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Shiv Texchem (BOM:544272) Operating Income : ₹178 Mil (TTM As of Jun. 2024)


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What is Shiv Texchem Operating Income?

Shiv Texchem's Operating Income for the three months ended in Jun. 2024 was ₹178 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Jun. 2024 was ₹178 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Shiv Texchem's Operating Income for the three months ended in Jun. 2024 was ₹178 Mil. Shiv Texchem's Revenue for the three months ended in Jun. 2024 was ₹5,660 Mil. Therefore, Shiv Texchem's Operating Margin % for the quarter that ended in Jun. 2024 was 3.14%.

Shiv Texchem'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. Shiv Texchem's annualized ROC % for the quarter that ended in Jun. 2024 was 10.63%. Shiv Texchem's annualized ROC (Joel Greenblatt) % for the quarter that ended in Jun. 2024 was 15.67%.


Shiv Texchem Operating Income Historical Data

The historical data trend for Shiv Texchem'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.

Shiv Texchem Operating Income Chart

Shiv Texchem Annual Data
Trend Mar22 Mar23 Mar24
Operating Income
158.35 358.19 579.42

Shiv Texchem Quarterly Data
Mar22 Mar23 Mar24 Jun24
Operating Income - - - 177.76

Shiv Texchem 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 Jun. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was ₹178 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.


Shiv Texchem  (BOM:544272) Operating Income Explanation

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

Shiv Texchem's annualized ROC % for the quarter that ended in Jun. 2024 is calculated as:

ROC % (Q: Jun. 2024 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Mar. 2024 ) + Invested Capital (Q: Jun. 2024 ))/ count )
=711.04 * ( 1 - 25.9% )/( (4990.85 + 4922.37)/ 2 )
=526.88064/4956.61
=10.63 %

where

Invested Capital(Q: Mar. 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))
=7986.805 - 2995.88 - ( 0.075 - max(0, 5389.205 - 7969.293+0.075))
=4990.85

Invested Capital(Q: Jun. 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))
=8548.343 - 3625.942 - ( 0.031 - max(0, 5893.206 - 8526.481+0.031))
=4922.37

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

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

Shiv Texchem's annualized ROC (Joel Greenblatt) % for the quarter that ended in Jun. 2024 is calculated as:

ROC (Joel Greenblatt) %(Q: Jun. 2024 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Mar. 2024  Q: Jun. 2024
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=752.172/( ( (8.797 + max(4869.684, 0)) + (10.339 + max(4709.013, 0)) )/ 2 )
=752.172/( ( 4878.481 + 4719.352 )/ 2 )
=752.172/4798.9165
=15.67 %

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)
=(1823.02 + 3965.548 + 2172.006) - (2995.88 + 0 + 95.01)
=4869.684

Working Capital(Q: Jun. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(2141.854 + 4055.48 + 2321.425) - (3625.942 + 0 + 183.804)
=4709.013

When net working capital is negative, 0 is used.

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

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

Shiv Texchem's Operating Margin % for the quarter that ended in Jun. 2024 is calculated as:

Operating Margin %=Operating Income (Q: Jun. 2024 )/Revenue (Q: Jun. 2024 )
=177.76/5660.499
=3.14 %

* 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.


Shiv Texchem Operating Income Related Terms

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Shiv Texchem Business Description

Comparable Companies
Traded in Other Exchanges
N/A
Address
Hasmukh Nagar, 602, 6th Floor, Savoy Chamber, Santacruz West, Mumbai, MH, IND, 400 054
Shiv Texchem Ltd is engaged in importing and distributing hydrocarbon-based chemicals of the product family viz. Acetyls, Alcohol, Aromatics, Nitriles, Monomers, Glycols Phenolic, Ketones, and Isocyanates, which are critical raw materials and inputs and have applications across a wide spectrum of industries like paints and coatings, printing inks, agro-chemical products, specialty polymers, pharmaceuticals products, and specialty industrial chemicals.

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