Gulf Resources (FRA:R29) Operating Income: €-16.95 Mil (TTM As of Sep. 2025)

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FRA:R29 Gulf Resources Inc FRA:R29
57 GF Score
Price €4.16
GF Value €7.99
! 3 Warning Signs
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What is Gulf Resources Operating Income?

Gulf Resources FRA:R29 57 Operating Income is €-16.95 Mil as of Sep. 2025. GuruFocus rates FRA:R29 with a GF Score™ of 57/100 and a GF Value™ of €7.99. The stock has 3 warning signs investors should review.

Gulf Resources's Operating Income for the three months ended in Sep. 2025 was €-2.79 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Sep. 2025 was €-16.95 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Gulf Resources's Operating Income for the three months ended in Sep. 2025 was €-2.79 Mil. Gulf Resources's Revenue for the three months ended in Sep. 2025 was €7.71 Mil. Therefore, Gulf Resources's Operating Margin % for the quarter that ended in Sep. 2025 was -36.21%.

Gulf Resources'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. Gulf Resources's annualized ROC % for the quarter that ended in Sep. 2025 was -9.91%. Gulf Resources's annualized ROC (Joel Greenblatt) % for the quarter that ended in Sep. 2025 was -112.75%.


Gulf Resources  (FRA:R29) Operating Income Explanation

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

Gulf Resources's annualized ROC % for the quarter that ended in Sep. 2025 is calculated as:

ROC % (Q: Sep. 2025 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Jun. 2025 ) + Invested Capital (Q: Sep. 2025 ))/ count )
=-11.16 * ( 1 - 0% )/( (125.461 + 99.655)/ 2 )
=-11.16/112.558
=-9.91 %

where

Note: The Operating Income data used here is four times the quarterly (Sep. 2025) data.

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

Gulf Resources's annualized ROC (Joel Greenblatt) % for the quarter that ended in Sep. 2025 is calculated as:

ROC (Joel Greenblatt) %(Q: Sep. 2025 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Jun. 2025  Q: Sep. 2025
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=-121.48/( ( (116.791 + max(-1.76, 0)) + (98.69 + max(-5.592, 0)) )/ 2 )
=-121.48/( ( 116.791 + 98.69 )/ 2 )
=-121.48/107.7405
=-112.75 %

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)
=(2.732 + 0.447 + 7.58) - (12.519 + 0 + 0)
=-1.76

Working Capital(Q: Sep. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(2.916 + 0.412 + 5.04) - (13.96 + 0 + 0)
=-5.592

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Sep. 2025) EBIT data.

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

Gulf Resources's Operating Margin % for the quarter that ended in Sep. 2025 is calculated as:

Operating Margin %=Operating Income (Q: Sep. 2025 )/Revenue (Q: Sep. 2025 )
=-2.79/7.706
=-36.21 %

* 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.


Gulf Resources Operating Income Related Terms


Gulf Resources Operating Income Historical Data

* Premium members only.

The historical data trend for Gulf Resources'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.

Gulf Resources Operating Income Chart

Gulf Resources Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Operating Income
Get a 7-Day Free Trial Premium Member Only Premium Member Only -1.24 4.61 15.56 -10.90 -20.33

Gulf Resources Quarterly Data
Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25
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 -2.56 -12.86 -1.28 -0.02 -2.79
FRA:R29
57GF Score
Gulf Resources Inc FRA:R29
Operating Income is just one metric. See GF Score™, valuation, warning signs, and more.
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Gulf Resources 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. 2025 adds up the quarterly data reported by the company within the most recent 12 months, which was €-16.95 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 €-16.95 Mil mean?
Gulf Resources (FRA:R29) has a Operating Income of €-16.95 Mil as of Sep. 2025. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on Gulf Resources and its competitors.
Is Gulf Resources' Operating Income too high?
Gulf Resources' current Operating Income is €-16.95 Mil. Overall, Gulf Resources has a GF Score™ of 57/100, reflecting its overall financial health beyond just this single metric.
How does Gulf Resources' Operating Income compare to ORGN and DOW?
Gulf Resources' Operating Income of €-16.95 Mil can be compared against companies in the Chemicals 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 Chemicals company?
A good Operating Income depends on the Chemicals 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 Gulf Resources and its competitors. Gulf Resources's current Operating Income is €-16.95 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Gulf Resources stock overvalued right now?
Gulf Resources (FRA:R29) has a current Operating Income of €-16.95 Mil. The stock's GF Value™ is €7.99, compared to a current price of €4.16 — trading 47.9% below its estimated fair value. The current Operating Income is €-16.95 Mil. Gulf Resources' overall GF Score™ is 57/100 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 Gulf Resources (FRA:R29), the current Operating Income is €-16.95 Mil as of Sep. 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.

Is Gulf Resources (FRA:R29) Overvalued in 2026?

Based on GuruFocus' analysis, Gulf Resources stock appears to be undervalued. The current stock price of €4.16 is trading 47.9% below its estimated GF Value™ of €7.99.

Key valuation signals for FRA:R29:

  • Operating Income: €-16.95 Mil
  • GF Value™: €7.99 vs. price of €4.16 (47.9% below fair value)
  • GF Score™: 57/100 with 3 warning signs

No single metric tells the full story. See the FRA:R29 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Gulf Resources Business Description

Other Exchanges GURE:USA
Address Level 11, Vegetable Building, Industrial Park of the East Shouguang City, Shandong, Shouguang, CHN, 262700
Gulf Resources Inc is a holding company engaged in the manufacture and trade of bromine and crude salt, and natural gas; manufactures and sells chemical products used in oil and gas field exploration, oil and gas distribution, oil field drilling, wastewater processing, papermaking chemical agents and inorganic chemicals, and manufactures and sells materials for human and animal antibiotics. It operates in four segments: Bromine, Crude Salt, Chemical Products and Natural Gas. It derives maximum revenue from the Bromine segment which is commonly used in brominated flame retardants, fumigants, water purification compounds, dyes, medicines and disinfectants.
57GF Score

Get the complete analysis for FRA:R29

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

€4.16
Price
€7.99
GF Value