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CSP (CSPI) Operating Income : $1.16 Mil (TTM As of Mar. 2024)


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What is CSP Operating Income?

CSP's Operating Income for the three months ended in Mar. 2024 was $1.23 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2024 was $1.16 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. CSP's Operating Income for the three months ended in Mar. 2024 was $1.23 Mil. CSP's Revenue for the three months ended in Mar. 2024 was $13.71 Mil. Therefore, CSP's Operating Margin % for the quarter that ended in Mar. 2024 was 9.00%.

CSP'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. CSP's annualized ROC % for the quarter that ended in Mar. 2024 was 16.76%. CSP's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2024 was 122.42%.


CSP Operating Income Historical Data

The historical data trend for CSP'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.

CSP Operating Income Chart

CSP Annual Data
Trend Sep14 Sep15 Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22 Sep23
Operating Income
Get a 7-Day Free Trial Premium Member Only Premium Member Only -0.83 -1.42 -1.36 -0.04 1.87

CSP 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 0.24 0.58 -0.31 -0.34 1.23

CSP 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 $1.16 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.


CSP  (NAS:CSPI) Operating Income Explanation

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

CSP'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 )
=4.936 * ( 1 - 7.84% )/( (26.935 + 27.34)/ 2 )
=4.5490176/27.1375
=16.76 %

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:

CSP'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 )
=7.076/( ( (1.414 + max(4.287, 0)) + (1.231 + max(4.628, 0)) )/ 2 )
=7.076/( ( 5.701 + 5.859 )/ 2 )
=7.076/5.78
=122.42 %

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)
=(11.722 + 6.963 + 1.824) - (14.881 + 1.252 + 0.088999999999999)
=4.287

Working Capital(Q: Mar. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(12.78 + 1.478 + 1.86) - (9.741 + 1.668 + 0.081000000000001)
=4.628

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 %:

CSP'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 )
=1.234/13.706
=9.00 %

* 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.


CSP Operating Income Related Terms

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


CSP (CSPI) Business Description

Traded in Other Exchanges
N/A
Address
175 Cabot Street, Suite 210, Lowell, MA, USA, 01854
CSP Inc along with its subsidiaries develops and markets IT integration solutions, security products, managed IT services, cloud services, purpose-built network adapters, and high-performance cluster computer systems. The firm operates in two segments namely Technology Solutions, where the company focus on value-added reseller integrated solutions including third-party hardware, software, and technical computer-related consulting, and High-Performance Products segments, where the company design, manufacture and deliver products and services to customers that require specialized cyber security services, networking and signal processing. It generates a majority of its revenue from the Technology Solutions segment. Geographically, the company generates its maximum revenue from the Americas.
Executives
Joseph R Nerges 10 percent owner 1726 BUNDY ST, SCRANTON PA 18508
Gary Southwell officer: VP and GM 175 CABOT STREET, SUITE 210, LOWELL MA 01854
Mike Newbanks officer: VP Finance & CAO 1182 E NEWPORT CENTER DRIVE, DEERFIELD BEACH FL 33442
Gary W Levine officer: CFO 215 BUNKER HILL ST., CHARLESTOWN MA 02129
Victor Dellovo officer: President and CEO 1182 EAST NEWPORT CENTER DRIVE, DEERFIELD BEACH FL 33442-8126
C Shelton James director GROUP LONG DISTANCE INC, 1451 W CYPRESS CREEK RD STE 200, FT LAUDERDALE FL 33309
Ismail Azeri director 175 CABOT STREET, SUITE 210, LOWELL MA 01854
John M Leydon officer: VP Finance Chief Acct Officer 2 BECK STREET, NEWBURYPORT MA 01950
Blackmon Raymond Charles Jr director 155 VIOLET PLACE, EUFAULA AL 36027
Marilyn T Smith director 10349 MAIN STREET, FAIRFAX VA 22030
Robert E Bunnett director 733 MEDITERRANEAN LANE, REDWOOD CITY CA 94065
Julian Demora other: Investor P.O.BOX 220139, HOLLYWOOD FL 33022
Christopher Hall director, 10 percent owner 671 NORTHEAST 105TH ST, MIAMI SHORES FL 33138
Robert Michael Williams director P.O. 296, BREWSTER MA 02631
Robert A Stellato officer: Chief Accounting Officer 43 MANNING ROAD, BILLERICA MA 01821