GURUFOCUS.COM » STOCK LIST » Communication Services » Media - Diversified » Digital Brand Media & Marketing Group Inc (OTCPK:DBMM) » Definitions » Operating Income

Digital Brand Media & Marketing Group (Digital Brand Media & Marketing Group) Operating Income : $-0.36 Mil (TTM As of Feb. 2024)


View and export this data going back to 2003. Start your Free Trial

What is Digital Brand Media & Marketing Group Operating Income?

Digital Brand Media & Marketing Group's Operating Income for the three months ended in Feb. 2024 was $-0.09 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Feb. 2024 was $-0.36 Mil.

Warning Sign:

Digital Brand Media & Marketing Group 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. Digital Brand Media & Marketing Group's Operating Income for the three months ended in Feb. 2024 was $-0.09 Mil. Digital Brand Media & Marketing Group's Revenue for the three months ended in Feb. 2024 was $0.08 Mil. Therefore, Digital Brand Media & Marketing Group's Operating Margin % for the quarter that ended in Feb. 2024 was -106.17%.

Warning Sign:

Digital Brand Media & Marketing Group Inc operating margin has been in a 5-year decline. The average rate of decline per year is -16.7%.

Digital Brand Media & Marketing Group's 5-Year average Growth Rate for Operating Margin % was -16.70% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Digital Brand Media & Marketing Group's annualized ROC % for the quarter that ended in Feb. 2024 was -6.96%. Digital Brand Media & Marketing Group's annualized ROC (Joel Greenblatt) % for the quarter that ended in Feb. 2024 was %.


Digital Brand Media & Marketing Group Operating Income Historical Data

The historical data trend for Digital Brand Media & Marketing Group'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.

Digital Brand Media & Marketing Group Operating Income Chart

Digital Brand Media & Marketing Group Annual Data
Trend Aug14 Aug15 Aug16 Aug17 Aug18 Aug19 Aug20 Aug21 Aug22 Aug23
Operating Income
Get a 7-Day Free Trial Premium Member Only Premium Member Only -0.48 -0.41 -0.55 -0.46 -0.42

Digital Brand Media & Marketing Group Quarterly Data
May19 Aug19 Nov19 Feb20 May20 Aug20 Nov20 Feb21 May21 Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24
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 -0.12 -0.09 -0.08 -0.11 -0.09

Digital Brand Media & Marketing Group 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 Feb. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was $-0.36 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.


Digital Brand Media & Marketing Group  (OTCPK:DBMM) Operating Income Explanation

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

Digital Brand Media & Marketing Group's annualized ROC % for the quarter that ended in Feb. 2024 is calculated as:

ROC % (Q: Feb. 2024 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Nov. 2023 ) + Invested Capital (Q: Feb. 2024 ))/ count )
=-0.344 * ( 1 - 0% )/( (4.843 + 5.035)/ 2 )
=-0.344/4.939
=-6.96 %

where

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

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

Digital Brand Media & Marketing Group's annualized ROC (Joel Greenblatt) % for the quarter that ended in Feb. 2024 is calculated as:

ROC (Joel Greenblatt) %(Q: Feb. 2024 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Nov. 2023  Q: Feb. 2024
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=-0.404/( ( (0 + max(-3.652, 0)) + (0 + max(-3.701, 0)) )/ 2 )
=-0.404/( ( 0 + 0 )/ 2 )
=-0.404/0
= %

where Working Capital is:

Working Capital(Q: Nov. 2023 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(0.032 + 0 + 0) - (2.028 + 0 + 1.656)
=-3.652

Working Capital(Q: Feb. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(0.027 + 0 + 0) - (2.034 + 0 + 1.694)
=-3.701

When net working capital is negative, 0 is used.

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

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

Digital Brand Media & Marketing Group's Operating Margin % for the quarter that ended in Feb. 2024 is calculated as:

Operating Margin %=Operating Income (Q: Feb. 2024 )/Revenue (Q: Feb. 2024 )
=-0.086/0.081
=-106.17 %

* 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.


Digital Brand Media & Marketing Group Operating Income Related Terms

Thank you for viewing the detailed overview of Digital Brand Media & Marketing Group's Operating Income provided by GuruFocus.com. Please click on the following links to see related term pages.


Digital Brand Media & Marketing Group (Digital Brand Media & Marketing Group) Business Description

Traded in Other Exchanges
N/A
Address
845 Third Avenue, 6th Floor, New York, NY, USA, 10022
Digital Brand Media & Marketing Group Inc is involved in the business of crafting, designing, and executing digital marketing strategies across multiple advertising platforms and social media networks for an array of clients to increase return on investment. The company generates revenue through Pay-Per-Click Advertising, Search Engine Marketing, Search Engine Optimization Services, Web Design, Social Media, Digital analytics and Advisory Services. It promotes and sells its services under the brand name of Digital Clarity.
Executives
Linda Perry director 400 EAST 54TH STREET, APT 28E, NEW YORK NY 10022
Reggie James director HOLLYDALE SNOWDENHAM LANE, BRAMLEY, SURRY X0 GU5 0AT

Digital Brand Media & Marketing Group (Digital Brand Media & Marketing Group) Headlines