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Frontier Group Holdings (Frontier Group Holdings) Operating Margin % : -3.58% (As of Mar. 2024)


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What is Frontier Group Holdings Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Frontier Group Holdings's Operating Income for the three months ended in Mar. 2024 was $-31 Mil. Frontier Group Holdings's Revenue for the three months ended in Mar. 2024 was $865 Mil. Therefore, Frontier Group Holdings's Operating Margin % for the quarter that ended in Mar. 2024 was -3.58%.

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

ULCC' s Operating Margin % Range Over the Past 10 Years
Min: -29.2   Med: 4.27   Max: 18.49
Current: -0.25


ULCC's Operating Margin % is ranked worse than
85.14% of 969 companies
in the Transportation industry
Industry Median: 7.54 vs ULCC: -0.25

Frontier Group Holdings's 5-Year Average Operating Margin % Growth Rate was 0.00% per year.

Frontier Group Holdings's Operating Income for the three months ended in Mar. 2024 was $-31 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2024 was $-9 Mil.

Warning Sign:

Frontier Group Holdings Inc had lost money in 50% of the time over the past 12quarters.


Frontier Group Holdings Operating Margin % Historical Data

The historical data trend for Frontier Group Holdings'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.

Frontier Group Holdings Operating Margin % Chart

Frontier Group Holdings Annual Data
Trend Dec14 Dec15 Dec16 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Operating Margin %
Get a 7-Day Free Trial Premium Member Only 12.32 -29.20 -5.68 -1.05 -0.06

Frontier Group Holdings Quarterly Data
Mar17 Dec18 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 -2.95 8.17 -6.12 -0.34 -3.58

Competitive Comparison of Frontier Group Holdings's Operating Margin %

For the Airlines subindustry, Frontier Group Holdings'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.


Frontier Group Holdings's Operating Margin % Distribution in the Transportation Industry

For the Transportation industry and Industrials sector, Frontier Group Holdings's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Frontier Group Holdings's Operating Margin % falls into.



Frontier Group Holdings 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.

Frontier Group Holdings'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 )
=-2 / 3589
=-0.06 %

Frontier Group Holdings'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 )
=-31 / 865
=-3.58 %

* 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.


Frontier Group Holdings  (NAS:ULCC) 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.


Frontier Group Holdings Operating Margin % Related Terms

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


Frontier Group Holdings (Frontier Group Holdings) Business Description

Traded in Other Exchanges
N/A
Address
4545 Airport Way, Denver, CO, USA, 80239
Frontier Group Holdings Inc is an ultra low-cost carrier whose business is focused on Low Fares Done Right. The company owns fleet of 120 Airbus single-aisle aircraft, consisting of 13 A320ceos, 82 A320neos, 21 A321ceos and 4 A321neos. The use of these aircraft, its seating configuration, weight-saving tactics and baggage process have all contributed to ability to continue to be the fuel-efficient of all the U.S. The Company is managed as a single business unit that provides air transportation for passengers.
Executives
James G. Dempsey officer: EVP & Chief Financial Officer C/O FRONTIER GROUP HOLDINGS, INC., 4545 AIRPORT WAY, DENVER CO 80238
Howard Diamond officer: SVP, GC & Secretary C/O FRONTIER AIRLINES, 7001 TOWER ROAD, DENVER CO 80249
Rajat Khanna officer: See Remarks C/O FRONTIER GROUP HOLDINGS, INC., 4545 AIRPORT WAY, DENVER CO 80239
Barry Biffle director, officer: See Remarks C/O SPIRIT AIRLINES, 2800 EXECUTIVE WAY, MIRAMAR FL 30325
Jacob F. Filene officer: See Remarks C/O FRONTIER GROUP HOLDINGS, INC., 4545 AIRPORT WAY, DENVER CO 80238
Daniel M. Shurz officer: See Remarks C/O FRONTIER GROUP HOLDINGS, INC., 4545 AIRPORT WAY, DENVER CO 80238
Josh A Wetzel officer: VP & CAO C/O FRONTIER GROUP HOLDINGS, INC., 4545 AIRPORT WAY, DENVER CO 80239
Ofelia Kumpf director C/O FRONTIER GROUP HOLDINGS, INC., 4545 AIRPORT WAY, DENVER CO 80238
Mark Christopher Mitchell officer: Chief Accounting Officer C/O FRONTIER GROUP HOLDINGS, INC., 4545 AIRPORT WAY, DENVER CO 80238
Robert J. Genise director C/O FRONTIER GROUP HOLDINGS, INC., 4545 AIRPORT WAY, DENVER CO 80238
Indigo Frontier Holdings Company, Llc 10 percent owner C/O INDIGO PARTNERS, 2525 EAST CAMELBACK ROAD, SUITE 900, PHOENIX AZ 85016
Josh T. Connor director C/O FRONTIER GROUP HOLDINGS, INC., 4545 AIRPORT WAY, DENVER CO 80238
Patricia Salas Pineda director C/O LEVI STRAUSS & CO., 1155 BATTERY STREET, SAN FRANCISCO CA 94111
William A Franke director, 10 percent owner
Trevor J. Stedke officer: See Remarks C/O FRONTIER GROUP HOLDINGS, INC., 4545 AIRPORT WAY, DENVER CO 80238