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Pondy Oxides And Chemicals (BOM:532626) Operating Income : ₹807 Mil (TTM As of Sep. 2024)


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What is Pondy Oxides And Chemicals Operating Income?

Pondy Oxides And Chemicals's Operating Income for the three months ended in Sep. 2024 was ₹247 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Sep. 2024 was ₹807 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Pondy Oxides And Chemicals's Operating Income for the three months ended in Sep. 2024 was ₹247 Mil. Pondy Oxides And Chemicals's Revenue for the three months ended in Sep. 2024 was ₹5,791 Mil. Therefore, Pondy Oxides And Chemicals's Operating Margin % for the quarter that ended in Sep. 2024 was 4.27%.

Good Sign:

Pondy Oxides And Chemicals Ltd operating margin is expanding. Margin expansion is usually a good sign.

Pondy Oxides And Chemicals's 5-Year average Growth Rate for Operating Margin % was 1.80% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Pondy Oxides And Chemicals's annualized ROC % for the quarter that ended in Sep. 2024 was 12.89%. Pondy Oxides And Chemicals's annualized ROC (Joel Greenblatt) % for the quarter that ended in Sep. 2024 was 19.99%.


Pondy Oxides And Chemicals Operating Income Historical Data

The historical data trend for Pondy Oxides And Chemicals'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.

Pondy Oxides And Chemicals Operating Income Chart

Pondy Oxides And Chemicals Annual Data
Trend Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
Operating Income
Get a 7-Day Free Trial Premium Member Only Premium Member Only 318.61 174.79 716.68 678.10 578.87

Pondy Oxides And Chemicals 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 124.35 211.88 153.86 194.12 247.36

Pondy Oxides And Chemicals 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 ₹807 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.


Pondy Oxides And Chemicals  (BOM:532626) Operating Income Explanation

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

Pondy Oxides And Chemicals'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 )
=989.428 * ( 1 - 28.49% )/( (0 + 5488.375)/ 1 )
=707.5399628/5488.375
=12.89 %

where

Invested Capital(Q: Sep. 2024 )
=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))
=5708.877 - 134.709 - ( 85.793 - max(0, 1728.392 - 3392.675+85.793))
=5488.375

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

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

Pondy Oxides And Chemicals'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 )
=1017.116/( ( (0 + max(0, 0)) + (2070.093 + max(3018.472, 0)) )/ 1 )
=1017.116/( ( 0 + 5088.565 )/ 1 )
=1017.116/5088.565
=19.99 %

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 + 0 + 0) - (0 + 0 + 0)
=0

Working Capital(Q: Sep. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(1365.02 + 1423.702 + 518.16) - (134.709 + 0 + 153.701)
=3018.472

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 %:

Pondy Oxides And Chemicals'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 )
=247.357/5791.086
=4.27 %

* 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.


Pondy Oxides And Chemicals Operating Income Related Terms

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Pondy Oxides And Chemicals Business Description

Traded in Other Exchanges
Address
No. 2, Harrington Road, KRM Centre, 4th Floor, Chetpet, Chennai, TN, IND, 600031
Pondy Oxides And Chemicals Ltd is a lead smelter in India. It is engaged in the production of lead, lead alloys, and other non-ferrous metals. The company mainly serves battery manufacturers, chemical manufacturers, and PVC extruded manufacturers. Its products comprise lead alloys, Master alloys, Tin alloys, and Babbit alloys. The firm also exports its products to numerous international customers. The company also manufactures Zinc metal and Zinc Oxide.

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