GURUFOCUS.COM » STOCK LIST » Industrials » Business Services » Neway Group Holdings Ltd (HKSE:00055) » Definitions » Operating Income

Neway Group Holdings (HKSE:00055) Operating Income : HK$-50.4 Mil (TTM As of Dec. 2024)


View and export this data going back to 1992. Start your Free Trial

What is Neway Group Holdings Operating Income?

Neway Group Holdings's Operating Income for the six months ended in Dec. 2024 was HK$-24.1 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2024 was HK$-50.4 Mil.

Warning Sign:

Neway Group Holdings Ltd has never been profitable in the past 3 years. It lost money every year.

Operating Margin % is calculated as Operating Income divided by its Revenue. Neway Group Holdings's Operating Income for the six months ended in Dec. 2024 was HK$-24.1 Mil. Neway Group Holdings's Revenue for the six months ended in Dec. 2024 was HK$281.3 Mil. Therefore, Neway Group Holdings's Operating Margin % for the quarter that ended in Dec. 2024 was -8.56%.

Neway Group Holdings'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. Neway Group Holdings's annualized ROC % for the quarter that ended in Dec. 2024 was -6.44%. Neway Group Holdings's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2024 was -13.04%.


Neway Group Holdings Operating Income Historical Data

The historical data trend for Neway Group Holdings'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.

Neway Group Holdings Operating Income Chart

Neway Group Holdings Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Operating Income
Get a 7-Day Free Trial Premium Member Only Premium Member Only -13.78 -55.32 -74.20 -69.65 -50.38

Neway Group Holdings Semi-Annual Data
Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24
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 -36.25 -70.86 1.20 -26.29 -24.10

Neway Group Holdings 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. 2024 adds up the semi-annually data reported by the company within the most recent 12 months, which was HK$-50.4 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.


Neway Group Holdings  (HKSE:00055) Operating Income Explanation

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

Neway Group Holdings's annualized ROC % for the quarter that ended in Dec. 2024 is calculated as:

ROC % (Q: Dec. 2024 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Jun. 2024 ) + Invested Capital (Q: Dec. 2024 ))/ count )
=-48.194 * ( 1 - -12.16% )/( (810.363 + 868.022)/ 2 )
=-54.0543904/839.1925
=-6.44 %

where

Invested Capital(Q: Jun. 2024 )
=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))
=1127.086 - 163.627 - ( 153.096 - max(0, 367.768 - 800.936+153.096))
=810.363

Invested Capital(Q: Dec. 2024 )
=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))
=1077.092 - 81.192 - ( 127.878 - max(0, 367.337 - 745.608+127.878))
=868.022

Note: The Operating Income data used here is two times the semi-annual (Dec. 2024) data.

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

Neway Group Holdings's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2024 is calculated as:

ROC (Joel Greenblatt) %(Q: Dec. 2024 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Jun. 2024  Q: Dec. 2024
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=-58.688/( ( (136.695 + max(317.237, 0)) + (135.027 + max(311.346, 0)) )/ 2 )
=-58.688/( ( 453.932 + 446.373 )/ 2 )
=-58.688/450.1525
=-13.04 %

where Working Capital is:

Working Capital(Q: Jun. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(154.631 + 357.681 + 74.761) - (163.627 + 0 + 106.209)
=317.237

Working Capital(Q: Dec. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(129.733 + 328.889 + 91.214) - (81.192 + 0 + 157.298)
=311.346

When net working capital is negative, 0 is used.

Note: The EBIT data used here is two times the semi-annual (Dec. 2024) EBIT data.

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

Neway Group Holdings's Operating Margin % for the quarter that ended in Dec. 2024 is calculated as:

Operating Margin %=Operating Income (Q: Dec. 2024 )/Revenue (Q: Dec. 2024 )
=-24.097/281.347
=-8.56 %

* 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.


Neway Group Holdings Operating Income Related Terms

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


Neway Group Holdings Business Description

Traded in Other Exchanges
N/A
Address
193 Prince Edward Road West, Units Nos. 1107-1111, Level 11, Tower II, Grand Century Place, Mongkok, Kowloon, Hong Kong, HKG
Neway Group Holdings Ltd is an investment holding company. The company is engaged in Lending Business engages in money lending; Manufacturing and Sales Business engages in manufacturing and sales of printing and other products; Music and Entertainment Business engages in artists management, production and distribution of music albums as well as concert and event management and investment; Property Development Business engaged in property development; Property investment business engaged in property investment; Securities Trading Business engaged in securities trading; and Trading Business engaged in trading of printing and other products. It derives majority of the revenue from the Manufacturing and Sales Business from the PRC.
Executives
Poon Tak Fai 2101 Beneficial owner
Alpadis Group Holding Ag
Alpadis Trust (hk) Limited
Esseiva Alain
Esseiva Vanessa Teo
Esseiva Alain
Cna Company Limited
Heer Dominik Philipp
Heer Krinya
Teo Wei Lee
Suek Ka Lun Ernie
Longoing Limited 2101 Beneficial owner

Neway Group Holdings Headlines

No Headlines