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Avalo Therapeutics (Avalo Therapeutics) Operating Income : $-19.88 Mil (TTM As of Mar. 2024)


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What is Avalo Therapeutics Operating Income?

Avalo Therapeutics's Operating Income for the three months ended in Mar. 2024 was $-5.23 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2024 was $-19.88 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Avalo Therapeutics's Operating Income for the three months ended in Mar. 2024 was $-5.23 Mil. Avalo Therapeutics's Revenue for the three months ended in Mar. 2024 was $0.00 Mil. Therefore, Avalo Therapeutics's Operating Margin % for the quarter that ended in Mar. 2024 was %.

Warning Sign:

Avalo Therapeutics Inc operating margin has been in a 5-year decline. The average rate of decline per year is -28.8%.

Avalo Therapeutics's 5-Year average Growth Rate for Operating Margin % was -28.80% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Avalo Therapeutics's annualized ROC % for the quarter that ended in Mar. 2024 was -17.81%. Avalo Therapeutics's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2024 was -1,087.39%.


Avalo Therapeutics Operating Income Historical Data

The historical data trend for Avalo Therapeutics'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.

Avalo Therapeutics Operating Income Chart

Avalo Therapeutics 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 -17.39 -47.29 -82.13 -37.44 -23.44

Avalo Therapeutics 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 -8.79 -7.15 -3.75 -3.75 -5.23

Avalo Therapeutics 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 $-19.88 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.


Avalo Therapeutics  (NAS:AVTX) Operating Income Explanation

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

Avalo Therapeutics'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 )
=-20.916 * ( 1 - -0.01% )/( (13.715 + 221.213)/ 2 )
=-20.9180916/117.464
=-17.81 %

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:

Avalo Therapeutics'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 )
=-20.916/( ( (1.965 + max(-3.237, 0)) + (1.882 + max(-214.154, 0)) )/ 2 )
=-20.916/( ( 1.965 + 1.882 )/ 2 )
=-20.916/1.9235
=-1,087.39 %

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 + 0 + 0.844) - (3.501 + 0 + 0.58)
=-3.237

Working Capital(Q: Mar. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(0 + 0 + 1.001) - (7.002 + 0 + 208.153)
=-214.154

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 %:

Avalo Therapeutics'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 )
=-5.229/0
= %

* 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.


Avalo Therapeutics Operating Income Related Terms

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


Avalo Therapeutics (Avalo Therapeutics) Business Description

Traded in Other Exchanges
Address
540 Gaither Road, Suite 400, Rockville, MD, USA, 20850
Avalo Therapeutics Inc is a clinical-stage precision medicine company that discovers, develops, and commercializes targeted therapeutics for patients with significant unmet clinical needs in immunology, immuno-oncology, and rare genetic diseases. Its pipeline consists of product candidates advancing in development with ongoing clinical programs: AVTX-002, AVTX-007, and AVTX-006.
Executives
Armistice Capital Master Fund Ltd. director, 10 percent owner C/O ARMISTICE CAPITAL, LLC, 510 MADISON AVENUE, 7TH FLOOR, NEW YORK NY 10022
Caissa Capital Management Ltd. 10 percent owner PALM GROVE HOUSE, WICKHAMS CAY 1 ROAD TOWN, TORTOLA D8 VG1110
Christopher Ryan Sullivan officer: Interim CFO C/O CERECOR INC., 400 E. PRATT STREET, SUITE 606, BALTIMORE MD 21202
Garry Arthur Neil officer: Chief Medical Officer 555 CALIFORNIA STREET, SUITE 365, SAN FRANCISCO CA 94104
Mitchell Chan director C/O VIELA BIO, INC., ONE MEDIMMUNE WAY, FIRST FLOOR, AREA TWO, GAITHERSBURG MD 20878
Stephen Smolinski officer: Chief Commercial Officer C/O SELECTA BIOSCIENCES, INC., 480 ARSENAL WAY, WATERTOWN MA 02472
Magnus Persson director 400 E. PRATT STREET, SUITE 606, BALTIMORE MD 21202
Joseph M Miller director C/O CERECOR INC., 400 EAST PRATT STREET, SUITE 606, BALTIMORE MD 21202
Gilla Kaplan director C/O CELGENE CORPORATION, 86 MORRIS AVENUE, SUMMIT NJ 07901
June Sherie Almenoff director C/O BRAINSTORM CELL THERAPEUTICS INC., 1325 AVENUE OF AMERICAS 28TH FLOOR, NEW YORK NY 10019
Schond L. Greenway officer: CFO & Treasurer C/O CERECOR, INC., 540 GAITHER ROAD, SUITE 400, ROCKVILLE MD 20850
H Jeffrey Wilkins officer: Chief Medical Officer 600 LEE ROAD, SUITE 100, WAYNE PA 19087
Harrell James Archie Jr officer: Chief Commercial Officer C/O CERECOR INC., 400 E. PRATT STREET, SUITE 606, BALTIMORE MD 21202
Illya Keith Maher director C/O ARMISTICE CAPITAL, 510 MADISON AVE., 7TH FLOOR, NEW YORK NY 10022
Steven Boyd director, 10 percent owner 510 MADISON AVENUE, 7TH FLOOR, NEW YORK NY 10022