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SMA Solar Technology AG (SMA Solar Technology AG) Operating Margin % : 13.03% (As of Dec. 2023)


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What is SMA Solar Technology AG Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. SMA Solar Technology AG's Operating Income for the three months ended in Dec. 2023 was $81 Mil. SMA Solar Technology AG's Revenue for the three months ended in Dec. 2023 was $618 Mil. Therefore, SMA Solar Technology AG's Operating Margin % for the quarter that ended in Dec. 2023 was 13.03%.

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

SMTGF' s Operating Margin % Range Over the Past 10 Years
Min: -21.29   Med: 2.98   Max: 14.46
Current: 14.46


SMTGF's Operating Margin % is ranked better than
75.91% of 984 companies
in the Semiconductors industry
Industry Median: 4.425 vs SMTGF: 14.46

SMA Solar Technology AG's 5-Year Average Operating Margin % Growth Rate was 0.00% per year.

SMA Solar Technology AG's Operating Income for the three months ended in Dec. 2023 was $81 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 was $297 Mil.


SMA Solar Technology AG Operating Margin % Historical Data

The historical data trend for SMA Solar Technology AG'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.

SMA Solar Technology AG Operating Margin % Chart

SMA Solar Technology AG Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -0.45 3.52 -3.14 3.86 14.46

SMA Solar Technology AG Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
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 5.67 13.73 13.52 17.10 13.03

Competitive Comparison of SMA Solar Technology AG's Operating Margin %

For the Solar subindustry, SMA Solar Technology AG'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.


SMA Solar Technology AG's Operating Margin % Distribution in the Semiconductors Industry

For the Semiconductors industry and Technology sector, SMA Solar Technology AG's Operating Margin % distribution charts can be found below:

* The bar in red indicates where SMA Solar Technology AG's Operating Margin % falls into.



SMA Solar Technology AG 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.

SMA Solar Technology AG's Operating Margin % for the fiscal year that ended in Dec. 2023 is calculated as

Operating Margin %=Operating Income (A: Dec. 2023 ) / Revenue (A: Dec. 2023 )
=300.328 / 2076.4
=14.46 %

SMA Solar Technology AG's Operating Margin % for the quarter that ended in Dec. 2023 is calculated as

Operating Margin %=Operating Income (Q: Dec. 2023 ) / Revenue (Q: Dec. 2023 )
=80.501 / 617.98
=13.03 %

* 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.


SMA Solar Technology AG  (OTCPK:SMTGF) 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.


SMA Solar Technology AG Operating Margin % Related Terms

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SMA Solar Technology AG (SMA Solar Technology AG) Business Description

Address
Sonnenallee 1, Niestetal, DEU, 34266
SMA Solar Technology AG produces, develops, and sells photovoltaic (PV) inverters and other technologies. It operates through several businesses that include Residential, Commercial, Utility, Off-Grid and Storage, and Service. The company's PV inverters convert direct currents from the module into alternating currents. Depending on demand, it is consumed directly into the home, stored, or fed into the utility grid. In SMA's primary business units it provides small PV systems for private applications to residential markets and medium-sized PV systems for commercial application. Utility clients are offered large-scale PV power plants in addition to grid service and monitoring functions.

SMA Solar Technology AG (SMA Solar Technology AG) Headlines