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Discontinued — last reported Q4 '22

Operating margin at other companies

BrightSpring Health Services, Inc. logo
BrightSpring Health Services, Inc.BTSG
2.7%+1.1pp
Tenet Healthcare logo
Tenet HealthcareTHC
18%+0.4pp

Other financials

Income statement

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Revenue$1.6B+9.0%
Operating income$151.9M+18.3%
Net income$194.5M+28.4%
EPS (diluted)$1.93+30.4%

Balance sheet

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Cash & equivalents$163.4M+33.1%
Total debt$3.1B-1.1%
Total equity$2.5B+16.8%
Total assets$7.3B+10.1%

Cash flow

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Operating cash flow$313.1M+8.5%
CapEx$162.4M-0.4%
Free cash flow$150.7M+20.1%

Valuation

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Market cap$9.72B-5.7%
Enterprise value$12.68B-5.0%
P/E16×-4.9×
P/S1.6×-0.3×

Profitability

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Net margin10%+1.1pp
FCF margin7.7%+0.6pp

Returns & leverage

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Return on equity26%+0.7pp
Debt / equity1.2×-0.2×
Current ratio1.2×+0.1×

Where this comes from

Calculated from Encompass Health Corporation’s reported figures.

Based on trailing twelve months.

The official record: Encompass Health Corporation’s 10-K, filed February 26, 2026, on SEC EDGAR. View the filing →

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Questions, answered.

What is Encompass Health Corporation's operating margin?
Encompass Health Corporation (EHC) reported operating margin of 12.4% in Q4 2022.
How has Encompass Health Corporation's operating margin changed year-over-year?
Encompass Health Corporation's operating margin decreased by 11.0% year-over-year, from 13.9% to 12.4%.
What is the long-term trend for Encompass Health Corporation's operating margin?
Over 2 years (2020 to 2022), Encompass Health Corporation's operating margin has grown at a 1.1% compound annual growth rate (CAGR), from 12.1% to 12.4%.
What does operating margin mean?
The profit left from core operations for every dollar of sales, before interest and taxes.
How do you interpret operating margin?
Expanding operating margin shows operating leverage — revenue growing faster than the cost base. Compression points to rising overhead, pricing pressure, or investment ahead of revenue.
How does operating margin compare across companies?
Strong cross-company signal within a sector. Capital-light businesses sustain higher operating margins than capital-intensive ones.