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Natural Health Trends (Natural Health Trends) Operating Income : $-1.64 Mil (TTM As of Mar. 2024)


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What is Natural Health Trends Operating Income?

Natural Health Trends's Operating Income for the three months ended in Mar. 2024 was $-0.37 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2024 was $-1.64 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Natural Health Trends's Operating Income for the three months ended in Mar. 2024 was $-0.37 Mil. Natural Health Trends's Revenue for the three months ended in Mar. 2024 was $10.95 Mil. Therefore, Natural Health Trends's Operating Margin % for the quarter that ended in Mar. 2024 was -3.33%.

Natural Health Trends'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. Natural Health Trends's annualized ROC % for the quarter that ended in Mar. 2024 was -7.73%. Natural Health Trends's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2024 was -41.14%.


Natural Health Trends Operating Income Historical Data

The historical data trend for Natural Health Trends'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.

Natural Health Trends Operating Income Chart

Natural Health Trends Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Operating Income
Get a 7-Day Free Trial Premium Member Only Premium Member Only -5.26 0.67 1.57 -0.27 -1.67

Natural Health Trends Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 -0.39 -0.74 -0.29 -0.24 -0.37

Natural Health Trends 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 Mar. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was $-1.64 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.


Natural Health Trends  (NAS:NHTC) Operating Income Explanation

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

Natural Health Trends's annualized ROC % for the quarter that ended in Mar. 2024 is calculated as:

ROC % (Q: Mar. 2024 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Dec. 2023 ) + Invested Capital (Q: Mar. 2024 ))/ count )
=-1.46 * ( 1 - 5.05% )/( (17.652 + 18.216)/ 2 )
=-1.38627/17.934
=-7.73 %

where

Note: The Operating Income data used here is four times the quarterly (Mar. 2024) data.

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

Natural Health Trends's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2024 is calculated as:

ROC (Joel Greenblatt) %(Q: Mar. 2024 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Dec. 2023  Q: Mar. 2024
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=-1.46/( ( (3.585 + max(-10.787, 0)) + (3.513 + max(-11.363, 0)) )/ 2 )
=-1.46/( ( 3.585 + 3.513 )/ 2 )
=-1.46/3.549
=-41.14 %

where Working Capital is:

Working Capital(Q: Dec. 2023 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(0 + 4.293 + 3.758) - (7.194 + 6.166 + 5.478)
=-10.787

Working Capital(Q: Mar. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(0 + 4.899 + 3.401) - (7.552 + 7.174 + 4.937)
=-11.363

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Mar. 2024) EBIT data.

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

Natural Health Trends's Operating Margin % for the quarter that ended in Mar. 2024 is calculated as:

Operating Margin %=Operating Income (Q: Mar. 2024 )/Revenue (Q: Mar. 2024 )
=-0.365/10.951
=-3.33 %

* 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.


Natural Health Trends Operating Income Related Terms

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


Natural Health Trends (Natural Health Trends) Business Description

Traded in Other Exchanges
Address
132 Nathan Road, Tsimshatsui, Units 1205-07, 12th floor, Mira Place Tower A, Kowloon, Hong Kong, HKG
Natural Health Trends Corp is an international direct-selling and e-commerce company. It offers a line of products such as Wellness, Herbal, Beauty, Lifestyle, Home, and Baby. Wellness products include targeted nutrition for joint health, antioxidant support, digestive health, heart health, and vision health. Herbal products include anti-aging and hydrating cleansers, creams, lotions, serums, and toners. Lifestyle products improve the overall quality of life and to support active, physical and healthy lifestyles. Home products are designed to create a clean and natural living environment for the home, and Baby products formulated with gentle ingredients from nature for infants and babies. It generates a majority of its revenue from Hong Kong.
Executives
Brunde E Broady director UNITS 1205-07, 12/F, MIRA PLACE TOWER A, 132 NATHAN ROAD, TSIMSHATSUI, KOWLOON K3 0000000000
Ching Chung Wong director UNITS 1205-07, 12/F, MIRA PLACE TOWER A, 132 NATHAN ROAD, TSIMSHATSUI, KOWLOON K3 0000000000
George K Broady director, 10 percent owner 751 CANYON DRIVE, SUITE 100, C/O KINGS III OF AMERICA, COPPELL TX 75019
Chris Tahjiun Sharng director, officer: President C/O OF NATURAL HEALTH TRENDS CORP., 609 DEEP VALLEY DRIVE, ROLLING HILLS ESTATES CA 90274
Timothy Scott Davidson officer: Sr. V.P. & CFO 609 DEEP VALLEY DRIVE, SUITE 395, ROLLING HILLS ESTATES CA 90274
Yiu Tung Chan director FLAT B, 13/F, GREENPARK VILLA, KAT CHEUNG CRESCENT, SHEUNG SHUI, NEW TERRITORIES K3 999077
Randall A Mason director PO BOX 4016, MARIETTA OH 45750
Christopher Robert O'brien director 448 32ND ST, MANHATTAN BEACH CA 90266
Jane Eleanor Broady 2012 Irrevocable Trust 10 percent owner 751 CANYON DRIVE, SUITE 100, COPPELL TX 75019
Kin Yep Chung director FLAT E, 14/F, CHARMING GARDEN BLOCK 8, MONG KOK K3 999077
John Marvin Broady 10 percent owner 751 CANYON DRIVE, SUITE 100, COPPELL TX 75019
Magdalena Steinbrunner 10 percent owner 751 CANYON DRIVE, SUITE 100, COPPELL TX 75019
George Vincent Broady 10 percent owner 751 CANYON DRIVE, SUITE 100, COPPELL TX 75019
Stefan Zuckut director C/O NATURAL HEALTH TRENDS CORP., 2050 DIPLOMAT DRIVE, DALLAS TX 75234
Chief China Resources Ltd 10 percent owner 18 CHAOYANGMENWAI STREET, SUITE B710, FULL LINK PLAZA, BEIJING F4 100020