As seen below, the company has generated remarkably
stable operating margins, resulting in a relatively stable earnings profile.
Not exact matches
The
stable outlook reflects our view that ACT's strong market position in North America and Scandinavia and its continued
operating efficiency will insulate it from
margin pressure in this highly competitive industry, contributing incremental earnings and generating strong free cash flow for debt reduction that should result in leverage declining quickly to about 3x by the end of 2013.
-- The
stable outlook reflects our view that ACT's strong market positions and its continued
operating efficiency will insulate it from
margin pressure, resulting in leverage declining quickly to about 3x by the end of 2013.
While the spread of more
stable / higher -
margin businesses has doubtless contributed to DCC's
operating performance, now investors generally view this conglomerate structure as an undesirable legacy of DCC's origins.
There's a giant american company that also has
stable 25 %
operating margins and is selling at a multiple of 3x
operating profit..
Revenues are predictable (presuming
stable / growing AUME), performance fees are possible, and
operating margins tend to be high.
Operating margin's a little more
stable — the 3 - yr & long - term averages are 37 % & 41 % respectively.
Expense cuts actually delivered a
stable (pre-exceptional)
operating profit of EUR 33 M, so the
operating margin increased slightly (into double digits, at 10.1 %).
Meanwhile, adjusted
operating margin's
stable around 6.4 %, which still deserves a 0.5625 Price / Sales multiple.
Again, a general increase in stock - based compensation (SBC) has marginally reduced
operating income growth to 18 % pa, noting a
stable 31 % GAAP
operating margin in the last couple of years.
The company's adjusted
operating free cash flow (Op FCF, after adding back aircraft
operating lease costs of EUR 45.2 million)
margin remains pretty
stable at 8.1 % — which deserves a 0.75 P / S multiple.
However,
operating margins which previously averaged almost 23 % (prior to 2015) have taken a big hit since, though now appear
stable around 14 % — consistent cash flow shortfalls (due to increasing receivables & more decentralised inventory, neither of which appears alarming) would suggest we focus on the last twelve months (LTM)
operating free cash flow (Op FCF, i.e.
operating cash flow, less capex)
margin of 8.7 % instead.