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Dentsply Sirona (WBO:XRAY) Operating Margin %

: 6.23% (As of Dec. 2023)
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Operating Margin % is calculated as Operating Income divided by its Revenue. Dentsply Sirona's Operating Income for the three months ended in Dec. 2023 was €58 Mil. Dentsply Sirona's Revenue for the three months ended in Dec. 2023 was €928 Mil. Therefore, Dentsply Sirona's Operating Margin % for the quarter that ended in Dec. 2023 was 6.23%.

Warning Sign:

Dentsply Sirona Inc operating margin has been in a 5-year decline. The average rate of decline per year is -2.3%.

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

WBO:XRAY' s Operating Margin % Range Over the Past 10 Years
Min: 6.92   Med: 11.78   Max: 16.45
Current: 7.11


WBO:XRAY's Operating Margin % is ranked better than
58.65% of 815 companies
in the Medical Devices & Instruments industry
Industry Median: 1.27 vs WBO:XRAY: 7.11

Dentsply Sirona's 5-Year Average Operating Margin % Growth Rate was -2.30% per year.

Dentsply Sirona's Operating Income for the three months ended in Dec. 2023 was €58 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 was €262 Mil.


Dentsply Sirona Operating Margin % Historical Data

The historical data trend for Dentsply Sirona'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.

Dentsply Sirona 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 10.79 6.92 14.77 9.10 7.11

Dentsply Sirona 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 6.61 5.83 8.27 8.13 6.23

Competitive Comparison

For the Medical Instruments & Supplies subindustry, Dentsply Sirona'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.


Dentsply Sirona Operating Margin % Distribution

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

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



Dentsply Sirona 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.

Dentsply Sirona'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 )
=258.594 / 3635.905
=7.11 %

Dentsply Sirona'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 )
=57.771 / 928.004
=6.23 %

* 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.


Dentsply Sirona  (WBO:XRAY) 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.


Dentsply Sirona Operating Margin % Related Terms

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Dentsply Sirona (WBO:XRAY) Business Description

Traded in Other Exchanges
Address
13320 Ballantyne Corporate Place, Charlotte, NC, USA, 28277-3607
Dentsply Sirona is one of the world's largest manufacturers of dental equipment and supplies. It is a result of a merger of equals in 2016 between Dentsply International (manufactured dental consumables and lab products) and Sirona Dental Systems (manufactured technologically-advanced dental equipment). The firm's wide portfolio consists of dental consumables, lab products, CAD/CAM and imaging technology, medical devices, and specialty products in orthodontics, endodontics, and implantation. It distributes two-thirds of its dental consumables, technology and equipment through third-party distributors and the remaining portfolio is either sold to labs and offices through the firm's salesforce or directly to consumers (such as Byte clear aligner).