Chart: Operating Margin Percentage
The information listed below is part of a chart titled Operating Margin Percentage, originally shared in a message from President Schulz, “Our long-term fiscal health”.
The Operating Margin line graph depicts operating margin percentages over the last several years. The chart shows WSU’s operating margin percentage for Fiscal Year 2016 through Fiscal Year 2021, in addition to the ratios of Moody’s Aa2 median, Moody’s Aa3 median, and peer institutions for Fiscal Year 2016 through Fiscal Year 2020.
The desired direction is upward.
Washington State University’s Operating Margin
WSU’s operating margin is trending upwards and became a positive number for the first time in FY2019.
| Fiscal Year | Percentage |
|---|---|
| 2016 | -5.2 |
| 2017 | -3.0 |
| 2018 | -3.6 |
| 2019 | 0.9 |
| 2020 | 1.7 |
| 2021 | 3.6 |
Moody’s Aa2 Median Operating Margin
Moody’s Aa2 Median operating margin percentage has remained relatively constant, falling slightly in FY2020.
| Fiscal Year | Percentage |
|---|---|
| 2016 | 4.4 |
| 2017 | 4.5 |
| 2018 | 4.1 |
| 2019 | 3.7 |
| 2020 | 3.0 |
The Moody’s MFRA data was sourced on April 15, 2022. Medians may change as more universities report data and may not include any accounting changes or restatements.
Moody’s Aa3 Median Operating Margin
Moody’s Aa3 Median operating margin percentage stayed flat in FY2016 and FY2017, but waivered slightly between FY2018 and FY2020.
| Fiscal Year | Percentage |
|---|---|
| 2016 | 3.1 |
| 2017 | 3.1 |
| 2018 | 2.8 |
| 2019 | 2.4 |
| 2020 | 2.5 |
The Moody’s MFRA data was sourced on April 15, 2022. Medians may change as more universities report data and may not include any accounting changes or restatements.
Peer Ratios Operating Margin
The operating margin percentage for peer universities has trended downward since FY2018.
| Fiscal Year | Percentage |
|---|---|
| 2016 | 3.4 |
| 2017 | 3.6 |
| 2018 | 3.9 |
| 2019 | 2.3 |
| 2020 | 1.0 |
The peer ratio is a calculated median of 11 selected peer universities with similar full-time enrollment, outstanding debt, operating revenue, and an Aa Moody’s rating. 6 universities are in the top 25 public research institution ratings and 5 universities were identified by the Institutional Effectiveness Council as Institutional Peers used to benchmark progress in the 2014-17 strategic plan.