Webco Industries (Webco Industries) Operating Income : $38.9 Mil (TTM As of Jul. 2023)

Webco Industries Operating Income Chart

Webco Industries Annual Data
	Trend	Jul05	Jul06	Jul12	Jul13	Jul14	Jul15	Jul16	Jul17	Jul18	Jul23
Operating Income		Get a 7-Day Free Trial					4.87	-0.88	8.91	27.82	38.91

Webco Industries Semi-Annual Data
	Jul95	Jul96	Jul97	Jul98	Jul99	Jul00	Jul01	Jul02	Jul03	Jul04	Jul05	Jul06	Jul12	Jul13	Jul14	Jul15	Jul16	Jul17	Jul18	Jul23
Operating Income	Get a 7-Day Free Trial															4.87	-0.88	8.91	27.82	38.91

Webco Industries 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.

For stock reported annually, GuruFocus uses latest annual data as the TTM data. Operating Income for the trailing twelve months (TTM) ended in Jul. 2023 was $38.9 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.

Webco Industries  (OTCPK:WEBC) Operating Income Explanation

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

Webco Industries's annualized ROC % for the quarter that ended in Jul. 2023 is calculated as:

where

Note: The Operating Income data used here is one times the annual (Jul. 2023) data.

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

Webco Industries's annualized ROC (Joel Greenblatt) % for the quarter that ended in Jul. 2023 is calculated as:

where Working Capital is:

When net working capital is negative, 0 is used.

Note: The EBIT data used here is one times the annual (Jul. 2023) EBIT data.

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

Webco Industries's Operating Margin % for the quarter that ended in Jul. 2023 is calculated as:

* 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.

Webco Industries Operating Income Related Terms

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

Webco Industries (Webco Industries) Business Description