Shenzhen SDMC Technology Co (FRA:6RJ) Operating Income: €31.5 Mil (TTM As of Dec. 2025)

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

FRA:6RJ Shenzhen SDMC Technology Co Ltd FRA:6RJ
28 GF Score
Price €6.49
! 3 Warning Signs
View Full Analysis

What is Shenzhen SDMC Technology Co Operating Income?

Shenzhen SDMC Technology Co FRA:6RJ +4.85% 28 Operating Income is €31.5 Mil as of Dec. 2025. GuruFocus rates FRA:6RJ with a GF Score™ of 28/100. The stock has 3 warning signs investors should review.

Shenzhen SDMC Technology Co's Operating Income for the six months ended in Dec. 2025 was €18.3 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2025 was €31.5 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Shenzhen SDMC Technology Co's Operating Income for the six months ended in Dec. 2025 was €18.3 Mil. Shenzhen SDMC Technology Co's Revenue for the six months ended in Dec. 2025 was €222.0 Mil. Therefore, Shenzhen SDMC Technology Co's Operating Margin % for the quarter that ended in Dec. 2025 was 8.24%.

Shenzhen SDMC Technology Co'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. Shenzhen SDMC Technology Co's annualized ROC % for the quarter that ended in Dec. 2025 was 27.42%. Shenzhen SDMC Technology Co's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2025 was 29.59%.

Shenzhen SDMC Technology Co  (FRA:6RJ) Operating Income Explanation

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

Shenzhen SDMC Technology Co's annualized ROC % for the quarter that ended in Dec. 2025 is calculated as:

ROC % (Q: Dec. 2025 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Jun. 2025 ) + Invested Capital (Q: Dec. 2025 ))/ count )
=36.592 * ( 1 - 4.56% )/( (101.286 + 153.467)/ 2 )
=34.9234048/127.3765
=27.42 %

where

Invested Capital(Q: Jun. 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))
=279.646 - 117.764 - ( 60.596 - max(0, 141.568 - 266.701+60.596))
=101.286

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))
=312.032 - 125.42 - ( 33.145 - max(0, 157.238 - 297.723+33.145))
=153.467

Note: The Operating Income data used here is two times the semi-annual (Dec. 2025) data.

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

Shenzhen SDMC Technology Co's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2025 is calculated as:

ROC (Joel Greenblatt) %(Q: Dec. 2025 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Jun. 2025  Q: Dec. 2025
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=35.104/( ( (10.234 + max(84.178, 0)) + (11.067 + max(131.759, 0)) )/ 2 )
=35.104/( ( 94.412 + 142.826 )/ 2 )
=35.104/118.619
=29.59 %

where Working Capital is:

Working Capital(Q: Jun. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(116.885 + 68.707 + 20.203) - (117.764 + 0 + 3.853)
=84.178

Working Capital(Q: Dec. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(109.386 + 105.411 + 47.12) - (125.42 + 0 + 4.738)
=131.759

When net working capital is negative, 0 is used.

Note: The EBIT data used here is two times the semi-annual (Dec. 2025) EBIT data.

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

Shenzhen SDMC Technology Co's Operating Margin % for the quarter that ended in Dec. 2025 is calculated as:

Operating Margin %=Operating Income (Q: Dec. 2025 )/Revenue (Q: Dec. 2025 )
=18.296/221.991
=8.24 %

* 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.

Shenzhen SDMC Technology Co Operating Income Related Terms

Shenzhen SDMC Technology Co Operating Income Historical Data

* Premium members only.

The historical data trend for Shenzhen SDMC Technology Co'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.

Shenzhen SDMC Technology Co Operating Income Chart

Shenzhen SDMC Technology Co Annual Data
Trend Dec22 Dec23 Dec24 Dec25
Operating Income
33.27 23.98 15.43 31.56

Shenzhen SDMC Technology Co Semi-Annual Data
Dec22 Dec23 Jun24 Dec24 Jun25 Dec25
Operating Income Get a 7-Day Free Trial 0.00 5.62 9.68 13.21 18.30
FRA:6RJ
28GF Score
Shenzhen SDMC Technology Co Ltd FRA:6RJ
Operating Income is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Shenzhen SDMC Technology Co 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. 2025 adds up the semi-annually data reported by the company within the most recent 12 months, which was €31.5 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.

Frequently Asked Questions Learn more about Operating Income →
What does a Operating Income of €31.5 Mil mean?
Shenzhen SDMC Technology Co (FRA:6RJ) has a Operating Income of €31.5 Mil as of Dec. 2025. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on Shenzhen SDMC Technology Co and its competitors.
Is Shenzhen SDMC Technology Co's Operating Income too high?
Shenzhen SDMC Technology Co's current Operating Income is €31.5 Mil. Overall, Shenzhen SDMC Technology Co has a GF Score™ of 28/100, reflecting its overall financial health beyond just this single metric.
How does Shenzhen SDMC Technology Co's Operating Income compare to CSCO and MSI?
Shenzhen SDMC Technology Co's Operating Income of €31.5 Mil can be compared against companies in the Hardware 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 Hardware company?
A good Operating Income depends on the Hardware 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 Shenzhen SDMC Technology Co and its competitors. Shenzhen SDMC Technology Co's current Operating Income is €31.5 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Shenzhen SDMC Technology Co stock overvalued right now?
Shenzhen SDMC Technology Co (FRA:6RJ) has a current Operating Income of €31.5 Mil. The current Operating Income is €31.5 Mil. Shenzhen SDMC Technology Co's overall GF Score™ is 28/100 with 3 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 Shenzhen SDMC Technology Co (FRA:6RJ), the current Operating Income is €31.5 Mil as of Dec. 2025. 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.

Shenzhen SDMC Technology Co Business Description

Other Exchanges 00901:Hong Kong
Address No. 18, Keji South 12th Road, Yuehai Street, High Tech Zone Community, 18th Floor, 19th Floor, 22nd Floor and 23rd Floor, Changhong Science and Technology Building, Nanshan District, Guangdong Province, Shenzhen, CHN
Shenzhen SDMC Technology Co Ltd is principally engaged in (i) sales of digital video products and network communication products, and (ii) provision of system platforms and services. The majority of revenue was mainly generated from sales of hardware products, namely digital video devices and network communication devices. Its other hardware products include media streaming terminals, speakers, projectors, cameras, optical network terminals, Wi-Fi routers, and cable modems. The company also develops system platforms including Cedar, XHome, and XMediaTV. Geographically, the maximum revenue is generated from Asia.
28GF Score

Get the complete analysis for FRA:6RJ

Operating Income is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€6.49
Price