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Skillz (NYSE:SKLZ) Operating Margin %

: -72.25% (As of Mar. 2023)
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Operating Margin % is calculated as Operating Income divided by its Revenue. Skillz's Operating Income for the three months ended in Mar. 2023 was $-32.1 Mil. Skillz's Revenue for the three months ended in Mar. 2023 was $44.4 Mil. Therefore, Skillz's Operating Margin % for the quarter that ended in Mar. 2023 was -72.25%.

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

SKLZ' s Operating Margin % Range Over the Past 10 Years
Min: -93.92   Med: -50.31   Max: -20.71
Current: -63.8


SKLZ's Operating Margin % is ranked worse than
84.38% of 589 companies
in the Interactive Media industry
Industry Median: 2.29 vs SKLZ: -63.80

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

Skillz's Operating Income for the three months ended in Mar. 2023 was $-32.1 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2023 was $-140.8 Mil.


Skillz Operating Margin % Historical Data

The historical data trend for Skillz'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.

Skillz Annual Data
Trend Dec18 Dec19 Dec20 Dec21 Dec22
Operating Margin %
-50.31 -20.71 -45.05 -77.29 -93.92

Skillz Quarterly Data
Dec18 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23
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 -158.99 -73.79 -45.98 -62.99 -72.25

Competitive Comparison

For the Electronic Gaming & Multimedia subindustry, Skillz'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.

   

Skillz Operating Margin % Distribution

For the Interactive Media industry and Communication Services sector, Skillz's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Skillz's Operating Margin % falls in comparison to its industry or sector. The grey bar indicates the Operating Margin %'s extreme value range as defined by GuruFocus.



Skillz 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.

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

Operating Margin %=Operating Income (A: Dec. 2022 ) / Revenue (A: Dec. 2022 )
=-253.306 / 269.709
=-93.92 %

Skillz's Operating Margin % for the quarter that ended in Mar. 2023 is calculated as

Operating Margin %=Operating Income (Q: Mar. 2023 ) / Revenue (Q: Mar. 2023 )
=-32.068 / 44.383
=-72.25 %

* 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.


Skillz  (NYSE:SKLZ) 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.


Skillz Operating Margin % Related Terms

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


Skillz (NYSE:SKLZ) Business Description

Skillz logo
Traded in Other Exchanges
Address
P.O. Box 445, San francisco, CA, USA, 94104
Skillz Inc is a mobile game development company. Its platform helps developers build multi-million dollar franchises by enabling social competition in their games.
Executives
Seth Schorr director PO BOX 445, SAN FRANCISCO CA 94104
Jason Roswig officer: President & CFO PO BOX 445, SAN FRANCISCO CA 94104
Henry M. Hoffman director PO BOX 445, SAN FRANCISCO CA 94104
Shari Glazer director PO BOX 445, SAN FRANCISCO CA 94104
Doris Fritz-bianchi officer: Head of People SKILLZ INC C/O CHARLOTTE EDELMAN, SAN FRANCISCO CA 94104
Vatsal Bhardwaj officer: Chief Product Officer SKILLZ INC C/O CHARLOTTE EDELMAN, SAN FRANCISCO CA 94104
Stanley Mbugua officer: Chief Accounting Officer SKILLZ INC, PO BOX 455, SAN FRAN CA 94104
Ian J Lee officer: Chief Financial Officer C/O SKILLZ INC., P.O. BOX 445, SAN FRANCISCO CA 94104-0445
Christopher S Gaffney director C/O GREAT HILL PARTNERS, L.P., 200 CLARENDON STREET, 29TH FLOOR, BOSTON MA 02116
Jerome Leon Bruckheimer director PHILPOTT MEEKS, 10030 VENTURA BOULEVARD, SUITE 380, ENCINO CA 91436
Scott D Henry officer: Chief Financial Officer 3355 LAS VEGAS BOULEVARD SOUTH, LAS VEGAS NV 89109
Kent Wakeford director SKILLZ INC., C/O CHARLOTTE EDELMAN, P.O. BOX 445, SAN FRANCISCO CA 94104-0445
Vandana Mehta-krantz director SKILLZ INC., C/O CHARLOTTE EDELMAN, P.O. BOX 445, SAN FRANCISCO CA 94104-0445
Miriam Aguirre officer: Chief Technology Officer SKILLZ INC., C/O CHARLOTTE EDELMAN, P.O. BOX 445, SAN FRANCISCO CA 94104-0445
Favian Garcia officer: Controller SKILLZ INC., C/O CHARLOTTE EDELMAN, P.O. BOX 445, SAN FRANCISCO CA 94104-0445

Skillz (NYSE:SKLZ) Headlines

Other Sources

Wedbush Remains a Buy on Skillz (SKLZ)

By tipranks.com 2022-10-28