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D7 Enterprises (D7 Enterprises) Operating Income : $-4.35 Mil (TTM As of Sep. 2000)


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What is D7 Enterprises Operating Income?

D7 Enterprises's Operating Income for the three months ended in Sep. 2000 was $-2.77 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Sep. 2000 was $-4.35 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. D7 Enterprises's Operating Income for the three months ended in Sep. 2000 was $-2.77 Mil. D7 Enterprises's Revenue for the three months ended in Sep. 2000 was $4.49 Mil. Therefore, D7 Enterprises's Operating Margin % for the quarter that ended in Sep. 2000 was -61.65%.

D7 Enterprises'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. D7 Enterprises's annualized ROC % for the quarter that ended in Sep. 2000 was -45.74%. D7 Enterprises's annualized ROC (Joel Greenblatt) % for the quarter that ended in Sep. 2000 was -283.01%.


D7 Enterprises Operating Income Historical Data

The historical data trend for D7 Enterprises'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.

D7 Enterprises Operating Income Chart

D7 Enterprises Annual Data
Trend Dec95 Dec96 Dec97 Dec98 Dec99
Operating Income
-0.30 -0.80 -9.00 -4.50 -2.93

D7 Enterprises Quarterly Data
Dec95 Mar96 Jun96 Sep96 Dec96 Mar97 Jun97 Sep97 Dec97 Mar98 Jun98 Sep98 Dec98 Mar99 Jun99 Sep99 Dec99 Mar00 Jun00 Sep00
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 0.80 -2.23 0.80 -0.15 -2.77

D7 Enterprises 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. 2000 adds up the quarterly data reported by the company within the most recent 12 months, which was $-4.35 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.


D7 Enterprises  (OTCPK:DGIF) Operating Income Explanation

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

D7 Enterprises's annualized ROC % for the quarter that ended in Sep. 2000 is calculated as:

ROC % (Q: Sep. 2000 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Jun. 2000 ) + Invested Capital (Q: Sep. 2000 ))/ count )
=-11.06 * ( 1 - -1.84% )/( (27.745 + 21.503)/ 2 )
=-11.263504/24.624
=-45.74 %

where

Note: The Operating Income data used here is four times the quarterly (Sep. 2000) data.

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

D7 Enterprises's annualized ROC (Joel Greenblatt) % for the quarter that ended in Sep. 2000 is calculated as:

ROC (Joel Greenblatt) %(Q: Sep. 2000 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Jun. 2000  Q: Sep. 2000
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=-11.06/( ( (4.007 + max(-0.098999999999998, 0)) + (3.809 + max(-0.101, 0)) )/ 2 )
=-11.06/( ( 4.007 + 3.809 )/ 2 )
=-11.06/3.908
=-283.01 %

where Working Capital is:

Working Capital(Q: Jun. 2000 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(0 + 10.632 + 0.341) - (8.556 + 0 + 2.516)
=-0.098999999999998

Working Capital(Q: Sep. 2000 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(0 + 10.783 + 0.336) - (8.822 + 0 + 2.398)
=-0.101

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Sep. 2000) EBIT data.

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

D7 Enterprises's Operating Margin % for the quarter that ended in Sep. 2000 is calculated as:

Operating Margin %=Operating Income (Q: Sep. 2000 )/Revenue (Q: Sep. 2000 )
=-2.765/4.485
=-61.65 %

* 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.


D7 Enterprises Operating Income Related Terms

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D7 Enterprises (D7 Enterprises) Business Description

Traded in Other Exchanges
N/A
Address
7295 West 62nd Avenue, Suite 100, Arvada, CO, USA, 80003
D7 Enterprises Inc is engaged in hemp-related products and digital service technologies. The digital services include the back up of legacy data from old archival equipment. The system solution takes the old data off the tape drives and converts it to today's technology. Its solutions include tape backup, emulation systems, and even hardware replacement to the cloud. It has also grown a harvest of hemp seed. The company will be taking the final biomass produced and process into industry-standard distillate or isolate that can then be put into the companies line of consumer and industrial products. These include creams, lotions, and tincture of CBD and CBG for pain.

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