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Telefonica Deutschland Holding AG (XTER:O2D) Operating Margin % : 6.11% (As of Dec. 2023)


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What is Telefonica Deutschland Holding AG Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Telefonica Deutschland Holding AG's Operating Income for the six months ended in Dec. 2023 was €270 Mil. Telefonica Deutschland Holding AG's Revenue for the six months ended in Dec. 2023 was €4,421 Mil. Therefore, Telefonica Deutschland Holding AG's Operating Margin % for the quarter that ended in Dec. 2023 was 6.11%.

The historical rank and industry rank for Telefonica Deutschland Holding AG's Operating Margin % or its related term are showing as below:

XTER:O2D' s Operating Margin % Range Over the Past 10 Years
Min: -11.3   Med: -1.14   Max: 4.14
Current: 4.14


XTER:O2D's Operating Margin % is ranked worse than
65.87% of 378 companies
in the Telecommunication Services industry
Industry Median: 8.66 vs XTER:O2D: 4.14

Telefonica Deutschland Holding AG's 5-Year Average Operating Margin % Growth Rate was 0.00% per year.

Telefonica Deutschland Holding AG's Operating Income for the six months ended in Dec. 2023 was €270 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 was €357 Mil.


Telefonica Deutschland Holding AG Operating Margin % Historical Data

The historical data trend for Telefonica Deutschland Holding AG'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.

Telefonica Deutschland Holding AG Operating Margin % Chart

Telefonica Deutschland Holding AG Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Operating Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -1.68 -0.60 0.75 3.53 4.14

Telefonica Deutschland Holding AG Semi-Annual Data
Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23
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 2.78 2.03 4.91 2.07 6.11

Competitive Comparison of Telefonica Deutschland Holding AG's Operating Margin %

For the Telecom Services subindustry, Telefonica Deutschland Holding AG'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.


Telefonica Deutschland Holding AG's Operating Margin % Distribution in the Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, Telefonica Deutschland Holding AG's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Telefonica Deutschland Holding AG's Operating Margin % falls into.



Telefonica Deutschland Holding AG 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.

Telefonica Deutschland Holding AG'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 )
=357 / 8614
=4.14 %

Telefonica Deutschland Holding AG's Operating Margin % for the quarter that ended in Dec. 2023 is calculated as

Operating Margin %=Operating Income (Q: Dec. 2023 ) / Revenue (Q: Dec. 2023 )
=270 / 4421
=6.11 %

* 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.


Telefonica Deutschland Holding AG  (XTER:O2D) 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.


Telefonica Deutschland Holding AG Operating Margin % Related Terms

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Telefonica Deutschland Holding AG (XTER:O2D) Business Description

Traded in Other Exchanges
Address
Georg-Brauchle-Ring 50, Munich, BY, DEU, 80992
Telefonica Deutschland O2 is the German subsidiary of Telefonica, which owns 69% of the company's stock. Following the E-Plus acquisition in 2014, O2 became one of the largest wireless operators in Germany. O2 is required to offer competitors, such as 1&1 Drillisch, access to its network as a condition of the regulator's approval of its merger with E-Plus.The firm does not have its own fixed-line network but resells capacity from Deutsche Telekom and Vodafone.
Executives
Markus Haas Board of Directors
Yelamate Mallikarjuna Rao Board of Directors

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