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Torrid Holdings (Torrid Holdings) Operating Margin % : 1.37% (As of Jan. 2024)


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What is Torrid Holdings Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Torrid Holdings's Operating Income for the three months ended in Jan. 2024 was $4 Mil. Torrid Holdings's Revenue for the three months ended in Jan. 2024 was $294 Mil. Therefore, Torrid Holdings's Operating Margin % for the quarter that ended in Jan. 2024 was 1.37%.

Warning Sign:

Torrid Holdings Inc operating margin has been in a 5-year decline. The average rate of decline per year is -12%.

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

CURV' s Operating Margin % Range Over the Past 10 Years
Min: 3.5   Med: 6.6   Max: 11.41
Current: 4.96


CURV's Operating Margin % is ranked better than
58.18% of 1107 companies
in the Retail - Cyclical industry
Industry Median: 3.5 vs CURV: 4.96

Torrid Holdings's 5-Year Average Operating Margin % Growth Rate was -12.00% per year.

Torrid Holdings's Operating Income for the three months ended in Jan. 2024 was $4 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Jan. 2024 was $57 Mil.


Torrid Holdings Operating Margin % Historical Data

The historical data trend for Torrid 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.

Torrid Holdings Operating Margin % Chart

Torrid Holdings Annual Data
Trend Jan19 Jan20 Jan21 Jan22 Jan23 Jan24
Operating Margin %
Get a 7-Day Free Trial 7.42 5.77 3.50 7.89 4.96

Torrid Holdings Quarterly Data
Jan19 Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24
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 0.83 8.87 6.98 2.50 1.37

Competitive Comparison of Torrid Holdings's Operating Margin %

For the Apparel Retail subindustry, Torrid 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.


Torrid Holdings's Operating Margin % Distribution in the Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Torrid Holdings's Operating Margin % distribution charts can be found below:

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



Torrid 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.

Torrid Holdings's Operating Margin % for the fiscal year that ended in Jan. 2024 is calculated as

Operating Margin %=Operating Income (A: Jan. 2024 ) / Revenue (A: Jan. 2024 )
=57.148 / 1151.945
=4.96 %

Torrid Holdings's Operating Margin % for the quarter that ended in Jan. 2024 is calculated as

Operating Margin %=Operating Income (Q: Jan. 2024 ) / Revenue (Q: Jan. 2024 )
=4.015 / 293.539
=1.37 %

* 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.


Torrid Holdings  (NYSE:CURV) 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.


Torrid Holdings Operating Margin % Related Terms

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


Torrid Holdings (Torrid Holdings) Business Description

Traded in Other Exchanges
N/A
Address
18501 East San Jose Avenue, City of Industry, CA, USA, 91748
Torrid Holdings Inc is a direct-to-consumer brand of apparel, intimates and accessories in North America targeting the 25- to 40-year old woman. It is focused on fit and offers high quality products across a broad assortment that includes tops, bottoms, denim, dresses, intimates, activewear, footwear and accessories. The company has one reportable segment, which includes the operation of e-Commerce platform and stores.
Executives
Valeria Rico Nikolov director C/O TORRID HOLDINGS INC., 18501 EAST SAN JOSE AVENUE, CITY OF INDUSTRY CA 91748
Mark Mizicko officer: Chief Commercial Officer 18305 E. SAN JOSE AVE., CITY OF INDUSTRY CA 91748
Paula Dempsey officer: See Remarks 18501 EAST SAN JOSE AVENUE, CITY OF INDUSTRY CA 91748
Theo Killion director C/O TOMMY HILFIGER U.S.A., INC., 25 W. 39TH STREET, NEW YORK NY 10018
Bridgett C. Zeterberg officer: See Remarks 18501 E. SAN JOSE AVENUE, CITY OF INDUSTRY CA 91748
Timothy O Martin officer: See Remarks AMGEN INC, ONE AMGEN CENTER DRIVE, THOUSAND OAKS CA 91320-1799
Michael A Shaffer director C/O PHILLIPS-VAN HEUSEN CORPORATION, 200 MADISON AVENUE, NEW YORK NY 10016
Chinwe Abaelu officer: See Remarks C/O TORRID INC., 18501 E. SAN JOSE AVE., CITY OF INDUSTRY CA 91748
Tanner Macdiarmid officer: See Remarks C/O TORRID INC., 18501 E. SAN JOSE AVE., CITY OF INDUSTRY CA 91748
Kelly Mcguire Diehl officer: See Remarks C/O TORRID INC., 18501 E. SAN JOSE AVE., CITY OF INDUSTRY CA 91748
Anne Stephenson officer: See Remarks C/O TORRID INC., 18501 E. SAN JOSE AVE., CITY OF INDUSTRY CA 91748
Elizabeth Munoz director, officer: Chief Executive Officer C/O TORRID INC., 18501 E. SAN JOSE AVE., CITY OF INDUSTRY CA 91748
Michael Robert Salmon officer: Chief Operating Officer C/O TORRID INC., 18501 E. SAN JOSE AVE., CITY OF INDUSTRY CA 91748
George Wehlitz officer: Chief Financial Officer C/O TORRID HOLDINGS, 18501 EAST SAN JOSE AVENUE, CITY OF INDUSTRY CA 91748
Sycamore Partners Torrid, L.l.c. 10 percent owner 9 W. 57TH STREET, 31ST FLOOR, NEW YORK NY 10019

Torrid Holdings (Torrid Holdings) Headlines

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