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REV Group (REV Group) Operating Margin % : 1.18% (As of Jan. 2024)


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What is REV Group Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. REV Group's Operating Income for the three months ended in Jan. 2024 was $7 Mil. REV Group's Revenue for the three months ended in Jan. 2024 was $586 Mil. Therefore, REV Group's Operating Margin % for the quarter that ended in Jan. 2024 was 1.18%.

Good Sign:

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

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

REVG' s Operating Margin % Range Over the Past 10 Years
Min: 0.18   Med: 3.16   Max: 4.04
Current: 4.04


REVG's Operating Margin % is ranked worse than
68.45% of 206 companies
in the Farm & Heavy Construction Machinery industry
Industry Median: 7.635 vs REVG: 4.04

REV Group's 5-Year Average Operating Margin % Growth Rate was 15.30% per year.

REV Group's Operating Income for the three months ended in Jan. 2024 was $7 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Jan. 2024 was $107 Mil.


REV Group Operating Margin % Historical Data

The historical data trend for REV 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.

REV Group Operating Margin % Chart

REV Group Annual Data
Trend Oct14 Oct15 Oct16 Oct17 Oct18 Oct19 Oct20 Oct21 Oct22 Oct23
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.27 0.18 3.69 1.98 3.36

REV Group 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 -1.94 4.26 3.78 6.51 1.18

Competitive Comparison of REV Group's Operating Margin %

For the Farm & Heavy Construction Machinery subindustry, REV 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.


REV Group's Operating Margin % Distribution in the Farm & Heavy Construction Machinery Industry

For the Farm & Heavy Construction Machinery industry and Industrials sector, REV Group's Operating Margin % distribution charts can be found below:

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



REV 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.

REV Group's Operating Margin % for the fiscal year that ended in Oct. 2023 is calculated as

Operating Margin %=Operating Income (A: Oct. 2023 ) / Revenue (A: Oct. 2023 )
=88.6 / 2638
=3.36 %

REV Group'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 )
=6.9 / 586
=1.18 %

* 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.


REV Group  (NYSE:REVG) 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.


REV Group Operating Margin % Related Terms

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


REV Group (REV Group) Business Description

Traded in Other Exchanges
Address
245 South Executive Drive, Suite 100, Brookfield, WI, USA, 53005
REV Group Inc is a United States-based designer, manufacturer, and distributor of specialty vehicles and related aftermarket parts and services. It provides customized vehicle solutions for applications including essential needs, industrial and commercial, and consumer leisure. The operating segments of the company are Fire & Emergency, Commercial, and Recreation. The products of the company are sold to municipalities, government agencies, private contractors, consumers, and industrial and commercial end-users. It derives a majority of the revenue from the Fire and Emergency segment which includes manufacturing of fire apparatus and ambulance products. The company operates in the United States, Canada, and the rest of the world.
Executives
Stephen Zamansky officer: SVP, Gen Counsel & Sec
Maureen Oconnell director
Joseph Ladue officer: Chief Accounting Officer 245 SOUTH EXECUTIVE DR, SUITE 100, BROOKFIELD WI 53005
Paul J Bamatter director C/O REV GROUP, INC., 111 EAST KILBOURN AVENUE, SUITE 2600, MILWAUKEE WI 53202
Joel M. Rotroff director C/O REV GROUP, INC., 111 EAST KILBOURN AVENUE, SUITE 2600, MILWAUKEE WI 53202
Dino M Cusumano director C/O REV GROUP, INC., 111 EAST KILBOURN AVENUE, SUITE 2600, MILWAUKEE WI 53202
Justin Fish director C/O REV GROUP, INC., 111 EAST KILBOURN AVENUE, SUITE 2600, MILWAUKEE WI 53202
Skonieczny Jr. Mark A officer: Chief Financial Officer 833 E MICHIGAN STREET, SUITE 1100, MILWAUKEE WI 53202
Christopher M Daniels officer: Chief Human Resources Officer 111 E. KILBOURN AVE., SUITE 2600, MILWAUKEE WI 53202
Rodney M Rushing director, officer: CEO and President 5757 N GREEN BAY AVE, MILWAUKEE WI 53209
Stephen W. Boettinger officer: General Counsel C/O REV GROUP, INC., 111 E KILBOURN AVENUE, SUITE 2600, MILWAUKEE WI 53202
Randall Swift director 450 LEXINGTON AVE, 40TH FLOOR, NEW YORK NY 10017
Dean J Nolden officer: Chief Financial Officer C/O REV GROUP, INC., 111 EAST KILBOURN AVENUE, SUITE 2600, MILWAUKEE WI 53202
Timothy W Sullivan director, officer: Chief Executive Officer C/O REV GROUP, INC., 111 EAST KILBOURN AVENUE, SUITE 2600, MILWAUKEE WI 53202
John Canan director C/O REV GROUP, INC., 111 EAST KILBOURN AVENUE, SUITE 2600, MILWAUKEE WI 53202