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Veste Estilo (BSP:VSTE) Operating Margin % : 5.79% (As of Dec. 2023)


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What is Veste Estilo Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Veste Estilo's Operating Income for the three months ended in Dec. 2023 was R$16 Mil. Veste Estilo's Revenue for the three months ended in Dec. 2023 was R$282 Mil. Therefore, Veste Estilo's Operating Margin % for the quarter that ended in Dec. 2023 was 5.79%.

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

BSP:VSTE' s Operating Margin % Range Over the Past 10 Years
Min: -209.69   Med: 10.75   Max: 24.07
Current: 3.26


BSP:VSTE's Operating Margin % is ranked worse than
51.35% of 1110 companies
in the Retail - Cyclical industry
Industry Median: 3.49 vs BSP:VSTE: 3.26

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

Veste Estilo's Operating Income for the three months ended in Dec. 2023 was R$16 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 was R$36 Mil.


Veste Estilo Operating Margin % Historical Data

The historical data trend for Veste Estilo'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.

Veste Estilo Operating Margin % Chart

Veste Estilo 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 -9.58 -209.69 -76.50 24.07 3.32

Veste Estilo 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 84.49 2.99 1.48 2.81 5.79

Competitive Comparison of Veste Estilo's Operating Margin %

For the Apparel Retail subindustry, Veste Estilo'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.


Veste Estilo's Operating Margin % Distribution in the Retail - Cyclical Industry

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

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



Veste Estilo 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.

Veste Estilo'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 )
=36.863 / 1109.823
=3.32 %

Veste Estilo'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 )
=16.308 / 281.847
=5.79 %

* 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.


Veste Estilo  (BSP:VSTE) 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.


Veste Estilo Operating Margin % Related Terms

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Veste Estilo (BSP:VSTE) Business Description

Traded in Other Exchanges
N/A
Address
Rua Othão, 405, Sao Paulo, SP, BRA, 05313-020
Veste SA Estilo is engaged in apparel industry retailers and high-end accessories in Brazil. The Company's main objectives are: development, exploration of the industry, trade, import and export of clothing and clothing accessories and trading in decorative, hygiene and cosmetic objects, among others. It produces clothes, accessories, footwear, and articles for the home, always in line with contemporary lifestyle, bringing joy, elegance, and well-being to customers under its brands Le Lis, Dudalina, john john, Stew, and Individual. The company focuses on designing, developing, manufacturing, and trading apparel and accessories for women and men.

Veste Estilo (BSP:VSTE) Headlines