Question

2015 . 2016 . 2017

Sales/Revenue	47.01B	38.54B	45.46B
Cost of Goods Sold (COGS) incl. D&A	34.92B	29.48B	32.34B
COGS excluding D&A	31.87B	26.45B	29.46B
Depreciation & Amortization Expense	3.04B	3.03B	2.88B
Depreciation	2.71B	2.71B	2.56B
Amortization of Intangibles	337M	326M	323M
Gross Income	12.1B	9.06B	13.12B
	2015	2016	2017
SG&A Expense	7.07B	6.64B	7.08B
Research & Development	2.12B	1.95B	1.91B
Other SG&A	4.95B	4.69B	5.18B
Other Operating Expense	337M	304M	386M
Unusual Expense	986M	1.63B	1.15B
EBIT after Unusual Expense	(986M)	490M	4.51B
Non Operating Income/Expense	172M	74M	(26M)
Non-Operating Interest Income	65M	74M	122M
Equity in Affiliates (Pretax)	-	-	-
Interest Expense	501M	499M	522M
Gross Interest Expense	515M	506M	530M
Interest Capitalized	14M	7M	8M
Pretax Income	3.44B	139M	4.08B
Income Tax	916M	192M	3.34B
Income Tax - Current Domestic	567M	(95M)	1B
Income Tax - Current Foreign	656M	718M	1.12B
Income Tax - Deferred Domestic	(373M)	(323M)	1.23B
Income Tax - Deferred Foreign	66M	(108M)	(17M)
Income Tax Credits	-	-	-
Equity in Affiliates	-	(6M)	16M
Other After Tax Income (Expense)	-	-	-
Consolidated Net Income	2.52B	(59M)	759M
Minority Interest Expense	11M	8M	5M
Net Income	2.51B	(67M)	754M
Extraordinaries & Discontinued Operations	-	-	-
Extra Items & Gain/Loss Sale Of Assets	-	-	-
Cumulative Effect - Accounting Chg	-	-	-
Discontinued Operations	-	-	-
Net Income After Extraordinaries	2.51B	(67M)	754M
Preferred Dividends	-	-	-
Net Income Available to Common	2.51B	(67M)	754M
EPS (Basic)	4.23	-0.11	1.27
Basic Shares Outstanding	594.3M	584.3M	591.8M
EPS (Diluted)	4.18	-0.11	1.26
Diluted Shares Outstanding	601.3M	584.3M	599.3M
EBITDA	7.73B	5.15B	8.53B

What is the operating margin for 2015, 2016, & 2017?

Please show how you got those numbers as well.

Answer 1

operating margin(%)= operating income/sales
Sales:
2015=47.01bn 2016=38.54b 2017=45.46bn
Operating income= sales-cogs-dep&amort-sg&A exp-other SG&A-other operting expense
2015:
operating income=12.1-7.07-2.12-4.95-(337/1000)=-2.377bn
Operating margin=-2.377/47.01=-5.06%

2016:
operating income=9.06-6.64-1.95-4.69-(304/1000)=-4.524bn
Operating margin=-4.524/38.54=-11.74%

2017:
operating income=13.12-7.08-1.91-5.18-(386/1000)=-14364bn
Operating margin=-1.436/45.46=-3.16%

answered by: anonymous