GURUFOCUS.COM » STOCK LIST » Consumer Defensive » Consumer Packaged Goods » Avenir Wellness Solutions Inc (OTCPK:AVRW) » Definitions » Operating Income

AVRW (Avenir Wellness Solutions) Operating Income : $-3.06 Mil (TTM As of Sep. 2024)


View and export this data going back to 2016. Start your Free Trial

What is Avenir Wellness Solutions Operating Income?

Avenir Wellness Solutions's Operating Income for the three months ended in Sep. 2024 was $-0.50 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Sep. 2024 was $-3.06 Mil.

Warning Sign:

Avenir Wellness Solutions Inc 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. Avenir Wellness Solutions's Operating Income for the three months ended in Sep. 2024 was $-0.50 Mil. Avenir Wellness Solutions's Revenue for the three months ended in Sep. 2024 was $0.19 Mil. Therefore, Avenir Wellness Solutions's Operating Margin % for the quarter that ended in Sep. 2024 was -261.98%.

Good Sign:

Avenir Wellness Solutions Inc operating margin is expanding. Margin expansion is usually a good sign.

Avenir Wellness Solutions's 5-Year average Growth Rate for Operating Margin % was 42.90% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Avenir Wellness Solutions's annualized ROC % for the quarter that ended in Sep. 2024 was -19.10%. Avenir Wellness Solutions's annualized ROC (Joel Greenblatt) % for the quarter that ended in Sep. 2024 was -2,747.37%.


Avenir Wellness Solutions Operating Income Historical Data

The historical data trend for Avenir Wellness Solutions'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.

Avenir Wellness Solutions Operating Income Chart

Avenir Wellness Solutions Annual Data
Trend Mar15 Mar16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Operating Income
Get a 7-Day Free Trial Premium Member Only -12.04 -13.18 -12.17 -8.39 -6.01

Avenir Wellness Solutions Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
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 -1.55 -0.97 -0.87 -0.72 -0.50

Avenir Wellness Solutions 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. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was $-3.06 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.


Avenir Wellness Solutions  (OTCPK:AVRW) Operating Income Explanation

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

Avenir Wellness Solutions's annualized ROC % for the quarter that ended in Sep. 2024 is calculated as:

ROC % (Q: Sep. 2024 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Jun. 2024 ) + Invested Capital (Q: Sep. 2024 ))/ count )
=-2.012 * ( 1 - 0% )/( (10.625 + 10.44)/ 2 )
=-2.012/10.5325
=-19.10 %

where

Note: The Operating Income data used here is four times the quarterly (Sep. 2024) data.

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

Avenir Wellness Solutions's annualized ROC (Joel Greenblatt) % for the quarter that ended in Sep. 2024 is calculated as:

ROC (Joel Greenblatt) %(Q: Sep. 2024 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Jun. 2024  Q: Sep. 2024
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=-2.088/( ( (0.149 + max(-3.843, 0)) + (0.003 + max(-4.208, 0)) )/ 2 )
=-2.088/( ( 0.149 + 0.003 )/ 2 )
=-2.088/0.076
=-2,747.37 %

where Working Capital is:

Working Capital(Q: Jun. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(0.049 + 0.151 + 0.101) - (3.055 + 0.408 + 0.681)
=-3.843

Working Capital(Q: Sep. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(0.033 + 0.142 + 0.052) - (3.366 + 0.396 + 0.673)
=-4.208

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Sep. 2024) EBIT data.

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

Avenir Wellness Solutions's Operating Margin % for the quarter that ended in Sep. 2024 is calculated as:

Operating Margin %=Operating Income (Q: Sep. 2024 )/Revenue (Q: Sep. 2024 )
=-0.503/0.192
=-261.98 %

* 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.


Avenir Wellness Solutions Operating Income Related Terms

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


Avenir Wellness Solutions Business Description

Traded in Other Exchanges
N/A
Address
5805 Sepulveda Boulevard, Suite 801, Sherman Oaks, CA, USA, 91411
Avenir Wellness Solutions Inc is a broad wellness platform technology company that develops proprietary wellness, nutraceutical, and topical delivery systems. The technology, which is based on approximately 15 patents, offers several immediate- and controlled-release delivery vehicles designed to improve product efficacy, safety, and consumer experience for a wide range of active ingredients. The company sells its product under the brand names Seratopical, Seratopical Revolution, SeraLabs, and Nutri-Strips.
Executives
Robert J Costantino director 5805 SEPULVEDA BLVD., SUITE 801, SHERMAN OAKS CA 91411
Joel M Bennett officer: CFO,CAO, Treasurer & Secretary 22619 PACIFIC COAST HIGHWAY, MALIBU CA 90265
Gerald Bagg director C/O CURE PHARMACEUTICAL HOLDING CORP., 5805 SEPULVEDA BLVD., SUITE 801, SHERMAN OAKS CA 91411
Nancy Duitch officer: Chief Strat Officer-Wellness 15950 ROYAL OAK RD, ENCINO CA 91436
Robert Steven Davidson director, officer: CEO & Director 5805 SEPULVEDA BLVD., SUITE 801, SHERMAN OAKS CA 91411
Jonathan Berlent officer: Chief Business Officer 1620 BEACON PLACE, OXNARD CA 93033
John K Bell director 38 FALLBROOK LANE RR 33, CAMBRIDGE A6 N3H 4R8
Anna Goldin director 1620 BEACON STREET, OXNARD CA 93033
Lauren Chung director 1620 BEACON STREET, OXNARD CA 93033
Michael Redard officer: Chief Financial Officer 1620 BEACON PLACE, OXNARD CA 93033
Joshua Held director 1620 BEACON PLACE, OXNARD CA 93033
Climate Change Investigation, Innovation & Investment Company, Llc 10 percent owner 12 SAN RAFAEL AVE, BELVEDERE CA 94920
Ruben Jr King-shaw director 1620 BEACON PLACE, OXNARD CA 93033
Gene Z Salkind director 5805 SEPULVEDA BLVD., SUITE 801, SHERMAN OAKS CA 91411
Alex Katz officer: CFO 1233 FAIRY HILL ROAD, RYDAL PA 19046

Avenir Wellness Solutions Headlines

From GuruFocus