ALAB (Astera Labs) Operating Income: $224 Mil (TTM As of Mar. 2026)


ALAB Astera Labs Inc ALAB
15 GF Score
Price $406.42
! 6 Warning Signs
View Full Analysis

What is Astera Labs Operating Income?

Astera Labs ALAB -5.67% 15 Operating Income is $224 Mil as of Mar. 2026. GuruFocus rates ALAB with a GF Score™ of 15/100. The stock has 6 warning signs investors should review.

Astera Labs's Operating Income for the three months ended in Mar. 2026 was $62 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was $224 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Astera Labs's Operating Income for the three months ended in Mar. 2026 was $62 Mil. Astera Labs's Revenue for the three months ended in Mar. 2026 was $308 Mil. Therefore, Astera Labs's Operating Margin % for the quarter that ended in Mar. 2026 was 20.05%.

Astera Labs'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. Astera Labs's annualized ROC % for the quarter that ended in Mar. 2026 was 70.39%. Astera Labs's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 146.81%.

Astera Labs  (NAS:ALAB) Operating Income Explanation

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

Astera Labs's annualized ROC % for the quarter that ended in Mar. 2026 is calculated as:

ROC % (Q: Mar. 2026 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Dec. 2025 ) + Invested Capital (Q: Mar. 2026 ))/ count )
=247.332 * ( 1 - 0% )/( (293.013 + 409.719)/ 2 )
=247.332/351.366
=70.39 %

where

Invested Capital(Q: Dec. 2025 )
=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))
=1531.823 - 49.994 - ( 1188.816 - max(0, 133.042 - 1362.03+1188.816))
=293.013

Invested Capital(Q: Mar. 2026 )
=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))
=1659.215 - 65.022 - ( 1184.474 - max(0, 125.044 - 1412.936+1184.474))
=409.719

Note: The Operating Income data used here is four times the quarterly (Mar. 2026) data.

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

Astera Labs's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 is calculated as:

ROC (Joel Greenblatt) %(Q: Mar. 2026 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Dec. 2025  Q: Mar. 2026
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=247.332/( ( (92.038 + max(44.318, 0)) + (97.172 + max(103.418, 0)) )/ 2 )
=247.332/( ( 136.356 + 200.59 )/ 2 )
=247.332/168.473
=146.81 %

where Working Capital is:

Working Capital(Q: Dec. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(83.202 + 58.979 + 31.033) - (49.994 + 0 + 78.902)
=44.318

Working Capital(Q: Mar. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(134.797 + 60.156 + 33.509) - (65.022 + 0 + 60.022)
=103.418

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Mar. 2026) EBIT data.

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

Astera Labs's Operating Margin % for the quarter that ended in Mar. 2026 is calculated as:

Operating Margin %=Operating Income (Q: Mar. 2026 )/Revenue (Q: Mar. 2026 )
=61.833/308.361
=20.05 %

* 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.

Astera Labs Operating Income Related Terms

Astera Labs Operating Income Historical Data

* Premium members only.

The historical data trend for Astera Labs'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.

Astera Labs Operating Income Chart

Astera Labs Annual Data
Trend Dec22 Dec23 Dec24 Dec25
Operating Income
-60.19 -29.50 -116.07 173.42

Astera Labs Quarterly Data
Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
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 11.29 39.77 55.41 66.96 61.83
ALAB
15GF Score
Astera Labs Inc ALAB
Operating Income is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Astera Labs 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 Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $224 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.

Frequently Asked Questions Learn more about Operating Income →
What does a Operating Income of $224 Mil mean?
Astera Labs (ALAB) has a Operating Income of $224 Mil as of Mar. 2026. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on Astera Labs and its competitors.
Is Astera Labs' Operating Income too high?
Astera Labs' current Operating Income is $224 Mil. Overall, Astera Labs has a GF Score™ of 15/100, reflecting its overall financial health beyond just this single metric.
How does Astera Labs' Operating Income compare to MPWR and NXPI?
Astera Labs' Operating Income of $224 Mil can be compared against companies in the Semiconductors industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Operating Income for a Semiconductors company?
A good Operating Income depends on the Semiconductors industry context. However, Operating Income should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Operating Income mean?
A high Operating Income can signal that a stock is expensive relative to its fundamentals. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on Astera Labs and its competitors. Astera Labs's current Operating Income is $224 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Astera Labs stock overvalued right now?
Astera Labs (ALAB) has a current Operating Income of $224 Mil. The current Operating Income is $224 Mil. Astera Labs' overall GF Score™ is 15/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Operating Income calculated?
Operating Income is calculated from a company's financial statements. For Astera Labs (ALAB), the current Operating Income is $224 Mil as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Astera Labs Business Description

Address 2345 North First Street, Suite 205, San Jose, CA, USA, 95131
Astera Labs Inc designs and delivers semiconductor-based connectivity solutions for cloud and AI infrastructure. Its Intelligent Connectivity Platform integrates semiconductor technology, microcontrollers, sensors, and software to enhance performance, scalability, and data management. The company offers products such as integrated circuits (ICs), boards, and modules, catering to hyperscalers and system OEMs. The company's solutions focus on data, network, and memory management in AI-driven platforms. Geographically, the company operates in Singapore, China, Taiwan, and United States, of which maximum revenue is derived from United States.
15GF Score

Get the complete analysis for ALAB

Operating Income is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$406.42
Price