GURUFOCUS.COM » STOCK LIST » Industrials » Transportation » El AL Israel Airlines Ltd (OTCPK:ELALF) » Definitions » Operating Income

El AL Israel Airlines (El AL Israel Airlines) Operating Income : $256 Mil (TTM As of Dec. 2023)


View and export this data going back to 2004. Start your Free Trial

What is El AL Israel Airlines Operating Income?

El AL Israel Airlines's Operating Income for the three months ended in Dec. 2023 was $86 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 was $256 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. El AL Israel Airlines's Operating Income for the three months ended in Dec. 2023 was $86 Mil. El AL Israel Airlines's Revenue for the three months ended in Dec. 2023 was $678 Mil. Therefore, El AL Israel Airlines's Operating Margin % for the quarter that ended in Dec. 2023 was 12.69%.

El AL Israel Airlines'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. El AL Israel Airlines's annualized ROC % for the quarter that ended in Dec. 2023 was 9.25%. El AL Israel Airlines's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2023 was 13.71%.


El AL Israel Airlines Operating Income Historical Data

The historical data trend for El AL Israel Airlines'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.

El AL Israel Airlines Operating Income Chart

El AL Israel Airlines Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Operating Income
Get a 7-Day Free Trial Premium Member Only Premium Member Only -8.71 -375.92 -296.10 101.50 255.10

El AL Israel Airlines Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
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 110.95 -4.34 89.36 84.58 86.01

El AL Israel Airlines 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 Dec. 2023 adds up the quarterly data reported by the company within the most recent 12 months, which was $256 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.


El AL Israel Airlines  (OTCPK:ELALF) Operating Income Explanation

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

El AL Israel Airlines's annualized ROC % for the quarter that ended in Dec. 2023 is calculated as:

ROC % (Q: Dec. 2023 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Sep. 2023 ) + Invested Capital (Q: Dec. 2023 ))/ count )
=344.048 * ( 1 - 0.3% )/( (3679.659 + 3738.6)/ 2 )
=343.015856/3709.1295
=9.25 %

where

Invested Capital(Q: Sep. 2023 )
=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))
=3207.816 - 321.912 - ( 315.327 - max(0, 1430.645 - 636.89+315.327))
=3679.659

Note: The Operating Income data used here is four times the quarterly (Dec. 2023) data.

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

El AL Israel Airlines's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2023 is calculated as:

ROC (Joel Greenblatt) %(Q: Dec. 2023 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Sep. 2023  Q: Dec. 2023
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=310.08/( ( (2298.614 + max(-777.986, 0)) + (2225.1 + max(-804.4, 0)) )/ 2 )
=310.08/( ( 2298.614 + 2225.1 )/ 2 )
=310.08/2261.857
=13.71 %

where Working Capital is:

Working Capital(Q: Sep. 2023 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(221.427 + 21.524 + 41.149) - (321.912 + 0 + 740.174)
=-777.986

Working Capital(Q: Dec. 2023 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(293.8 + 15.5 + 63.1) - (323.8 + 0 + 853)
=-804.4

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Dec. 2023) EBIT data.

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

El AL Israel Airlines's Operating Margin % for the quarter that ended in Dec. 2023 is calculated as:

Operating Margin %=Operating Income (Q: Dec. 2023 )/Revenue (Q: Dec. 2023 )
=86.012/677.781
=12.69 %

* 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.


El AL Israel Airlines Operating Income Related Terms

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


El AL Israel Airlines (El AL Israel Airlines) Business Description

Traded in Other Exchanges
Address
PO Box 41, Ben Gurion Airport, Lod, ISR, 7015001
El AL Israel Airlines Ltd is an international airline company which provides air transportation of passengers and cargo in Israel and overseas, by means of passenger aircraft and cargo aircraft. The company's passenger aircraft mainly operate scheduled flights as well as charter flights. The group is engaged in activities related to the air transport operations, such as the sale of duty-free products, food production, and supply mainly to the company's aircraft, providing security services, ongoing maintenance services and overall maintenance services to aircraft of other airlines at Ben Gurion Airport, and managing travel agencies abroad. The reporting segments of the company are air transport on passenger aircraft, and air transport on cargo plane.

El AL Israel Airlines (El AL Israel Airlines) Headlines

From GuruFocus

New in El Al Airlines: Customer Service Also on WhatsApp

By PRNewswire PRNewswire 12-11-2018