZA CINCINNATI OH 45202
Allen Bertrand Marc director 100 N. RIVERSIDE PLAZA MC 5003-1001 CHICAGO IL 60606
Aguilar Moses Victor Javier officer: Chf Rsch, Dev & Innov Officer ONE PROCTER & GAMBLE PLAZA CINCINNATI OH 45202
Lee Debra L director C/O BLACK ENTERTAINMENT 1 BET PLZ. 1900W PLACE N.W. WASHINGTON DC 20018
Mccarthy Christine M director 500 SOUTH BUENA VISTA STREET BURBANK CA 91521-0964
Grabowski Mary Theresa officer: Chief Human Resources Officer ONE PROCTER & GAMBLE PLAZA CINCINNATI OH 45202
Jejurikar Shailesh officer: President - Global Fabric Care ONE PROCTER & GAMBLE PLAZA CINCINNATI OH 45202
Francisco Ma. Fatima officer: President - Global Baby ONE PROCTER & GAMBLE PLAZA CINCINNATI OH 45202
Peltz Nelson director 223 SUNSET AVENUE PALM BEACH FL 33480
Tassel Loic officer: President - Europe SMO ONE PROCTER & GAMBLE PLAZA CINCINNATI OH 45202

Procter & Gamble Co Headlines

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