ADFS (American Defense Systems) Pretax Margin %: -4.81% (As of Sep. 2012)


What is American Defense Systems Pretax Margin %?

American Defense Systems ADFS Pretax Margin % is -4.81% as of Sep. 2012.

Pre-Tax margin is calculated as Pre-Tax Income divided by its Revenue. American Defense Systems's Pre-Tax Income for the three months ended in Sep. 2012 was $-0.08 Mil. American Defense Systems's Revenue for the three months ended in Sep. 2012 was $1.60 Mil. Therefore, American Defense Systems's pretax margin for the quarter that ended in Sep. 2012 was -4.81%.

The historical rank and industry rank for American Defense Systems's Pretax Margin % or its related term are showing as below:


ADFS's Pretax Margin % is not ranked *
in the Aerospace & Defense industry.
Industry Median: 6.17
* Ranked among companies with meaningful Pretax Margin % only.

American Defense Systems  (OTCPK:ADFS) Pretax Margin % Explanation

The pretax margin, as know as pretax profit margin, is widely used to measure the operating efficiency of a company before deducting taxes.

The pretax margin is sometimes preferred over the net margin as tax expenditures can make profitability comparisons between companies misleading.

It is a useful tool to compare companies operating in the same sector and less effective when comparing companies from other sectors as each industry generally has different operating expenses and sales patterns.

The long term trend of the pretax margin is a good indicator of the competitiveness and health of the business.

American Defense Systems Pretax Margin % Related Terms

American Defense Systems Pretax Margin % Historical Data

* Premium members only.

The historical data trend for American Defense Systems's Pretax 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.

American Defense Systems Pretax Margin % Chart

American Defense Systems Annual Data
Trend Dec06 Dec07 Dec08 Dec09 Dec10 Dec11
Pretax Margin %
Get a 7-Day Free Trial 9.61 -9.43 -32.60 -25.98 78.45

American Defense Systems Quarterly Data
Dec07 Mar08 Jun08 Sep08 Dec08 Mar09 Jun09 Sep09 Dec09 Mar10 Jun10 Sep10 Dec10 Mar11 Jun11 Sep11 Dec11 Mar12 Jun12 Sep12
Pretax 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 -58.92 41.25 -20.90 -5.99 -4.81

ADFS vs ASDN, MKRS, PSSR: Pretax Margin % Comparison

For the Aerospace & Defense subindustry, American Defense Systems's Pretax Margin %, along with its competitors' market caps and Pretax 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.

American Defense Systems Pretax Margin % vs Aerospace & Defense Industry

For the Aerospace & Defense industry and Industrials sector, American Defense Systems's Pretax Margin % distribution charts can be found below:

* The bar in red indicates where American Defense Systems's Pretax Margin % falls into.


American Defense Systems Pretax Margin % Calculation

Pretax margin - also known as pretax profit margin is the ratio of Pretax Income divided by net sales or Revenue, usually presented in percent.

American Defense Systems's Pretax Margin for the fiscal year that ended in Dec. 2011 is calculated as

Pretax Margin=Pre-Tax Income (A: Dec. 2011 )/Revenue (A: Dec. 2011 )
=6.827/8.702
=78.45 %

American Defense Systems's Pretax Margin for the quarter that ended in Sep. 2012 is calculated as

Pretax Margin=Pre-Tax Income (Q: Sep. 2012 )/Revenue (Q: Sep. 2012 )
=-0.077/1.601
=-4.81 %

* 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.

Frequently Asked Questions Learn more about Pretax Margin % →
What does a Pretax Margin % of -4.81% mean?
American Defense Systems (ADFS) has a Pretax Margin % of -4.81% as of Sep. 2012. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on American Defense Systems and its competitors.
Is American Defense Systems' Pretax Margin % too high?
American Defense Systems' current Pretax Margin % is -4.81%.
How does American Defense Systems' Pretax Margin % compare to ASDN and MKRS?
American Defense Systems' Pretax Margin % of -4.81% can be compared against companies in the Aerospace & Defense industry. The industry median Pretax Margin % is 6.17. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Pretax Margin % for an Aerospace & Defense company?
The median Pretax Margin % among Aerospace & Defense companies is 6.17, based on 347 companies in the industry. Companies in the top quartile (top 25%) have a Pretax Margin % significantly above this median, while those in the bottom quartile fall well below. However, Pretax Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Pretax Margin % mean?
A high Pretax Margin % can signal that a stock is expensive relative to its fundamentals. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on American Defense Systems and its competitors. For the Aerospace & Defense industry, the median Pretax Margin % is 6.17 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. American Defense Systems's current Pretax Margin % is -4.81%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is American Defense Systems stock overvalued right now?
American Defense Systems (ADFS) has a current Pretax Margin % of -4.81%. The current Pretax Margin % is -4.81%. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Pretax Margin % calculated?
Pretax Margin % is calculated from a company's financial statements. For American Defense Systems (ADFS), the current Pretax Margin % is -4.81% as of Sep. 2012. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

American Defense Systems Business Description

Address 3440 Toringdon way, suite 205, Room 218, Charlotte, NC, USA, 28277
American Defense Systems Inc is a defense and security products company engaged in three business areas: customized transparent and opaque armor solutions; architectural hardening and perimeter defense and tactical training products and services. It serves US government agencies, general contractors and other commercial and private entities operating in high-threat locations.