EW (Edwards Lifesciences) Operating Income: $1,741 Mil (TTM As of Mar. 2026)

What is Edwards Lifesciences Operating Income?

Edwards Lifesciences EW -0.78% 97 Operating Income is $1,741 Mil as of Mar. 2026. GuruFocus rates EW with a GF Score™ of 97/100 and a GF Value™ of $93.48 (Fairly Valued). The stock has 5 warning signs investors should review.

Edwards Lifesciences's Operating Income for the three months ended in Mar. 2026 was $515 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was $1,741 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Edwards Lifesciences's Operating Income for the three months ended in Mar. 2026 was $515 Mil. Edwards Lifesciences's Revenue for the three months ended in Mar. 2026 was $1,649 Mil. Therefore, Edwards Lifesciences's Operating Margin % for the quarter that ended in Mar. 2026 was 31.22%.

Warning Sign:

Edwards Lifesciences Corp operating margin has been in a 5-year decline. The average rate of decline per year is -2.9%.

Edwards Lifesciences's 5-Year average Growth Rate for Operating Margin % was -2.90% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Edwards Lifesciences's annualized ROC % for the quarter that ended in Mar. 2026 was 20.30%. Edwards Lifesciences's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 77.94%.

Edwards Lifesciences (NYSE:EW) Operating Income Explanation

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

Edwards Lifesciences's annualized ROC % for the quarter that ended in Mar. 2026 is calculated as:

	ROC % (Q: Mar. 2026 )
=	NOPAT	/	Average Invested Capital
=	Operating Income * ( 1 - Tax Rate % )	/	( (Invested Capital (Q: Dec. 2025 )	+	Invested Capital (Q: Mar. 2026 ))	/ count )
=	2058.8 * ( 1 - 17.06% )	/	( (8251.7	+	8568.3)	/ 2 )
=	1707.56872	/	8410
=	20.30 %

where

	Invested Capital		(Q: Dec. 2025 )
=	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	))
=	13697.2	-	1219.2	-	( 4226.3	-	max(0, 1813.7	-	6738.9	+	4226.3	))
=	8251.7

	Invested Capital		(Q: Mar. 2026 )
=	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	))
=	13321.2	-	1081.4	-	( 3671.5	-	max(0, 1409	-	6228.7	+	3671.5	))
=	8568.3

Note: The Operating Income data used here is four times the quarterly (Mar. 2026) data.

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

Edwards Lifesciences's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 is calculated as:

	ROC (Joel Greenblatt) %		(Q: Mar. 2026 )
=	EBIT	/	Average of (Net fixed Assets	+	Net Working Capital)
=	EBIT	/	Average of (Property, Plant and Equipment	+	Net Working Capital)
			Q: Dec. 2025		Q: Mar. 2026
=	EBIT	/	( ( (Property, Plant and Equipment + Net Working Capital)	+	(Property, Plant and Equipment + Net Working Capital) )	/	count )
=	2058.8	/	( ( (1914.6 + max(470.9, 0))	+	(1922.4 + max(975.2, 0)) )	/	2 )
=	2058.8	/	( ( 2385.5	+	2897.6 )	/	2 )
=	2058.8	/	2641.55
=	77.94 %

where Working Capital is:

	Working Capital		(Q: Dec. 2025 )
=	(Accounts Receivable	+	Total Inventories	+	Other Current Assets)	-	(Accounts Payable & Accrued Expense	+	Defer. Rev.	+	Other Current Liabilities)
=	(659.6	+	1126.2	+	474.3)	-	(1219.2	+	27.2	+	542.8)
=	470.9

	Working Capital		(Q: Mar. 2026 )
=	(Accounts Receivable	+	Total Inventories	+	Other Current Assets)	-	(Accounts Payable & Accrued Expense	+	Defer. Rev.	+	Other Current Liabilities)
=	(775.7	+	1119	+	465.2)	-	(1081.4	+	22.8	+	280.5)
=	975.2

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Mar. 2026) EBIT data.

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

Edwards Lifesciences's Operating Margin % for the quarter that ended in Mar. 2026 is calculated as:

Operating Margin %	=	Operating Income (Q: Mar. 2026 )	/	Revenue (Q: Mar. 2026 )
	=	514.7	/	1648.6
	=	31.22 %

* 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.

Edwards Lifesciences Operating Income Related Terms

Edwards Lifesciences Operating Income Historical Data

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The historical data trend for Edwards Lifesciences's Operating Income can be seen below:

Edwards Lifesciences Operating Income Chart

Edwards Lifesciences Annual Data

Trend

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Dec24

Dec25

Operating Income

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1,586.80

1,539.10

1,486.20

1,480.10

1,636.20

Edwards Lifesciences Quarterly Data
	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23	Mar24	Jun24	Sep24	Dec24	Mar25	Jun25	Sep25	Dec25	Mar26
Operating Income	Get a 7-Day Free Trial															409.90	430.90	425.10	370.30	514.70

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Edwards Lifesciences Corp EW

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Edwards Lifesciences 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 Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $1,741 Mil.

Frequently Asked Questions Learn more about Operating Income →

What does a Operating Income of $1,741 Mil mean?

Edwards Lifesciences (EW) has a Operating Income of $1,741 Mil as of Mar. 2026. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on Edwards Lifesciences and its competitors.

Is Edwards Lifesciences' Operating Income too high?

Edwards Lifesciences' current Operating Income is $1,741 Mil. Overall, Edwards Lifesciences has a GF Score™ of 97/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.

How does Edwards Lifesciences' Operating Income compare to BSX and GEHC?

Edwards Lifesciences' Operating Income of $1,741 Mil can be compared against companies in the Medical Devices & Instruments industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.

What is a good Operating Income for a Medical Devices & Instruments company?

A good Operating Income depends on the Medical Devices & Instruments industry context. However, Operating Income should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.

What does a high Operating Income mean?

A high Operating Income can signal that a stock is expensive relative to its fundamentals. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on Edwards Lifesciences and its competitors. Edwards Lifesciences's current Operating Income is $1,741 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.

Is Edwards Lifesciences stock overvalued right now?

Based on GuruFocus' analysis, Edwards Lifesciences (EW) is currently considered Fairly Valued. The stock's GF Value™ is $93.48, compared to a current price of $94.44 — trading 1% above its estimated fair value. The current Operating Income is $1,741 Mil. Edwards Lifesciences' overall GF Score™ is 97/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.

How is Operating Income calculated?

Operating Income is calculated from a company's financial statements. For Edwards Lifesciences (EW), the current Operating Income is $1,741 Mil as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Edwards Lifesciences (EW) Overvalued in 2026?

Based on GuruFocus' analysis, Edwards Lifesciences stock appears to be overvalued. The current stock price of $94.44 is trading 1% above its estimated GF Value™ of $93.48. GuruFocus considers Edwards Lifesciences to be Fairly Valued.

Key valuation signals for EW:

Operating Income: $1,741 Mil
GF Value™: $93.48 vs. price of $94.44 (1% above fair value)
GF Score™: 97/100 with 5 warning signs

No single metric tells the full story. See the EW stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Edwards Lifesciences Business Description

Industry Healthcare Medical Devices & Instruments

Comparable Companies BSX GEHC DXCM STE ZBH PEN GMED PODD BRKR GKOS ABT SYK MDT XTER:SHL XAMS:PHIA SZSE:300760 XSWX:SOON LSE:SN.SHSE:688271 TSE:7733

Other Exchanges EW:Mexico 1EW:Italy EWL:Germany E1WL34:Brazil EWLS:Austria

Address One Edwards Way, Irvine, CA, USA, 92614

Website https://www.edwards.com

Spun off from Baxter International in 2000, Edwards Lifesciences designs, manufactures, and markets a range of medical devices and equipment for advanced stages of structural heart disease. It has established itself as a leader across key products, including surgical tissue heart valves, transcatheter aortic valves, and transcatheter mitral and tricuspid valve technologies. The firm derives about 60% of its total sales from outside the US.

97GF Score

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$94.44

Price

$93.48

GF Value

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