Sigma Healthcare (ASX:SIG) Operating Income: A$263 Mil (TTM As of Dec. 2025)

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ASX:SIG Sigma Healthcare Ltd ASX:SIG
58 GF Score
Price A$2.92
GF Value A$0.37
Valuation Significantly Overvalued
! 8 Warning Signs
View Full Analysis

What is Sigma Healthcare Operating Income?

Sigma Healthcare ASX:SIG 58 Operating Income is A$263 Mil as of Dec. 2025. GuruFocus rates ASX:SIG with a GF Score™ of 58/100 and a GF Value™ of A$0.37 (Significantly Overvalued). The stock has 8 warning signs investors should review.

Sigma Healthcare's Operating Income for the six months ended in Dec. 2025 was A$281 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2025 was A$263 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Sigma Healthcare's Operating Income for the six months ended in Dec. 2025 was A$281 Mil. Sigma Healthcare's Revenue for the six months ended in Dec. 2025 was A$5,294 Mil. Therefore, Sigma Healthcare's Operating Margin % for the quarter that ended in Dec. 2025 was 5.31%.

Warning Sign:

Sigma Healthcare Ltd operating margin has been in a 5-year decline. The average rate of decline per year is -4.4%.

Sigma Healthcare's 5-Year average Growth Rate for Operating Margin % was -4.40% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Sigma Healthcare's annualized ROC % for the quarter that ended in Dec. 2025 was 12.75%. Sigma Healthcare's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2025 was 85.30%.


Sigma Healthcare  (ASX:SIG) Operating Income Explanation

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

Sigma Healthcare's annualized ROC % for the quarter that ended in Dec. 2025 is calculated as:

ROC % (Q: Dec. 2025 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Jan. 2025 ) + Invested Capital (Q: Dec. 2025 ))/ count )
=562.084 * ( 1 - 29.41% )/( (-855.856 + 7080.355)/ 2 )
=396.7750956/3112.2495
=12.75 %

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))
=8737.332 - 1493.843 - ( 163.134 - max(0, 1994.678 - 3324.844+163.134))
=7080.355

Note: The Operating Income data used here is two times the semi-annual (Dec. 2025) data.

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

Sigma Healthcare's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2025 is calculated as:

ROC (Joel Greenblatt) %(Q: Dec. 2025 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Jan. 2025  Q: Dec. 2025
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=1129.288/( ( (256.145 + max(460.303, 0)) + (563.525 + max(1367.772, 0)) )/ 2 )
=1129.288/( ( 716.448 + 1931.297 )/ 2 )
=1129.288/1323.8725
=85.30 %

where Working Capital is:

Working Capital(Q: Jan. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(929.193 + 383.437 + 0) - (841.282 + 1.169 + 9.876)
=460.303

Working Capital(Q: Dec. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(1991.868 + 1114.277 + 55.565) - (1493.843 + 228.49 + 71.605)
=1367.772

When net working capital is negative, 0 is used.

Note: The EBIT data used here is two times the semi-annual (Dec. 2025) EBIT data.

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

Sigma Healthcare's Operating Margin % for the quarter that ended in Dec. 2025 is calculated as:

Operating Margin %=Operating Income (Q: Dec. 2025 )/Revenue (Q: Dec. 2025 )
=281.042/5294.32
=5.31 %

* 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.


Sigma Healthcare Operating Income Related Terms


Sigma Healthcare Operating Income Historical Data

* Premium members only.

The historical data trend for Sigma Healthcare'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.

Sigma Healthcare Operating Income Chart

Sigma Healthcare Annual Data
Trend Jan16 Jan17 Jan18 Jan19 Jan20 Jan21 Jan22 Jan23 Jan24 Jan25
Operating Income
Get a 7-Day Free Trial Premium Member Only Premium Member Only -8.57 -40.78 -75.41 -18.24 -51.69

Sigma Healthcare Semi-Annual Data
Jan16 Jul16 Jan17 Jul17 Jan18 Jul18 Jan19 Jul19 Jan20 Jul20 Jan21 Jul21 Jan22 Jul22 Jan23 Jul23 Jan24 Jul24 Jan25 Dec25
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 -31.10 12.86 -33.38 -18.31 281.04
ASX:SIG
58GF Score
Sigma Healthcare Ltd ASX:SIG
Operating Income is just one metric. See GF Score™, valuation, warning signs, and more.
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Sigma Healthcare 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. 2025 adds up the semi-annually data reported by the company within the most recent 12 months, which was A$263 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 A$263 Mil mean?
Sigma Healthcare (ASX:SIG) has a Operating Income of A$263 Mil as of Dec. 2025. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on Sigma Healthcare and its competitors.
Is Sigma Healthcare's Operating Income too high?
Sigma Healthcare's current Operating Income is A$263 Mil. Overall, Sigma Healthcare has a GF Score™ of 58/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Sigma Healthcare's Operating Income compare to MCK and CAH?
Sigma Healthcare's Operating Income of A$263 Mil can be compared against companies in the Medical Distribution 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 Medical Distribution company?
A good Operating Income depends on the Medical Distribution 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 Sigma Healthcare and its competitors. Sigma Healthcare's current Operating Income is A$263 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sigma Healthcare stock overvalued right now?
Based on GuruFocus' analysis, Sigma Healthcare (ASX:SIG) is currently considered Significantly Overvalued. The stock's GF Value™ is A$0.37, compared to a current price of A$2.92 — trading 689.2% above its estimated fair value. The current Operating Income is A$263 Mil. Sigma Healthcare's overall GF Score™ is 58/100 with 8 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 Sigma Healthcare (ASX:SIG), the current Operating Income is A$263 Mil as of Dec. 2025. 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.

Is Sigma Healthcare (ASX:SIG) Overvalued in 2026?

Based on GuruFocus' analysis, Sigma Healthcare stock appears to be overvalued. The current stock price of A$2.92 is trading 689.2% above its estimated GF Value™ of A$0.37. GuruFocus considers Sigma Healthcare to be Significantly Overvalued.

Key valuation signals for ASX:SIG:

  • Operating Income: A$263 Mil
  • GF Value™: A$0.37 vs. price of A$2.92 (689.2% above fair value)
  • GF Score™: 58/100 with 8 warning signs

No single metric tells the full story. See the ASX:SIG stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Sigma Healthcare Business Description

Other Exchanges SIGGF:USA
Address 6 Albert Street, Preston, VIC, AUS, 3072
Sigma Healthcare is Australia's largest retail pharmacy franchisor, most notably owning the Chemist Warehouse brand, which it merged with in 2025. Sigma is also Australia's largest full-line wholesaler to franchised and independent pharmacies and distributes a broad range of pharmacy products, including prescription medicines, over-the-counter products, and front of store, or FOS, products, at low prices. The group also operates in New Zealand, Ireland, China, and Dubai, has a growing private label range, and offers third-party logistics services.
58GF Score

Get the complete analysis for ASX:SIG

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

A$2.92
Price
A$0.37
GF Value