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Reshape Lifesciences (Reshape Lifesciences) Operating Margin % : -95.61% (As of Dec. 2023)


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What is Reshape Lifesciences Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Reshape Lifesciences's Operating Income for the three months ended in Dec. 2023 was $-1.90 Mil. Reshape Lifesciences's Revenue for the three months ended in Dec. 2023 was $1.98 Mil. Therefore, Reshape Lifesciences's Operating Margin % for the quarter that ended in Dec. 2023 was -95.61%.

Good Sign:

Reshape Lifesciences Inc operating margin is expanding. Margin expansion is usually a good sign.

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

RSLS' s Operating Margin % Range Over the Past 10 Years
Min: -9543.49   Med: -240.91   Max: -105.29
Current: -168.68


RSLS's Operating Margin % is ranked worse than
81.96% of 815 companies
in the Medical Devices & Instruments industry
Industry Median: 1.28 vs RSLS: -168.68

Reshape Lifesciences's 5-Year Average Operating Margin % Growth Rate was 30.60% per year.

Reshape Lifesciences's Operating Income for the three months ended in Dec. 2023 was $-1.90 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 was $-14.64 Mil.


Reshape Lifesciences Operating Margin % Historical Data

The historical data trend for Reshape Lifesciences'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.

Reshape Lifesciences Operating Margin % Chart

Reshape Lifesciences 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 -105.29 -110.25 -200.24 -240.91 -168.69

Reshape Lifesciences 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 -168.23 -246.22 -177.86 -143.99 -95.61

Competitive Comparison of Reshape Lifesciences's Operating Margin %

For the Medical Devices subindustry, Reshape Lifesciences'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.


Reshape Lifesciences's Operating Margin % Distribution in the Medical Devices & Instruments Industry

For the Medical Devices & Instruments industry and Healthcare sector, Reshape Lifesciences's Operating Margin % distribution charts can be found below:

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



Reshape Lifesciences 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.

Reshape Lifesciences'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 )
=-14.639 / 8.678
=-168.69 %

Reshape Lifesciences'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 )
=-1.895 / 1.982
=-95.61 %

* 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.


Reshape Lifesciences  (OTCPK:RSLS) 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.


Reshape Lifesciences Operating Margin % Related Terms

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


Reshape Lifesciences (Reshape Lifesciences) Business Description

Traded in Other Exchanges
Address
1001 Calle Amanecer, San Clemente, CA, USA, 92673
Reshape Lifesciences Inc is a developer of minimally invasive medical devices to treat obesity and metabolic diseases. The company's current portfolio includes the LAP-BAND, an Adjustable Gastric Banding System, ReShapeCare virtual health coaching program, ReShape Market Place, including ReShape Optimize a supplemental multivitamin, the Obalon Balloon System, the first and only swallowable gas-filled balloon system, and the Diabetes Bloc-Stim Neuromodulation, a technology under development as a new treatment for type 2 diabetes mellitus.
Executives
Thomas Stankovich officer: Chief Financial Officer 1001 CALLE AMANECER, SAN CLEMENTE CA 92673
Barton P. Bandy officer: President and CEO 1001 CALLE AMANECER, SAN CLEMENTE CA 92673
Dan W Gladney director, officer: Chairman, President and CEO 2800 PATTON ROAD, ST. PAUL MN 55113
Armistice Capital, Llc 10 percent owner 510 MADISON AVENUE, 7TH FLOOR, NEW YORK NY 10022
Armistice Capital Master Fund Ltd. 10 percent owner C/O ARMISTICE CAPITAL, LLC, 510 MADISON AVENUE, 7TH FLOOR, NEW YORK NY 10022
Steven Boyd 10 percent owner 510 MADISON AVENUE, 7TH FLOOR, NEW YORK NY 10022
Sabby Management, Llc 10 percent owner 115 HIDDEN HILLS DR, SPICEWOOD TX 78669
Arda Phd Minocherhomjee director C/O CHICAGO GROWTH PARTNERS, 303 W MADISON ST., SUITE 2500, CHICAGO IL 60606
Scott P Youngstrom officer: CFO and SVP, Finance 2800 PATTON ROAD ST. PAUL MN 55113
Joseph Patrick Healey 10 percent owner 31 HUDSON YARDS, 10TH FLOOR, NEW YORK NY 10001
Healthcor Partners Ii, L.p. 10 percent owner 152 W. 57TH STREET, 43RD FLOOR NEW YORK NY 10019
Michael Y Mashaal director 309 WAVERLEY OAKS RD., SUITE 105 WALTHAM MA 02452
Healthcor Partners Fund Ii, L.p. 10 percent owner CARNEGIE HILL TOWER 152 WEST 57TH STREET, 43RD FLOOR NEW YORK NY 10019
Jeffrey C Lightcap 10 percent owner 152 W 57TH STREET 43RD FLOOR, NEW YORK NY 10019
Healthcor Partners Management Gp, Llc 10 percent owner 152 W 57TH STREET 43RD FLOOR, NEW YORK NY 10019

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