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Prosus NV (Prosus NV) Operating Income : $-576 Mil (TTM As of Sep. 2023)


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What is Prosus NV Operating Income?

Prosus NV's Operating Income for the six months ended in Sep. 2023 was $-68 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Sep. 2023 was $-576 Mil.

Warning Sign:

Prosus NV 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. Prosus NV's Operating Income for the six months ended in Sep. 2023 was $-68 Mil. Prosus NV's Revenue for the six months ended in Sep. 2023 was $2,556 Mil. Therefore, Prosus NV's Operating Margin % for the quarter that ended in Sep. 2023 was -2.66%.

Good Sign:

Prosus NV operating margin is expanding. Margin expansion is usually a good sign.

Prosus NV's 5-Year average Growth Rate for Operating Margin % was 11.90% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Prosus NV's annualized ROC % for the quarter that ended in Sep. 2023 was -0.31%. Prosus NV's annualized ROC (Joel Greenblatt) % for the quarter that ended in Sep. 2023 was 1,325.94%.


Prosus NV Operating Income Historical Data

The historical data trend for Prosus NV'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.

Prosus NV Operating Income Chart

Prosus NV Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23
Operating Income
Get a 7-Day Free Trial -382.00 -609.00 -953.00 -781.00 -591.00

Prosus NV Semi-Annual Data
Mar17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23
Operating Income Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -481.00 -300.00 -83.00 -508.00 -68.00

Prosus NV 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 Sep. 2023 adds up the semi-annually data reported by the company within the most recent 12 months, which was $-576 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.


Prosus NV  (OTCPK:PROSF) Operating Income Explanation

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

Prosus NV's annualized ROC % for the quarter that ended in Sep. 2023 is calculated as:

ROC % (Q: Sep. 2023 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Mar. 2023 ) + Invested Capital (Q: Sep. 2023 ))/ count )
=-136 * ( 1 - 2.15% )/( (44614 + 41463)/ 2 )
=-133.076/43038.5
=-0.31 %

where

Note: The Operating Income data used here is two times the semi-annual (Sep. 2023) data.

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

Prosus NV's annualized ROC (Joel Greenblatt) % for the quarter that ended in Sep. 2023 is calculated as:

ROC (Joel Greenblatt) %(Q: Sep. 2023 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Mar. 2023  Q: Sep. 2023
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=7896/( ( (620 + max(-2400, 0)) + (571 + max(-2283, 0)) )/ 2 )
=7896/( ( 620 + 571 )/ 2 )
=7896/595.5
=1,325.94 %

where Working Capital is:

Working Capital(Q: Mar. 2023 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(526 + 324 + 654) - (1498 + 0 + 2406)
=-2400

Working Capital(Q: Sep. 2023 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(475 + 269 + 912) - (511 + 0 + 3428)
=-2283

When net working capital is negative, 0 is used.

Note: The EBIT data used here is two times the semi-annual (Sep. 2023) EBIT data.

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

Prosus NV's Operating Margin % for the quarter that ended in Sep. 2023 is calculated as:

Operating Margin %=Operating Income (Q: Sep. 2023 )/Revenue (Q: Sep. 2023 )
=-68/2556
=-2.66 %

* 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.


Prosus NV Operating Income Related Terms

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Prosus NV (Prosus NV) Business Description

Address
Gustav Mahlerplein 5, Symphony Offices, Amsterdam, NH, NLD, 1082 MS
Prosus NV is a consumer internet group operating across a variety of platforms and geographies. The group's businesses operate in China, India, Russia, Central and Eastern Europe, North America, Latin America, Southeast Asia, the Middle East, and Africa. The group's businesses and investments are organized around the following segments: Ecommerce, which comprises its interests in Classifieds, Payments, and Fintech, Food Delivery, Etail, Travel, and other Ecommerce, Social and Internet Platforms, which comprises its interests in Tencent and Mail.ru Group and Corporate which relates to group-level corporate services and treasury function.