GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Vehicles & Parts » Polestar Automotive Holding UK PLC (NAS:PSNY) » Definitions » Operating Margin %

Polestar Automotive Holding UK (Polestar Automotive Holding UK) Operating Margin % : -42.60% (As of Sep. 2023)


View and export this data going back to 2022. Start your Free Trial

What is Polestar Automotive Holding UK Operating Margin %?

Operating Margin % is calculated as Operating Income divided by its Revenue. Polestar Automotive Holding UK's Operating Income for the three months ended in Sep. 2023 was $-261 Mil. Polestar Automotive Holding UK's Revenue for the three months ended in Sep. 2023 was $613 Mil. Therefore, Polestar Automotive Holding UK's Operating Margin % for the quarter that ended in Sep. 2023 was -42.60%.

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

PSNY' s Operating Margin % Range Over the Past 10 Years
Min: -207.66   Med: -71.65   Max: -19.92
Current: -19.92


PSNY's Operating Margin % is ranked worse than
92.19% of 1281 companies
in the Vehicles & Parts industry
Industry Median: 5.08 vs PSNY: -19.92

Polestar Automotive Holding UK's 5-Year Average Operating Margin % Growth Rate was 0.00% per year.

Polestar Automotive Holding UK's Operating Income for the three months ended in Sep. 2023 was $-261 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Sep. 2023 was $-564 Mil.


Polestar Automotive Holding UK Operating Margin % Historical Data

The historical data trend for Polestar Automotive Holding UK'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.

Polestar Automotive Holding UK Operating Margin % Chart

Polestar Automotive Holding UK Annual Data
Trend Dec19 Dec20 Dec21 Dec22
Operating Margin %
-207.66 -72.59 -70.71 -36.98

Polestar Automotive Holding UK Quarterly Data
Dec19 Dec20 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23
Operating Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only -45.10 17.38 -36.52 -40.04 -42.60

Competitive Comparison of Polestar Automotive Holding UK's Operating Margin %

For the Auto Manufacturers subindustry, Polestar Automotive Holding UK'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.


Polestar Automotive Holding UK's Operating Margin % Distribution in the Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, Polestar Automotive Holding UK's Operating Margin % distribution charts can be found below:

* The bar in red indicates where Polestar Automotive Holding UK's Operating Margin % falls into.



Polestar Automotive Holding UK 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.

Polestar Automotive Holding UK's Operating Margin % for the fiscal year that ended in Dec. 2022 is calculated as

Operating Margin %=Operating Income (A: Dec. 2022 ) / Revenue (A: Dec. 2022 )
=-910.367 / 2461.896
=-36.98 %

Polestar Automotive Holding UK's Operating Margin % for the quarter that ended in Sep. 2023 is calculated as

Operating Margin %=Operating Income (Q: Sep. 2023 ) / Revenue (Q: Sep. 2023 )
=-261.205 / 613.182
=-42.60 %

* 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.


Polestar Automotive Holding UK  (NAS:PSNY) 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.


Polestar Automotive Holding UK Operating Margin % Related Terms

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


Polestar Automotive Holding UK (Polestar Automotive Holding UK) Business Description

Traded in Other Exchanges
Address
Assar Gabrielssons Vag 9, Gothenburg, SWE, 405 31
Polestar Automotive Holding UK PLC operates as an electric vehicle manufacturer. It engages in designing products that are engineered to excite consumers and drive change. Polestar defines market-leading standards in design, technology, and sustainability. Polestar was established as a premium electric car brand by Volvo Cars and Geely Holdings. Polestar has produced two electric performance cars namely Polestar 1 and Polestar 2. Geographically, it derives a majority of revenue from USA.