Operating ratios


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Operating ratios

Ratios that measures a firm's operating efficiency. Examples include profit margin, and sales to assets.

Operating Ratio

A ratio of a company's operating expenses to its sales or revenue. A lower operating ratio is considered ideal because it indicates that, in the event of a decline in sales or revenue, a company will maintain profitability. Most firms desire an operating ratio below 0.80.
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Our commitment to efficiency, asset optimization, and operational excellence has produced yet another record-low operating ratio.
Regular review of operating ratio, defined as the relative relationship between various types of financial data, is one way to avoid such fiduciary traps.
In addition to the financial and operating ratios, statistical data covered in the survey include distribution of 2002 sales dollars, net sales/employee hours, value added per employee, net sales/production worker hours, total employment costs/net sales, production worker employment costs/net sales, total employment costs/pounds shipped, production worker employment costs/pound shipped, total production-related expenses/pound shipped, profits, and changes in net sales from 2001 to 2002.
The private motor market's combined operating ratio (COR) recorded a significant improvement, aided by premium rate increases and a reasonably mild year.
A total of 73 companies reported data for 101 plants in the SPI 2001 Financial & Operating Ratios Survey.
This report takes the same thirty-two (32) financial operating ratios collected and analyzed in the Software Company Operating Ratios Study and cross-tabulates them against profitability ranges.
SPI's annual Financial & Operating Ratios Survey, a valuable benchmarking tool for plastics processors, now is available.
Fitch notes that while SFG has reported strong operating results in the past several years, with premiums, operating ratios and net income all improving year over year; in nine months 2006 pre-tax earnings have decreased by 11% and 19% on a GAAP and statutory level, respectively.
For the railroads, Fitch expects continued top line growth to combine with enhanced operational efficiency to drive further improvement in operating ratios (ORs) throughout 2007.
The data includes information about more than 735 industries, income statement and balance sheet common size comparisons, and nineteen operating ratios.
The added monthly service fees associated with the cottages plus the reduction in nursing census has caused operating performance to improve with operating ratios of 84.
AECC has experienced a sharp decline in its operating ratios in fiscal years 2004 and 2005.

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