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Alimentation Couche-Tard (Alimentation Couche-Tard) Operating Margin %

: 4.73% (As of Jan. 2024)
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Operating Margin % is calculated as Operating Income divided by its Revenue. Alimentation Couche-Tard's Operating Income for the three months ended in Jan. 2024 was $929 Mil. Alimentation Couche-Tard's Revenue for the three months ended in Jan. 2024 was $19,622 Mil. Therefore, Alimentation Couche-Tard's Operating Margin % for the quarter that ended in Jan. 2024 was 4.73%.

Good Sign:

Alimentation Couche-Tard Inc operating margin is expanding. Margin expansion is usually a good sign.

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

ANCTF' s Operating Margin % Range Over the Past 10 Years
Min: 2.6   Med: 4.67   Max: 7.85
Current: 5.95


ANCTF's Operating Margin % is ranked better than
63.3% of 1109 companies
in the Retail - Cyclical industry
Industry Median: 3.44 vs ANCTF: 5.95

Alimentation Couche-Tard's 5-Year Average Operating Margin % Growth Rate was 9.00% per year.

Alimentation Couche-Tard's Operating Income for the three months ended in Jan. 2024 was $929 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Jan. 2024 was $4,045 Mil.


Alimentation Couche-Tard Operating Margin % Historical Data

The historical data trend for Alimentation Couche-Tard'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.

Alimentation Couche-Tard Annual Data
Trend Apr14 Apr15 Apr16 Apr17 Apr18 Apr19 Apr20 Apr21 Apr22 Apr23
Operating Margin %
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 4.19 5.65 7.85 5.67 5.77

Alimentation Couche-Tard Quarterly Data
Apr19 Jul19 Oct19 Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24
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 5.09 5.44 7.25 6.69 4.73

Competitive Comparison

For the Specialty Retail subindustry, Alimentation Couche-Tard'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.


Alimentation Couche-Tard Operating Margin % Distribution

For the Retail - Cyclical industry and Consumer Cyclical sector, Alimentation Couche-Tard's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Alimentation Couche-Tard's Operating Margin % falls into.



Alimentation Couche-Tard 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.

Alimentation Couche-Tard's Operating Margin % for the fiscal year that ended in Apr. 2023 is calculated as

Operating Margin %=Operating Income (A: Apr. 2023 ) / Revenue (A: Apr. 2023 )
=4145.5 / 71856.7
=5.77 %

Alimentation Couche-Tard'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 )
=928.7 / 19622
=4.73 %

* 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.


Alimentation Couche-Tard  (OTCPK:ANCTF) 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.


Alimentation Couche-Tard Operating Margin % Related Terms

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Alimentation Couche-Tard (Alimentation Couche-Tard) Business Description

Traded in Other Exchanges
Address
4204 Boulevard Industriel, Laval, QC, CAN, H7L 0E3
Alimentation Couche-Tard Inc operates a network of convenience stores across North America, Ireland, Scandinavia, Poland, the Baltics, and Russia. The company primarily generates income through the sale of tobacco products, groceries, beverages, fresh food, quick service restaurants, car wash services, other retail products and services, road transportation fuel, stationary energy, marine fuel, and chemicals. In addition, the company operates more stores under the Circle K banner in other countries such as China, Egypt, and Malaysia. Its operation is geographically divided into U.S., Europe, and Canada. Revenue from external customers fall mainly into three categories: merchandise and services, road transportation fuel, and other.