GURUFOCUS.COM » STOCK LIST » USA » NYSE » General Mills Inc (NYSE:GIS) » Definitions » Operating Income
Switch to:

General Mills Operating Income

: $3,255 Mil (TTM As of May. 2022)
View and export this data going back to 1952. Start your Free Trial

General Mills's Operating Income for the three months ended in May. 2022 was $961 Mil. Its Operating Income for the trailing twelve months (TTM) ended in May. 2022 was $3,255 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. General Mills's Operating Income for the three months ended in May. 2022 was $961 Mil. General Mills's Revenue for the three months ended in May. 2022 was $4,891 Mil. Therefore, General Mills's Operating Margin % for the quarter that ended in May. 2022 was 19.64%.

Good Sign:

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

General Mills's 5-Year average Growth Rate for Operating Margin % was 1.10% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. General Mills's annualized ROC % for the quarter that ended in May. 2022 was 11.26%. General Mills's annualized ROC (Joel Greenblatt) % for the quarter that ended in May. 2022 was 147.99%.


General Mills Operating Income Historical Data

The historical data trend for General Mills'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.

General Mills Annual Data
Trend May13 May14 May15 May16 May17 May18 May19 May20 May21 May22
Operating Income
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 2,585.50 2,821.00 2,978.30 3,368.70 3,255.20

General Mills Quarterly Data
Aug17 Nov17 Feb18 May18 Aug18 Nov18 Feb19 May19 Aug19 Nov19 Feb20 May20 Aug20 Nov20 Feb21 May21 Aug21 Nov21 Feb22 May22
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 759.90 840.00 802.40 652.30 960.50

General Mills 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 May. 2022 adds up the quarterly data reported by the company within the most recent 12 months, which was $3,255 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.


General Mills  (NYSE:GIS) Operating Income Explanation

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

General Mills's annualized ROC % for the quarter that ended in May. 2022 is calculated as:

ROC % (Q: May. 2022 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Feb. 2022 ) + Invested Capital (Q: May. 2022 ))/ count )
=3842 * ( 1 - 14.3% )/( (29479.6 + 28981.2)/ 2 )
=3292.594/29230.4
=11.26 %

where

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

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

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

ROC (Joel Greenblatt) %(Q: May. 2022 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Feb. 2022  Q: May. 2022
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=5193.2/( ( (3287.9 + max(-1329.8, 0)) + (3730.6 + max(-1425.9, 0)) )/ 2 )
=5193.2/( ( 3287.9 + 3730.6 )/ 2 )
=5193.2/3509.25
=147.99 %

where Working Capital is:

Working Capital(Q: Feb. 2022 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(1750.4 + 1710 + 723.8) - (3474.6 + 0 + 2039.4)
=-1329.8

Working Capital(Q: May. 2022 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(1692.1 + 1867.3 + 442.3) - (5039 + 0 + 388.6)
=-1425.9

When net working capital is negative, 0 is used.

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

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

General Mills's Operating Margin % for the quarter that ended in May. 2022 is calculated as:

Operating Margin %=Operating Income (Q: May. 2022 )/Revenue (Q: May. 2022 )
=960.5/4891.2
=19.64 %

* 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.


General Mills Operating Income Related Terms

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


General Mills Business Description

General Mills logo
Address
Number One General Mills Boulevard, Minneapolis, MN, USA, 55426
General Mills is a leading global packaged food company that produces snacks, cereal, convenient meals, yogurt, dough, baking mixes and ingredients, pet food, and superpremium ice cream. Its largest brands are Nature Valley, Cheerios, Old El Paso, Yoplait, Pillsbury, Betty Crocker, BLUE, and Haagen-Dazs. In fiscal 2021, 75% of its revenue was derived from the United States, although the company also operates in Canada, Europe, Australia, Asia, and Latin America. While most of General Mills' products are sold through retail stores to consumers, the company also sells products into the food-service channel and the commercial baking industry.
Executives
Thissen Karen Wilson officer: General Counsel & Secretary 1098 AMERIPRISE FINANCIAL CENTER MINNEAPOLIS MN 55474
Gallagher Paul Joseph officer: Chief Supply Chain Officer 1 GENERAL MILLS BLVD MINNEAPOLIS MN 55426
Montemayor Jaime officer: Chief Technology Officer NUMBER ONE GENERAL MILLS BLVD MINNEAPOLIS MN 55426
Pallot Mark A officer: Chief Accounting Officer NUMBER ONE GENERAL MILLS BLVD MINNEAPOLIS MN 55426
Jenkins Jo Ann director 2211 SOUTH 47TH STREET PHOENIX AZ 85034
Mcnabb Dana M officer: Group President NUMBER ONE GENERAL MILLS BLVD MINNEAPOLIS MN 55426
Lempres Elizabeth Cahill director TWO COMMERCE SQUARE 2001 MARKET STREET, SUITE 3600 PHILADELPHIA PA 19103
Walker Sean N officer: Group President NUMBER ONE GENERAL MILLS BLVD MINNEAPOLIS MN 55426
Neal Diane L director
Benson Jodi J officer: Chief Innovation Officer GENERAL MILLS, INC. ONE GENERAL MILLS BLVD MINNEAPOLIS MN 55426
Sastre Maria director C/O DARDEN RESTAURANTS, INC. 1000 DARDEN CENTER DRIVE ORLANDO FL 32837
Bishop William W Jr officer: Group President C/O BLUE BUFFALO PET PRODUCTS, INC. 11 RIVER ROAD WILTON CT 06897
Bruce Kofi A officer: Vice President GENERAL MILLS, INC. ONE GENERAL MILLS BLVD. MINNEAPOLIS MN 55426
Pollard Ivan officer: Senior Vice President GENERAL MILLS, INC. ONE GENERAL MILLS BLVD. MINNEAPOLIS MN 55426
Law Christina officer: Group President GENERAL MILLS, INC. ONE GENERAL MILLS BLVD. MINNEAPOLIS MN 55426

General Mills Headlines

Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)