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SelectQuote (SelectQuote) Operating Margin % : 13.64% (As of Dec. 2023)


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What is SelectQuote Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. SelectQuote's Operating Income for the three months ended in Dec. 2023 was $55 Mil. SelectQuote's Revenue for the three months ended in Dec. 2023 was $405 Mil. Therefore, SelectQuote's Operating Margin % for the quarter that ended in Dec. 2023 was 13.64%.

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

SLQT' s Operating Margin % Range Over the Past 10 Years
Min: -39.45   Med: 19.57   Max: 28.53
Current: 2.67


SLQT's Operating Margin % is ranked worse than
62.3% of 61 companies
in the Insurance industry
Industry Median: 5.1 vs SLQT: 2.67

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

SelectQuote's Operating Income for the three months ended in Dec. 2023 was $55 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 was $31 Mil.


SelectQuote Operating Margin % Historical Data

The historical data trend for SelectQuote'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.

SelectQuote Operating Margin % Chart

SelectQuote Annual Data
Trend Jun18 Jun19 Jun20 Jun21 Jun22 Jun23
Operating Margin %
Get a 7-Day Free Trial 28.53 24.59 20.67 -39.45 1.16

SelectQuote Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 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 16.61 11.26 -16.08 -9.63 13.64

Competitive Comparison of SelectQuote's Operating Margin %

For the Insurance Brokers subindustry, SelectQuote'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.


SelectQuote's Operating Margin % Distribution in the Insurance Industry

For the Insurance industry and Financial Services sector, SelectQuote's Operating Margin % distribution charts can be found below:

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



SelectQuote 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.

SelectQuote's Operating Margin % for the fiscal year that ended in Jun. 2023 is calculated as

Operating Margin %=Operating Income (A: Jun. 2023 ) / Revenue (A: Jun. 2023 )
=11.583 / 1002.848
=1.16 %

SelectQuote'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 )
=55.294 / 405.438
=13.64 %

* 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.


SelectQuote  (NYSE:SLQT) 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.


SelectQuote Operating Margin % Related Terms

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


SelectQuote (SelectQuote) Business Description

Traded in Other Exchanges
Address
6800 West 115th Street, Suite 2511, Overland Park, KS, USA, 66211
SelectQuote Inc is a Direct-to-consumer (DTC) distribution platform which facilitates consumers to shop for health, life and auto & home insurance policies online. The company generates its revenues by selling insurance products on behalf of the insurance carrier partners in the form of commission. It functions through three lines namely, SelectQuote Senior, SelectQuote Life, and SelectQuote Auto & Home.
Executives
Joshua Brandon Matthews officer: President, SelectQuote Senior 6800 WEST 115TH STREET, SUITE 2511, OVERLAND PARK KS 66211
Grant W Thomas Ii director PO BOX 419248, KANSAS CITY MO 64141-6248
Grant William Thomas Iii officer: CHIEF OPERATING OFFICER 6800 W 115TH STREET, SUITE 2511, OVERLAND PARK KS 66211
Robert Clay Grant officer: PRESIDENT, SELECTQUOTE SENIOR 6800 W 115TH STREET, SUITE 2511, PARK KS 66211
Sarah Taylor Anderson officer: (See Remarks) 6800 WEST 115TH STREET, SUITE 2511, OVERLAND PARK KS 66211
Timothy Robert Danker director, officer: CHIEF EXECUTIVE OFFICER 6800 W 115TH STREET, SUITE 2511, OVERLAND PARK KS 66211
Hawks Donald L Iii director 6800 W 115TH STREET, SUITE 2511, OVERLAND PARK KS 66211
Raymond F Weldon director 6800 W 115TH STREET, SUITE 2511, OVERLAND PARK KS 66211
Matthew Scott Gunter officer: See Remarks 6800 W 115TH STREET, SUITE 2511, OVERLAND PARK KS 66211
Stephanie D. Fisher officer: Chief Accounting Officer 10990 ROE AVENUE, OVERLAND PARK KS 66211
Ryan Moore Clement officer: See Remarks 6800 WEST 115TH STREET, SUITE 2511, OVERLAND PARK KS 66211
Kristin Gibbar officer: Chief Human Resources Officer 6800 W. 115TH STREET, SUITE 2511, OVERLAND PARK KS 66211
Devanny Earl H Iii director CERNER CORP, 2800 ROCKCREEK PARKWAY, KANSAS CITY MO 64117-1593
Denise L Devine director C/O FULTON FINANCIAL CORPORATION, ONE PENN SQUARE, LANCASTER PA 17602
Raffaele Sadun officer: CHIEF FINANCIAL OFFICER 6800 W 115TH STREET, SUITE 2511, OVERLAND PARK KS 66211

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