Southcross Energy Partners LP (FRA:SCR) Operating Income: €-28.4 Mil (TTM As of Mar. 2019)


What is Southcross Energy Partners LP Operating Income?

Southcross Energy Partners LP FRA:SCR Operating Income is €-28.4 Mil as of Mar. 2019. The stock has 5 warning signs investors should review.

Southcross Energy Partners LP's Operating Income for the three months ended in Mar. 2019 was €-12.0 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2019 was €-28.4 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Southcross Energy Partners LP's Operating Income for the three months ended in Mar. 2019 was €-12.0 Mil. Southcross Energy Partners LP's Revenue for the three months ended in Mar. 2019 was €107.9 Mil. Therefore, Southcross Energy Partners LP's Operating Margin % for the quarter that ended in Mar. 2019 was -11.14%.

Warning Sign:

Southcross Energy Partners LP operating margin has been in 5-year decline. The average rate of decline per year is -55.3%.

Southcross Energy Partners LP's 5-Year average Growth Rate for Operating Margin % was -55.30% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Southcross Energy Partners LP's annualized ROC % for the quarter that ended in Mar. 2019 was -5.12%. Southcross Energy Partners LP's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2019 was -15.43%.

Southcross Energy Partners LP  (FRA:SCR) Operating Income Explanation

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

Southcross Energy Partners LP's annualized ROC % for the quarter that ended in Mar. 2019 is calculated as:

ROC % (Q: Mar. 2019 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Dec. 2018 ) + Invested Capital (Q: Mar. 2019 ))/ count )
=-48.072 * ( 1 - 0% )/( (934.837 + 944.087)/ 2 )
=-48.072/939.462
=-5.12 %

where

Invested Capital(Q: Dec. 2018 )
=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))
=536.587 - 53.718 - ( 10.29 - max(0, 525.242 - 73.274+10.29))
=934.837

Invested Capital(Q: Mar. 2019 )
=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))
=519.068 - 45.874 - ( 1.436 - max(0, 527.606 - 56.713+1.436))
=944.087

Note: The Operating Income data used here is four times the quarterly (Mar. 2019) data.

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

Southcross Energy Partners LP's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2019 is calculated as:

ROC (Joel Greenblatt) %(Q: Mar. 2019 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Dec. 2018  Q: Mar. 2019
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=-57.48/( ( (375.351 + max(-4.1909999999999, 0)) + (369.629 + max(-9.906, 0)) )/ 2 )
=-57.48/( ( 375.351 + 369.629 )/ 2 )
=-57.48/372.49
=-15.43 %

where Working Capital is:

Working Capital(Q: Dec. 2018 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(52.671 + 0 + 10.313) - (53.718 + 0 + 13.457)
=-4.1909999999999

Working Capital(Q: Mar. 2019 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(34.632 + 0 + 20.645) - (45.874 + 0 + 19.309)
=-9.906

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Mar. 2019) EBIT data.

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

Southcross Energy Partners LP's Operating Margin % for the quarter that ended in Mar. 2019 is calculated as:

Operating Margin %=Operating Income (Q: Mar. 2019 )/Revenue (Q: Mar. 2019 )
=-12.018/107.906
=-11.14 %

* 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.

Southcross Energy Partners LP Operating Income Related Terms

Southcross Energy Partners LP Operating Income Historical Data

* Premium members only.

The historical data trend for Southcross Energy Partners LP'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.

Southcross Energy Partners LP Operating Income Chart

Southcross Energy Partners LP Annual Data
Trend Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18
Operating Income
Get a 7-Day Free Trial Premium Member Only -9.17 -1.89 -50.14 -13.60 -19.72

Southcross Energy Partners LP Quarterly Data
Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19
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 -4.12 -3.61 -0.51 -12.24 -12.02

Southcross Energy Partners LP 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. 2019 adds up the quarterly data reported by the company within the most recent 12 months, which was €-28.4 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 €-28.4 Mil mean?
Southcross Energy Partners LP (FRA:SCR) has a Operating Income of €-28.4 Mil as of Mar. 2019. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on Southcross Energy Partners LP and its competitors.
Is Southcross Energy Partners LP's Operating Income too high?
Southcross Energy Partners LP's current Operating Income is €-28.4 Mil.
How does Southcross Energy Partners LP's Operating Income compare to CNIG?
Southcross Energy Partners LP's Operating Income of €-28.4 Mil can be compared against companies in the Utilities - Regulated 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 an Utilities - Regulated company?
A good Operating Income depends on the Utilities - Regulated 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 Southcross Energy Partners LP and its competitors. Southcross Energy Partners LP's current Operating Income is €-28.4 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Southcross Energy Partners LP stock overvalued right now?
Southcross Energy Partners LP (FRA:SCR) has a current Operating Income of €-28.4 Mil. The current Operating Income is €-28.4 Mil. 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 Southcross Energy Partners LP (FRA:SCR), the current Operating Income is €-28.4 Mil as of Mar. 2019. 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.

Southcross Energy Partners LP Business Description

Address 1717 Main Street, Suite 5200, Dallas, TX, USA, 75201
Southcross Energy Partners LP provides natural gas gathering, processing, treating, compression and transportation services and NGL fractionation and transportation services. It also source, purchase transport and sell natural gas and NGLs. The company derives the majority of its revenues from sales of natural gas. Its assets are located in South Texas, Mississippi, and Alabama.