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Atmel (ATML) Operating Income : $51 Mil (TTM As of Dec. 2015)


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What is Atmel Operating Income?

Atmel's Operating Income for the three months ended in Dec. 2015 was $5 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2015 was $51 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Atmel's Operating Income for the three months ended in Dec. 2015 was $5 Mil. Atmel's Revenue for the three months ended in Dec. 2015 was $261 Mil. Therefore, Atmel's Operating Margin % for the quarter that ended in Dec. 2015 was 1.91%.

Atmel's 5-Year average Growth Rate for Operating Margin % was 0.00% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Atmel's annualized ROC % for the quarter that ended in Dec. 2015 was 1.37%. Atmel's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2015 was 7.60%.


Atmel Operating Income Historical Data

The historical data trend for Atmel's Operating Income 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.

Atmel Operating Income Chart

Atmel Annual Data
Trend Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15
Operating Income
Get a 7-Day Free Trial Premium Member Only Premium Member Only 382.01 47.36 -2.47 59.23 50.76

Atmel Quarterly Data
Mar11 Jun11 Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15
Operating Income Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -5.58 20.55 14.76 10.47 4.98

Atmel Operating Income Calculation

Operating Income, is the profit a company earned through operations. All expenses, including cash expenses such as cost of goods sold (COGS), research & development, wages, and non-cash expenses, such as depreciation, depletion and amortization, have been deducted from the sales.

Operating Income for the trailing twelve months (TTM) ended in Dec. 2015 adds up the quarterly data reported by the company within the most recent 12 months, which was $51 Mil.

* 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.


Atmel  (NAS:ATML) Operating Income Explanation

1. Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition.

Atmel's annualized ROC % for the quarter that ended in Dec. 2015 is calculated as:

ROC % (Q: Dec. 2015 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Sep. 2015 ) + Invested Capital (Q: Dec. 2015 ))/ count )
=19.936 * ( 1 - 37.72% )/( (890.297 + 916.249)/ 2 )
=12.4161408/903.273
=1.37 %

where

Invested Capital(Q: Sep. 2015 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=1300.898 - 191.86 - ( 218.741 - max(0, 253.371 - 780.208+218.741))
=890.297

Invested Capital(Q: Dec. 2015 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=1260.418 - 133.917 - ( 210.252 - max(0, 211.192 - 698.408+210.252))
=916.249

Note: The Operating Income data used here is four times the quarterly (Dec. 2015) data.

2. Joel Greenblatt's definition of Return on Capital:

Atmel's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2015 is calculated as:

ROC (Joel Greenblatt) %(Q: Dec. 2015 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Sep. 2015  Q: Dec. 2015
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=32.508/( ( (139.78 + max(317.463, 0)) + (131.154 + max(267.624, 0)) )/ 2 )
=32.508/( ( 457.243 + 398.778 )/ 2 )
=32.508/428.0105
=7.60 %

where Working Capital is:

Working Capital(Q: Sep. 2015 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(202.221 + 267.626 + 91.62) - (191.86 + 52.144 + 0)
=317.463

Working Capital(Q: Dec. 2015 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(195.481 + 257.376 + 25.959) - (133.917 + 38.71 + 38.565)
=267.624

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Dec. 2015) EBIT data.

3. Operating Income is also linked to Operating Margin %:

Atmel's Operating Margin % for the quarter that ended in Dec. 2015 is calculated as:

Operating Margin %=Operating Income (Q: Dec. 2015 )/Revenue (Q: Dec. 2015 )
=4.984/261.282
=1.91 %

* 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.

4. Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the Operating Income growth rate using Operating Income per share data.


Be Aware

Compared with a company's EBITDA margin, 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 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.


Atmel Operating Income Related Terms

Thank you for viewing the detailed overview of Atmel's Operating Income provided by GuruFocus.com. Please click on the following links to see related term pages.


Atmel (ATML) Business Description

Traded in Other Exchanges
N/A
Address
Atmel Corp was originally incorporated in California on December 5, 1984 and was reincorporated in Delaware in October 1999. The Company designs, develops and supplies microcontrollers, which are self-contained computers-on-a-chip. It organizes its business into four reportable operating segments; Microcontrollers, Nonvolatile Memories, Radio Frequency, and Application Specific Integrated Circuits. Its Microcontrollers segment includes Atmel's maXTouch capacitive touch product families and its general purpose microcontroller and microprocessor families, AVR 8-bit and 32-bit products, ARM based products, Atmel's 8051 8-bit products, designated commercial wireless products, including low power radio and SOC products that meet Zigbee and Wi-Fi specifications and optimized products for mobile sensor hub, smart energy, touch button and LED lighting applications. Its Nonvolatile Memories segment includes electrically erasable programmable read-only "EEPROM" and erasable programmable read-only memory "EPROM" devices. Its Radio Frequency and Automotive segment includes automotive electronics, wireless and wired devices for industrial, consumer and automotive applications and foundry services. Its Application Specific Integrated Circuits segment includes custom application specific integrated circuits designed to meet specialized single-customer requirements for its high performance devices, including products that provide hardware security for embedded digital systems, products with military and aerospace applications and application specific standard products for space applications, power management and secure cryptographic memory products. The Company markets its products in various countries to a diverse base of OEMs serving commercial markets. It also sells its products to OEM accounts through its direct sales force, using manufacturers' representatives or through national and regional distributors. It sells its products in United States, Asia and Europe. Throughout its product line, the Company competes with a number of semiconductor manufacturers, such as Cypress, Freescale, Infineon, Intel, Microchip, NXP Semiconductors, ON Semiconductor, Renesas, Samsung, Silicon Labs, Spansion, STMicroelectronics, Synaptics, and Texas Instruments. The Company relies on patents, copyrights, trademarks and trade secrets, as well as nondisclosure agreements and other methods to protect its proprietary technologies and processes.
Executives
Steven Laub director, officer: President & CEO 5555 NE MOORE CT., HILLSBORO OR 97124
Stephen A Skaggs officer: SVP & CFO 5555 NE MOORE CT., HILLSBORO OR 97124
Charles Carinalli director
David Sugishita director 2325 ORCHARD PARKWAY, SAN JOSE CA 95131
Jack L Saltich director 9460 NORTH 57TH STREET, PARADISE VALLEY AZ 85253
Papken Der Torossian director 1250 RELIANCE WAY, FREMONT CA 94539
Jamie Samath officer: VP & Corporate Controller NATIONAL SEMICONDUCTOR, 2900 SEMICONDUCTOR DR, M/S C1-640, SANTA CLARA CA 95051
Stephen Cumming officer: VP Finance and CFO 2325 ORCHARD PARKWAY, SAN JOSE CA 95131
Walter Lifsey officer: EVP & Chief Operating Officer C/O GATES INDUSTRIAL CORPORATION PLC, 1144 FIFTEENTH STREET, SUITE 1400, DENVER CO 80202
T Peter Thomas director 3000 SAND HILL ROAD, 2-290 MENLO PARK CA 94025
Francis P Barton director C/O INVENTERGY GLOBAL, INC., 900 E. HAMILTON AVENUE, SUITE 180, CAMPBELL CA 95008

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