GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Travel & Leisure » Rank Group (The) PLC (CHIX:RNKl) » Definitions » Operating Income

Rank Group (The) (CHIX:RNKL) Operating Income : £-110.4 Mil (TTM As of Jun. 2023)


View and export this data going back to 2008. Start your Free Trial

What is Rank Group (The) Operating Income?

Rank Group (The)'s Operating Income for the six months ended in Jun. 2023 was £-13.8 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Jun. 2023 was £-110.4 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Rank Group (The)'s Operating Income for the six months ended in Jun. 2023 was £-13.8 Mil. Rank Group (The)'s Revenue for the six months ended in Jun. 2023 was £343.0 Mil. Therefore, Rank Group (The)'s Operating Margin % for the quarter that ended in Jun. 2023 was -4.02%.

Rank Group (The)'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. Rank Group (The)'s annualized ROC % for the quarter that ended in Jun. 2023 was 1.14%. Rank Group (The)'s annualized ROC (Joel Greenblatt) % for the quarter that ended in Jun. 2023 was -11.82%.


Rank Group (The) Operating Income Historical Data

The historical data trend for Rank Group (The)'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.

Rank Group (The) Operating Income Chart

Rank Group (The) Annual Data
Trend Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24
Operating Income
Get a 7-Day Free Trial Premium Member Only Premium Member Only 30.50 -148.90 80.80 -110.40 29.40

Rank Group (The) Semi-Annual Data
Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Jun24
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 105.10 -24.30 -96.60 -13.80 -

Rank Group (The) 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. 2023 adds up the semi-annually data reported by the company within the most recent 12 months, which was £-110.4 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.


Rank Group (The)  (CHIX:RNKl) Operating Income Explanation

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

Rank Group (The)'s annualized ROC % for the quarter that ended in Jun. 2023 is calculated as:

ROC % (Q: Jun. 2023 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Dec. 2022 ) + Invested Capital (Q: Jun. 2023 ))/ count )
=-27.6 * ( 1 - 131.48% )/( (732.1 + 788.6)/ 2 )
=8.68848/760.35
=1.14 %

where

Note: The Operating Income data used here is two times the semi-annual (Jun. 2023) data.

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

Rank Group (The)'s annualized ROC (Joel Greenblatt) % for the quarter that ended in Jun. 2023 is calculated as:

ROC (Joel Greenblatt) %(Q: Jun. 2023 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Dec. 2022  Q: Jun. 2023
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=-19.4/( ( (166.7 + max(-147, 0)) + (161.6 + max(-98.6, 0)) )/ 2 )
=-19.4/( ( 166.7 + 161.6 )/ 2 )
=-19.4/164.15
=-11.82 %

where Working Capital is:

Working Capital(Q: Dec. 2022 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(0 + 2.7 + 11.8) - (152 + 0 + 9.5)
=-147

Working Capital(Q: Jun. 2023 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(0 + 2.2 + 40.5) - (90.5 + 0 + 50.8)
=-98.6

When net working capital is negative, 0 is used.

Note: The EBIT data used here is two times the semi-annual (Jun. 2023) EBIT data.

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

Rank Group (The)'s Operating Margin % for the quarter that ended in Jun. 2023 is calculated as:

Operating Margin %=Operating Income (Q: Jun. 2023 )/Revenue (Q: Jun. 2023 )
=-13.8/343
=-4.02 %

* 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.


Rank Group (The) Operating Income Related Terms

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


Rank Group (The) Business Description

Traded in Other Exchanges
Address
TOR, Saint-Cloud Way, Maidenhead, GBR, SL6 8BN
Rank Group (The) PLC is a gambling company with five primary business segments: Grosvenor Venues, Mecca Venues, Digital, Enracha Venues, and Central Costs. Its highest revenue producer is Grosvenor Casinos, a multichannel casino operator in the United Kingdom, which operates a variety of casino and slot machine games. Mecca offers bingo, gaming machines, great value food and drink, and live entertainment. Enracha is Rank's community gaming business for the Spanish market. Rank's digital business segment includes Mecca and Grosvenor for the UK market and Yo for the Spanish market and also operates over 80 UK digital-only brands via its proprietary technology platform and third-party platforms. The company generates the majority of its revenue in the United Kingdom.

Rank Group (The) Headlines

No Headlines