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Del Taco Restaurants (Del Taco Restaurants) Operating Income : $24.4 Mil (TTM As of Dec. 2021)


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What is Del Taco Restaurants Operating Income?

Del Taco Restaurants's Operating Income for the three months ended in Dec. 2021 was $3.5 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2021 was $24.4 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Del Taco Restaurants's Operating Income for the three months ended in Dec. 2021 was $3.5 Mil. Del Taco Restaurants's Revenue for the three months ended in Dec. 2021 was $162.6 Mil. Therefore, Del Taco Restaurants's Operating Margin % for the quarter that ended in Dec. 2021 was 2.16%.

Warning Sign:

Del Taco Restaurants Inc operating margin has been in 5-year decline. The average rate of decline per year is -15.7%.

Del Taco Restaurants's 5-Year average Growth Rate for Operating Margin % was -15.70% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Del Taco Restaurants's annualized ROC % for the quarter that ended in Dec. 2021 was 1.31%. Del Taco Restaurants's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2021 was -8.95%.


Del Taco Restaurants Operating Income Historical Data

The historical data trend for Del Taco Restaurants'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.

Del Taco Restaurants Operating Income Chart

Del Taco Restaurants Annual Data
Trend Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21
Operating Income
Get a 7-Day Free Trial Premium Member Only 42.51 39.30 30.78 22.92 24.42

Del Taco Restaurants Quarterly Data
Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21
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 8.90 4.42 9.65 6.84 3.51

Del Taco Restaurants 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. 2021 adds up the quarterly data reported by the company within the most recent 12 months, which was $24.4 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.


Del Taco Restaurants  (NAS:TACO) Operating Income Explanation

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

Del Taco Restaurants's annualized ROC % for the quarter that ended in Dec. 2021 is calculated as:

ROC % (Q: Dec. 2021 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Sep. 2021 ) + Invested Capital (Q: Dec. 2021 ))/ count )
=14.032 * ( 1 - 28.34% )/( (767.505 + 763.107)/ 2 )
=10.0553312/765.306
=1.31 %

where

Note: The Operating Income data used here is four times the quarterly (Dec. 2021) data.

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

Del Taco Restaurants's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2021 is calculated as:

ROC (Joel Greenblatt) %(Q: Dec. 2021 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Sep. 2021  Q: Dec. 2021
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=-34.432/( ( (389.871 + max(-53.666, 0)) + (379.298 + max(-60.598, 0)) )/ 2 )
=-34.432/( ( 389.871 + 379.298 )/ 2 )
=-34.432/384.5845
=-8.95 %

where Working Capital is:

Working Capital(Q: Sep. 2021 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(5.292 + 2.952 + 5.659) - (43.73 + 4.6 + 19.239)
=-53.666

Working Capital(Q: Dec. 2021 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(4.43 + 3.091 + 2.965) - (44.597 + 5.039 + 21.448)
=-60.598

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Dec. 2021) EBIT data.

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

Del Taco Restaurants's Operating Margin % for the quarter that ended in Dec. 2021 is calculated as:

Operating Margin %=Operating Income (Q: Dec. 2021 )/Revenue (Q: Dec. 2021 )
=3.508/162.582
=2.16 %

* 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.


Del Taco Restaurants Operating Income Related Terms

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Del Taco Restaurants (Del Taco Restaurants) Business Description

Traded in Other Exchanges
N/A
Address
25521 Commercentre Drive, Lake Forest, CA, USA, 92630
Del Taco Restaurants Inc is a restaurant operator company. It is a franchisor of restaurants featuring fresh and fast made-to-order cuisine, including both Mexican inspired and American classic dishes. The company holds approximately 564 Del Taco restaurants, a majority of these in the Pacific Southwest.
Executives
Ari B. Levy director 1717 NORTH HERMITAGE AVENUE, CHICAGO IL 60622
Lawrence F Levy director 444 NORTH MICHIGAN AVENUE SUITE 3500 CHICAGO IL 60611
Chad Gretzema officer: Chief Operating Officer 25521 COMMERCENTRE DRIVE, SUITE 200, LAKE FOREST CA 92630
Cappasola John D. Jr. director, officer: President & CEO C/O DEL TACO RESTAURANTS, INC. 25521 COMMERCENTRE DRIVE LAKE FOREST CA 92630
Steven L. Brake officer: EVP & Chief Financial Officer C/O DEL TACO RESTAURANTS, INC. 25521 COMMERCENTRE DRIVE LAKE FOREST CA 92630
R. J. Melman director C/O DEL TACO RESTAURANTS, INC. 25521 COMMERCENTRE DRIVE LAKE FOREST CA 92630
Joseph Stein director 30025 ALICIA PARKWAY #224 LIGUNA NIGUEL CA 92677
Eileen A. Aptman director 757 5TH AVENUE - 46TH FLOOR NEW YORK NY 10153
David Pear officer: SVP of Operations C/O DEL TACO RESTAURANTS, INC. 25521 COMMERCENTRE DRIVE LAKE FOREST CA 92630
Patrick Walsh director 141 W. JACKSON BLVD., STE. 1702, CHICAGO IL 60604
Murphy Paul J B Iii director, officer: Chief Executive Officer
Pw Partners Atlas Funds, Llc director 141 W. JACKSON BLVD., SUITE 1702, CHICAGO IL 60604
Pw Acquisitions Lp director 141 W. JACKSON BLVD., SUITE 300 CHICAGO IL 60604
Pw Partners Capital Management Llc director 141 W. JACKSON BLVD., SUITE 1702, CHICAGO IL 60604
Levy Family Partners, Llc 10 percent owner 444 NORTH MICHIGAN AVENUE SUITE 3500 CHICAGO IL 60611

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