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Sendas Distribuidora (Sendas Distribuidora) Operating Margin % : 4.66% (As of Mar. 2024)


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What is Sendas Distribuidora Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Sendas Distribuidora's Operating Income for the three months ended in Mar. 2024 was $161 Mil. Sendas Distribuidora's Revenue for the three months ended in Mar. 2024 was $3,458 Mil. Therefore, Sendas Distribuidora's Operating Margin % for the quarter that ended in Mar. 2024 was 4.66%.

Warning Sign:

Sendas Distribuidora SA operating margin has been in a 5-year decline. The average rate of decline per year is -6.9%.

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

ASAI' s Operating Margin % Range Over the Past 10 Years
Min: 4.79   Med: 5.91   Max: 7.46
Current: 5


ASAI's Operating Margin % is ranked better than
70.51% of 312 companies
in the Retail - Defensive industry
Industry Median: 3.17 vs ASAI: 5.00

Sendas Distribuidora's 5-Year Average Operating Margin % Growth Rate was -6.90% per year.

Sendas Distribuidora's Operating Income for the three months ended in Mar. 2024 was $161 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2024 was $698 Mil.


Sendas Distribuidora Operating Margin % Historical Data

The historical data trend for Sendas Distribuidora'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.

Sendas Distribuidora Operating Margin % Chart

Sendas Distribuidora Annual Data
Trend Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Operating Margin %
Get a 7-Day Free Trial 5.91 5.96 6.17 5.28 4.79

Sendas Distribuidora Quarterly Data
Dec18 Sep19 Dec19 Mar20 Jun20 Sep20 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 Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 3.99 4.54 5.15 5.59 4.66

Competitive Comparison of Sendas Distribuidora's Operating Margin %

For the Grocery Stores subindustry, Sendas Distribuidora'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.


Sendas Distribuidora's Operating Margin % Distribution in the Retail - Defensive Industry

For the Retail - Defensive industry and Consumer Defensive sector, Sendas Distribuidora's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Sendas Distribuidora's Operating Margin % falls into.



Sendas Distribuidora 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.

Sendas Distribuidora'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 )
=650.027 / 13572.595
=4.79 %

Sendas Distribuidora'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 )
=161.051 / 3458.372
=4.66 %

* 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.


Sendas Distribuidora  (NYSE:ASAI) 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.


Sendas Distribuidora Operating Margin % Related Terms

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Sendas Distribuidora (Sendas Distribuidora) Business Description

Traded in Other Exchanges
Address
Avenida Ayrton Senna, No. 6,000, Lote 2, Pal 48959, Anexo A, Jacarepagua, Rio De Janeiro, RJ, BRA, 22775-005
Sendas Distribuidora SA is involved in the consumer goods business. Its cash and carry operations involve sales of more than 8,000 items of grocery, food, perishable, beverage, wrapping, hygiene, and cleaning products, among others. Its customers include prepared food retailers (including restaurants, pizzerias, and snack bars), end-users (including schools, small businesses, religious institutions, hospitals, and hotels), conventional retailers (such as grocery stores and neighborhood supermarkets), and individuals. Its stores are located throughout 23 Brazilian states.

Sendas Distribuidora (Sendas Distribuidora) Headlines

From GuruFocus

Sendas Files Annual Report on Form 20-F with the SEC

By PRNewswire PRNewswire 05-02-2022