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Steelcase Operating Margin %

: -1.26% (As of May. 2022)
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Operating Margin % is calculated as Operating Income divided by its Revenue. Steelcase's Operating Income for the three months ended in May. 2022 was $-9 Mil. Steelcase's Revenue for the three months ended in May. 2022 was $741 Mil. Therefore, Steelcase's Operating Margin % for the quarter that ended in May. 2022 was -1.26%.

Warning Sign:

Steelcase Inc operating margin has been in a 5-year decline. The average rate of decline per year is -29.6%.

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

SCS' s Operating Margin % Range Over the Past 10 Years
Min: 0.72   Med: 5.21   Max: 6.9
Current: 1.44


SCS's Operating Margin % is ranked worse than
75.62% of 2732 companies
in the Industrial Products industry
Industry Median: 6.76 vs SCS: 1.44

Steelcase's 5-Year Average Operating Margin % Growth Rate was -29.60% per year.

Steelcase's Operating Income for the three months ended in May. 2022 was $-9 Mil. Its Operating Income for the trailing twelve months (TTM) ended in May. 2022 was $43 Mil.


Steelcase Operating Margin % Historical Data

The historical data trend for Steelcase'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.

Steelcase Annual Data
Trend Feb13 Feb14 Feb15 Feb16 Feb17 Feb18 Feb19 Feb20 Feb21 Feb22
Operating Margin %
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 5.08 5.33 6.90 3.03 0.72

Steelcase Quarterly Data
Aug17 Nov17 Feb18 May18 Aug18 Nov18 Feb19 May19 Aug19 Nov19 Feb20 May20 Aug20 Nov20 Feb21 May21 Aug21 Nov21 Feb22 May22
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 -5.71 4.68 2.15 0.28 -1.26

Competitive Comparison

For the Business Equipment & Supplies subindustry, Steelcase'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.

   

Steelcase Operating Margin % Distribution

For the Industrial Products industry and Industrials sector, Steelcase's Operating Margin % distribution charts can be found below:

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



Steelcase 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.

Steelcase's Operating Margin % for the fiscal year that ended in Feb. 2022 is calculated as

Operating Margin %=Operating Income (A: Feb. 2022 ) / Revenue (A: Feb. 2022 )
=20.1 / 2772.7
=0.72 %

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

Operating Margin %=Operating Income (Q: May. 2022 ) / Revenue (Q: May. 2022 )
=-9.3 / 740.7
=-1.26 %

* 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.


Steelcase  (NYSE:SCS) 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.


Steelcase Operating Margin % Related Terms

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


Steelcase Business Description

Steelcase logo
Traded in Other Exchanges
Address
901 44th Street SE, Grand Rapids, MI, USA, 49508
Steelcase Inc is a furniture company primarily based in the United States and has operations in Europe, the Middle East, and Africa. Steelcase markets its products primarily through a network of independent and company-owned dealers. The company operates through the Americas segment, the EMEA segment and the Other category. The Americas segment offers architecture, furniture and technology products is marketed to corporate, government, healthcare, education and retail customers, EMEA segment provides furniture systems, storage and seating solutions.
Executives
Miller Steven Douglas officer: VP, Chief Technology Officer 901 44TH STREET SE GRAND RAPIDS MI 49508
Zondervan Robin L officer: Corporate Controller and CAO 901 44TH STREET SE GRAND RAPIDS MI 49508
Williams Linda K director 901 44TH STREET SE GRAND RAPIDS MI 49508
Flynn Donna K officer: VP, Global Talent Management 901 44TH STREET SE GRAND RAPIDS MI 49508
Schmelter Triona director 2021 SPRING ROAD SUITE 600 OAK BROOK IL 60523
Niemann Jennifer C director 901 44TH STREET SE GRAND RAPIDS MI 49508
Kelsey Todd P. director 55 JEWELERS PARK DRIVE NEENAH WI 54956
Brown Timothy C. E. director 901 44TH STREET SE GRAND RAPIDS MI 49508
Krestakos Robert G officer: VP, Global Operations 901 44TH STREET SE GRAND RAPIDS MI 49508
Lenhardt Terrence J officer: VP, Chief Information Officer 901 44TH STREET SE GRAND RAPIDS MI 49508
Moutrey Gale officer: VP, Communications 901 44TH STREET SE GRAND RAPIDS MI 49508
Khorramian Hamid officer: Senior VP, Global Operations 901 - 44TH STREET, SE GRAND RAPIDS MI 49508
Schmitt Eddy F officer: Senior VP, Americas 901 44TH STREET SE GRAND RAPIDS MI 49508
Alvarez Guillaume M officer: Senior VP, EMEA 901 44TH STREET SE GRAND RAPIDS MI 49508
Ludwig James N officer: VP, Global Design & Prod Eng 901 44TH STREET SE GRAND RAPIDS MI 49508

Steelcase Headlines

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Why Steelcase Stock Fell Today

By Fool 2020-07-01

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