GURUFOCUS.COM » STOCK LIST » Basic Materials » Metals & Mining » Richmont Mines Inc (NYSE:RIC) » Definitions » Operating Margin %

Richmont Mines (Richmont Mines) Operating Margin % : 13.23% (As of Sep. 2017)


View and export this data going back to 1995. Start your Free Trial

What is Richmont Mines Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Richmont Mines's Operating Income for the three months ended in Sep. 2017 was $3.9 Mil. Richmont Mines's Revenue for the three months ended in Sep. 2017 was $29.8 Mil. Therefore, Richmont Mines's Operating Margin % for the quarter that ended in Sep. 2017 was 13.23%.

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


RIC's Operating Margin % is not ranked *
in the Metals & Mining industry.
Industry Median: 1.87
* Ranked among companies with meaningful Operating Margin % only.

Richmont Mines's 5-Year Average Operating Margin % Growth Rate was 0.00% per year.

Richmont Mines's Operating Income for the three months ended in Sep. 2017 was $3.9 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Sep. 2017 was $19.1 Mil.


Richmont Mines Operating Margin % Historical Data

The historical data trend for Richmont Mines'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.

Richmont Mines Operating Margin % Chart

Richmont Mines Annual Data
Trend Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -2.74 -27.08 6.44 5.62 7.91

Richmont Mines Quarterly Data
Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17
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 -2.08 1.71 13.95 21.21 13.23

Competitive Comparison of Richmont Mines's Operating Margin %

For the Gold subindustry, Richmont Mines'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.


Richmont Mines's Operating Margin % Distribution in the Metals & Mining Industry

For the Metals & Mining industry and Basic Materials sector, Richmont Mines's Operating Margin % distribution charts can be found below:

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



Richmont Mines 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.

Richmont Mines's Operating Margin % for the fiscal year that ended in Dec. 2016 is calculated as

Operating Margin %=Operating Income (A: Dec. 2016 ) / Revenue (A: Dec. 2016 )
=10.003 / 126.471
=7.91 %

Richmont Mines's Operating Margin % for the quarter that ended in Sep. 2017 is calculated as

Operating Margin %=Operating Income (Q: Sep. 2017 ) / Revenue (Q: Sep. 2017 )
=3.937 / 29.765
=13.23 %

* 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.


Richmont Mines  (NYSE:RIC) 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.


Richmont Mines Operating Margin % Related Terms

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


Richmont Mines (Richmont Mines) Business Description

Traded in Other Exchanges
N/A
Address
Richmont Mines Inc is a Canada-based gold producer. The company is involved in the gold production, mine development and mineral exploration. Its geographic segments consist of Quebec and Ontario. The company currently operates the Beaufor Mine and the Camflo Mill in Quebec. Richmont also produces gold from the Island Gold Mine in Ontario. The majority of the company's revenue is derived from gold sales and silver sales.

Richmont Mines (Richmont Mines) Headlines

From GuruFocus

Richmont Mines Reports Solid 1st Quarter Operating Results

By Alberto Abaterusso Alberto Abaterusso 04-14-2017