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Westrock Coffee Co (Westrock Coffee Co) Operating Margin % : -3.72% (As of Mar. 2024)


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What is Westrock Coffee Co Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Westrock Coffee Co's Operating Income for the three months ended in Mar. 2024 was $-7.2 Mil. Westrock Coffee Co's Revenue for the three months ended in Mar. 2024 was $192.5 Mil. Therefore, Westrock Coffee Co's Operating Margin % for the quarter that ended in Mar. 2024 was -3.72%.

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

WEST' s Operating Margin % Range Over the Past 10 Years
Min: -1.53   Med: 0.94   Max: 2.62
Current: -1.42


WEST's Operating Margin % is ranked worse than
77.81% of 1857 companies
in the Consumer Packaged Goods industry
Industry Median: 4.88 vs WEST: -1.42

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

Westrock Coffee Co's Operating Income for the three months ended in Mar. 2024 was $-7.2 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2024 was $-12.1 Mil.

Warning Sign:

Westrock Coffee Co has recorded a loss in operating income at least once over the past 3 years.


Westrock Coffee Co Operating Margin % Historical Data

The historical data trend for Westrock Coffee Co'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.

Westrock Coffee Co Operating Margin % Chart

Westrock Coffee Co Annual Data
Trend Dec20 Dec21 Dec22 Dec23
Operating Margin %
-1.53 2.42 2.62 -0.55

Westrock Coffee Co Quarterly Data
Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 0.09 0.67 -0.90 -2.09 -3.72

Competitive Comparison of Westrock Coffee Co's Operating Margin %

For the Packaged Foods subindustry, Westrock Coffee Co'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.


Westrock Coffee Co's Operating Margin % Distribution in the Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Westrock Coffee Co's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Westrock Coffee Co's Operating Margin % falls into.



Westrock Coffee Co 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.

Westrock Coffee Co'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 )
=-4.719 / 864.714
=-0.55 %

Westrock Coffee Co's Operating Margin % for the quarter that ended in Mar. 2024 is calculated as

Operating Margin %=Operating Income (Q: Mar. 2024 ) / Revenue (Q: Mar. 2024 )
=-7.166 / 192.5
=-3.72 %

* 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.


Westrock Coffee Co  (NAS:WEST) 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.


Westrock Coffee Co Operating Margin % Related Terms

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


Westrock Coffee Co (Westrock Coffee Co) Business Description

Traded in Other Exchanges
Address
4009 N. Rodney Parham Road, 3rd Floor, Little Rock, AR, USA, 72212
Westrock Coffee Co is an integrated coffee, tea, flavors, extracts, and ingredients solutions provider in the U.S, providing coffee sourcing, supply chain management, product development, roasting, packaging, and distribution services to retail, foodservice and restaurant, convenience store and travel center, non-commercial account, CPG, and hospitality industries around the world. The company's segment includes Beverage Solutions and Sustainable Sourcing and Traceability. It generates maximum revenue from the Beverage Solutions segment.
Executives
Joe T Ford director C/O ENPRO INDUSTRIES INC, 5605 CARNEGIE BLVD, CHARLOTTE NC 28209-4674
Thomas Christopher Pledger officer: CHIEF FINANCIAL OFFICER 100 RIVER BLUFF DRIVE, SUITE 210, LITTLE ROCK AR 72202
William A Ford officer: GROUP PRESIDENT, OPERATIONS 100 RIVER BLUFF DRIVE, SUITE 210, LITTLE ROCK AR 72202
Oluwatoyin Umesiri director 100 RIVER BLUFF DRIVE, SUITE 210, LITTLE ROCK AR 72202
Josie C Natori director ONE ALLIED DRIVE, LITTLE ROCK AR 72202
Hugh Iii Mccoll director 100 RIVER BLUFF DRIVE, SUITE 210, LITTLE ROCK AR 72202
Rbm Acquisition, Llc other: Prior 10% Owner 55 EAST MAIN STREET, SUITE 102, CHATTANOOGA TN 37408
Rbm Investments, Llc other: Prior 10% Owner 55 EAST MAIN STREET, SUITE 102, CHATTANOOGA TN 37408
Riverview Sponsor Partners, Llc other: Prior 10% Owner 55 E. MAIN STREET, SUITE 102, CHATTANOOGA TN 37408
R Brad Martin director
Brown Brothers Harriman & Co 10 percent owner 140 BROADWAY, NEW YORK NY 10005-1101
Hf Direct Investments Pool, Llc 10 percent owner 502 UNION AVENUE, KNOXVILLE TN 37919
Stephens Group, Llc 10 percent owner 100 RIVER BLUFF DRIVE, SUITE 500, LITTLE ROCK AR 72202
Scott T Ford director, 10 percent owner, officer: CHIEF EXECUTIVE OFFICER (1) 4009 N. RODNEY PARHAM RD., 3RD FLOOR, LITTLE ROCK AR 72212
Blake Schuhmacher officer: CHIEF ACCOUNTING OFFICER 10802 EXECUTIVE CENTER DRIVE, BENTON BUILDING, SUITE 300, LITTLE ROCK AR 72211