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Photronics Operating Income

: $149.6 Mil (TTM As of Apr. 2022)
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Photronics's Operating Income for the three months ended in Apr. 2022 was $49.4 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Apr. 2022 was $149.6 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Photronics's Operating Income for the three months ended in Apr. 2022 was $49.4 Mil. Photronics's Revenue for the three months ended in Apr. 2022 was $204.5 Mil. Therefore, Photronics's Operating Margin % for the quarter that ended in Apr. 2022 was 24.16%.

Good Sign:

Photronics Inc operating margin is expanding. Margin expansion is usually a good sign.

Photronics's 5-Year average Growth Rate for Operating Margin % was 6.80% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Photronics's annualized ROC % for the quarter that ended in Apr. 2022 was 17.66%. Photronics's annualized ROC (Joel Greenblatt) % for the quarter that ended in Apr. 2022 was 24.86%.


Photronics Operating Income Historical Data

The historical data trend for Photronics'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.

Photronics Annual Data
Trend Oct12 Oct13 Oct14 Oct15 Oct16 Oct17 Oct18 Oct19 Oct20 Oct21
Operating Income
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 31.87 65.63 52.12 63.93 94.55

Photronics Quarterly Data
Jul17 Oct17 Jan18 Apr18 Jul18 Oct18 Jan19 Apr19 Jul19 Oct19 Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22
Operating Income 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 Premium Member Only Premium Member Only Premium Member Only 20.81 28.46 33.52 38.20 49.40

Photronics 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 Apr. 2022 adds up the quarterly data reported by the company within the most recent 12 months, which was $149.6 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.


Photronics  (NAS:PLAB) Operating Income Explanation

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

Photronics's annualized ROC % for the quarter that ended in Apr. 2022 is calculated as:

ROC % (Q: Apr. 2022 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Jan. 2022 ) + Invested Capital (Q: Apr. 2022 ))/ count )
=197.604 * ( 1 - 25.07% )/( (848.266 + 828.544)/ 2 )
=148.0646772/838.405
=17.66 %

where

Invested Capital(Q: Jan. 2022 )
=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))
=1335.248 - 172.787 - ( 314.195 - max(0, 191.094 - 597.779+314.195))
=848.266

Invested Capital(Q: Apr. 2022 )
=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))
=1331.887 - 174.061 - ( 329.282 - max(0, 186.471 - 630.345+329.282))
=828.544

Note: The Operating Income data used here is four times the quarterly (Apr. 2022) data.

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

Photronics's annualized ROC (Joel Greenblatt) % for the quarter that ended in Apr. 2022 is calculated as:

ROC (Joel Greenblatt) %(Q: Apr. 2022 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Jan. 2022  Q: Apr. 2022
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=197.604/( ( (692.289 + max(110.797, 0)) + (659.881 + max(127.002, 0)) )/ 2 )
=197.604/( ( 803.086 + 786.883 )/ 2 )
=197.604/794.9845
=24.86 %

where Working Capital is:

Working Capital(Q: Jan. 2022 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(170.673 + 61.971 + 50.94) - (172.787 + 0 + 0)
=110.797

Working Capital(Q: Apr. 2022 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(190.259 + 57.94 + 52.864) - (174.061 + 0 + 0)
=127.002

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Apr. 2022) EBIT data.

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

Photronics's Operating Margin % for the quarter that ended in Apr. 2022 is calculated as:

Operating Margin %=Operating Income (Q: Apr. 2022 )/Revenue (Q: Apr. 2022 )
=49.401/204.509
=24.16 %

* 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.


Photronics Operating Income Related Terms

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


Photronics Business Description

Photronics logo
Traded in Other Exchanges
Address
15 Secor Road, Brookfield, CT, USA, 06804
Photronics is a U.S.-based company that is principally engaged in manufacturing photomasks. The photomasks are photographic quartz plates that contain microscopic images of electronic circuits that are used as a component in the manufacture of integrated circuits and flat-panel displays. The revenue from products designed for integrated circuits production accounts for the majority of total revenue, with the rest derived from products for flat-panel display production. The company's assets are located in Taiwan, Korea, and the United States. It generates revenue worldwide, including the United States, Europe, Taiwan, Korea, China, and elsewhere in Asia, with Asia contributing the majority of total revenue.
Executives
Lewis Adam M director 15 SECOR ROAD BROOKFIELD CT 06804
Liao Daniel Jl director 2045 EAST INNOVATION CIRCLE TEMPE AZ 85284
Paladino Mary director 15 SECOR ROAD BROOKFIELD CT 06804
Lee Kang Jyh officer: President, Asia IC Photomask 15 SECOR ROAD BROOKFIELD CT 06804
Jordan John P officer: SVP & Chief Financial Officer 600 EAST GREENWICH AVENUE WEST WARWICK RI 02893
Hsia Liang Choo director 15 SECOR RD. BROOKFIELD CT 06804
Gmt Capital Corp 10 percent owner GMT CAPITAL CORP 2300 WINDY RIDGE PARKWAY SUITE 550 SOUTH ATLANTA GA 30339
Burr Richelle E officer: VP, General Counsel & Secy 15 SECOR RD BROOKFIELD CT 06804
Kirlin Peter S officer: Senior VP, U.S. & Europe 15 SECOR ROAD BROOKFIELD CT 06804
Progler Christopher J officer: VP,Chief Technology Officer 15 SECOR ROAD BROOKFIELD CT 06804
Jeong Soo Hong officer: COO, President-Asia Operations 15 SECOR ROAD BROOKFIELD CT 06804
Luttati Michael J director, officer: Chief Executive Officer 15 SECOR ROAD BROOKFIELD CT 06804
Maris Willem D director 15 SECOR ROAD BROOKFIELD CT 06804
Tyson Mitchell G director 15 SECOR ROAD BROOKFIELD CT 06804
Yomazzo Michael J director 15 SECOR ROAD PO BOX 5226 BROOKFIELD CT 06804

Photronics Headlines

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