EDMCQ (Education Management) Pretax Margin %: -18.87% (As of Jun. 2014)


What is Education Management Pretax Margin %?

Education Management EDMCQ -99.00% Pretax Margin % is -18.87% as of Jun. 2014.

Pre-Tax margin is calculated as Pre-Tax Income divided by its Revenue. Education Management's Pre-Tax Income for the three months ended in Jun. 2014 was $-95 Mil. Education Management's Revenue for the three months ended in Jun. 2014 was $503 Mil. Therefore, Education Management's pretax margin for the quarter that ended in Jun. 2014 was -18.87%.

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


EDMCQ's Pretax Margin % is not ranked *
in the Education industry.
Industry Median: 8.25
* Ranked among companies with meaningful Pretax Margin % only.

Education Management  (OTCPK:EDMCQ) 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.

Education Management Pretax Margin % Related Terms

Education Management Pretax Margin % Historical Data

* Premium members only.

The historical data trend for Education Management'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.

Education Management Pretax Margin % Chart

Education Management Annual Data
Trend Jun05 Jun06 Jun07 Jun08 Jun09 Jun10 Jun11 Jun12 Jun13 Jun14
Pretax Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 9.97 12.79 -52.34 -9.30 -27.16

Education Management Quarterly Data
Sep09 Dec09 Mar10 Jun10 Sep10 Dec10 Mar11 Jun11 Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14
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 -1.59 -3.44 -0.40 -83.99 -18.87

EDMCQ vs ZVO: Pretax Margin % Comparison

For the Education & Training Services subindustry, Education Management'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.

Education Management Pretax Margin % vs Education Industry

For the Education industry and Consumer Defensive sector, Education Management's Pretax Margin % distribution charts can be found below:

* The bar in red indicates where Education Management's Pretax Margin % falls into.


Education Management 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.

Education Management's Pretax Margin for the fiscal year that ended in Jun. 2014 is calculated as

Pretax Margin=Pre-Tax Income (A: Jun. 2014 )/Revenue (A: Jun. 2014 )
=-617.28/2272.736
=-27.16 %

Education Management's Pretax Margin for the quarter that ended in Jun. 2014 is calculated as

Pretax Margin=Pre-Tax Income (Q: Jun. 2014 )/Revenue (Q: Jun. 2014 )
=-95.022/503.481
=-18.87 %

* 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 -18.87% mean?
Education Management (EDMCQ) has a Pretax Margin % of -18.87% as of Jun. 2014. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Education Management and its competitors.
Is Education Management's Pretax Margin % too high?
Education Management's current Pretax Margin % is -18.87%.
How does Education Management's Pretax Margin % compare to ZVO?
Education Management's Pretax Margin % of -18.87% can be compared against companies in the Education industry. The industry median Pretax Margin % is 8.25. 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 Education company?
The median Pretax Margin % among Education companies is 8.25, based on 255 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 Education Management and its competitors. For the Education industry, the median Pretax Margin % is 8.25 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Education Management's current Pretax Margin % is -18.87%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Education Management stock overvalued right now?
Education Management (EDMCQ) has a current Pretax Margin % of -18.87%. The current Pretax Margin % is -18.87%. 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 Education Management (EDMCQ), the current Pretax Margin % is -18.87% as of Jun. 2014. 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.

Education Management Business Description

Address 210 Sixth Avenue, 33rd Floor, Pittsburgh, PA, USA, 15222
Education Management Corp provides post-secondary education in North America. It offers academic programs to students through campus-based and online instruction, or through a combination of both. The company operates in four segments including The Art Institutes; Argosy University; Brown Mackie Colleges and South University. The Art Institutes focus on applied arts in creative professions such as graphic design, media arts, and animation, culinary arts. Brown Mackie Colleges offer flexible Associate's and non-degree diploma programs that enable students to develop skills for entry-level positions in high-demand vocational specialties. South University offers academic programs in health profession and business disciplines, health sciences, nursing, criminal justice, psychology, and IT.