GURUFOCUS.COM » STOCK LIST » Basic Materials » Chemicals » Sanstar Ltd (BOM:544217) » Definitions » Operating Income

Sanstar (BOM:544217) Operating Income : ₹791 Mil (TTM As of Sep. 2024)


View and export this data going back to 2024. Start your Free Trial

What is Sanstar Operating Income?

Sanstar's Operating Income for the six months ended in Sep. 2024 was ₹332 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Sep. 2024 was ₹791 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Sanstar's Operating Income for the six months ended in Sep. 2024 was ₹332 Mil. Sanstar's Revenue for the six months ended in Sep. 2024 was ₹4,871 Mil. Therefore, Sanstar's Operating Margin % for the quarter that ended in Sep. 2024 was 6.81%.

Sanstar'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. Sanstar's annualized ROC % for the quarter that ended in Sep. 2024 was 11.22%. Sanstar's annualized ROC (Joel Greenblatt) % for the quarter that ended in Sep. 2024 was 16.88%.


Sanstar Operating Income Historical Data

The historical data trend for Sanstar'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.

Sanstar Operating Income Chart

Sanstar Annual Data
Trend Mar21 Mar22 Mar23 Mar24
Operating Income
281.26 307.01 605.94 860.50

Sanstar Semi-Annual Data
Mar21 Mar22 Mar23 Sep23 Mar24 Sep24
Operating Income Get a 7-Day Free Trial - - 401.60 458.90 331.76

Sanstar 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 semi-annually data reported by the company within the most recent 12 months, which was ₹791 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.


Sanstar  (BOM:544217) Operating Income Explanation

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

Sanstar'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: Mar. 2024 ) + Invested Capital (Q: Sep. 2024 ))/ count )
=663.512 * ( 1 - 23.94% )/( (4206.55 + 4788.362)/ 2 )
=504.6672272/4497.456
=11.22 %

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))
=8150.699 - 273.945 - ( 3088.392 - max(0, 846.518 - 5753.816+3088.392))
=4788.362

Note: The Operating Income data used here is two times the semi-annual (Sep. 2024) data.

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

Sanstar'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: Mar. 2024  Q: Sep. 2024
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=737.574/( ( (2225.96 + max(1881.7, 0)) + (2382.953 + max(2248.902, 0)) )/ 2 )
=737.574/( ( 4107.66 + 4631.855 )/ 2 )
=737.574/4369.7575
=16.88 %

where Working Capital is:

Working Capital(Q: Mar. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(1175.13 + 1140.26 + 710.56) - (1063.61 + 0 + 80.64)
=1881.7

Working Capital(Q: Sep. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(919.573 + 565.481 + 1180.37) - (273.945 + 0 + 142.577)
=2248.902

When net working capital is negative, 0 is used.

Note: The EBIT data used here is two times the semi-annual (Sep. 2024) EBIT data.

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

Sanstar'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 )
=331.756/4870.785
=6.81 %

* 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.


Sanstar Operating Income Related Terms

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


Sanstar Business Description

Comparable Companies
Traded in Other Exchanges
Address
Mahalaxmi Char Rasta, Near Parimal Under Bridge, Sanstar House, Opposite Suvidha Shopping Centre, Paldi, Ahmedabad, GJ, IND, 380007
Sanstar Ltd is a manufacturer of plant-based products and ingredient solutions in India for food, animal nutrition, and other industrial applications. Its products include liquid glucose, dried glucose solids, maltodextrin powder, dextrose monohydrate, native maize starches, modified maize starches, and co-products like germs, gluten, fiber, and enriched protein, amongst others. The company operates in one business segment i.e. Corn Wet Milling comprising mainly the manufacture of starches, its derivatives, and by-product. Key revenue is generated from India.

Sanstar Headlines

No Headlines