FTXP (Foothills Exploration) Operating Income: $-3.29 Mil (TTM As of Sep. 2019)

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What is Foothills Exploration Operating Income?

Foothills Exploration FTXP -99.00% Operating Income is $-3.29 Mil as of Sep. 2019.

Foothills Exploration's Operating Income for the three months ended in Sep. 2019 was $-1.17 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Sep. 2019 was $-3.29 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Foothills Exploration's Operating Income for the three months ended in Sep. 2019 was $-1.17 Mil. Foothills Exploration's Revenue for the three months ended in Sep. 2019 was $0.16 Mil. Therefore, Foothills Exploration's Operating Margin % for the quarter that ended in Sep. 2019 was -728.75%.

Foothills Exploration'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. Foothills Exploration's annualized ROC % for the quarter that ended in Sep. 2019 was -15.97%. Foothills Exploration's annualized ROC (Joel Greenblatt) % for the quarter that ended in Sep. 2019 was 77.71%.

Foothills Exploration (OTCPK:FTXP) Operating Income Explanation

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

Foothills Exploration's annualized ROC % for the quarter that ended in Sep. 2019 is calculated as:

	ROC % (Q: Sep. 2019 )
=	NOPAT	/	Average Invested Capital
=	Operating Income * ( 1 - Tax Rate % )	/	( (Invested Capital (Q: Jun. 2019 )	+	Invested Capital (Q: Sep. 2019 ))	/ count )
=	-4.664 * ( 1 - 0% )	/	( (30.287	+	28.105)	/ 2 )
=	-4.664	/	29.196
=	-15.97 %

where

	Invested Capital		(Q: Jun. 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	))
=	13.631	-	7.133	-	( 0.021	-	max(0, 24.155	-	0.366	+	0.021	))
=	30.287

	Invested Capital		(Q: Sep. 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	))
=	13.489	-	8.21	-	( 0	-	max(0, 23.006	-	0.18	+	0	))
=	28.105

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

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

Foothills Exploration's annualized ROC (Joel Greenblatt) % for the quarter that ended in Sep. 2019 is calculated as:

	ROC (Joel Greenblatt) %		(Q: Sep. 2019 )
=	EBIT	/	Average of (Net fixed Assets	+	Net Working Capital)
=	EBIT	/	Average of (Property, Plant and Equipment	+	Net Working Capital)
			Q: Jun. 2019		Q: Sep. 2019
=	EBIT	/	( ( (Property, Plant and Equipment + Net Working Capital)	+	(Property, Plant and Equipment + Net Working Capital) )	/	count )
=	10.212	/	( ( (13.12 + max(-13.693, 0))	+	(13.164 + max(-12.169, 0)) )	/	2 )
=	10.212	/	( ( 13.12	+	13.164 )	/	2 )
=	10.212	/	13.142
=	77.71 %

where Working Capital is:

	Working Capital		(Q: Jun. 2019 )
=	(Accounts Receivable	+	Total Inventories	+	Other Current Assets)	-	(Accounts Payable & Accrued Expense	+	Defer. Rev.	+	Other Current Liabilities)
=	(0.09	+	0	+	0.245)	-	(7.133	+	0	+	6.895)
=	-13.693

	Working Capital		(Q: Sep. 2019 )
=	(Accounts Receivable	+	Total Inventories	+	Other Current Assets)	-	(Accounts Payable & Accrued Expense	+	Defer. Rev.	+	Other Current Liabilities)
=	(0.003	+	0	+	0.177)	-	(8.21	+	0	+	4.139)
=	-12.169

When net working capital is negative, 0 is used.

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

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

Foothills Exploration's Operating Margin % for the quarter that ended in Sep. 2019 is calculated as:

Operating Margin %	=	Operating Income (Q: Sep. 2019 )	/	Revenue (Q: Sep. 2019 )
	=	-1.166	/	0.16
	=	-728.75 %

* 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.

Foothills Exploration Operating Income Related Terms

Foothills Exploration Operating Income Historical Data

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The historical data trend for Foothills Exploration's Operating Income can be seen below:

Foothills Exploration Operating Income Chart

Foothills Exploration Annual Data

Trend

Dec12

Dec13

Dec14

Dec15

Dec16

Dec17

Dec18

Operating Income

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-0.04

-0.06

-1.91

-3.94

-2.24

Foothills Exploration Quarterly Data
	Dec14	Mar15	Jun15	Sep15	Dec15	Mar16	Jun16	Sep16	Dec16	Mar17	Jun17	Sep17	Dec17	Mar18	Jun18	Sep18	Dec18	Mar19	Jun19	Sep19
Operating Income	Get a 7-Day Free Trial															-0.64	-0.47	-0.38	-1.27	-1.17

Foothills Exploration 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. 2019 adds up the quarterly data reported by the company within the most recent 12 months, which was $-3.29 Mil.

Frequently Asked Questions Learn more about Operating Income →

What does a Operating Income of $-3.29 Mil mean?

Foothills Exploration (FTXP) has a Operating Income of $-3.29 Mil as of Sep. 2019. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on Foothills Exploration and its competitors.

Is Foothills Exploration's Operating Income too high?

Foothills Exploration's current Operating Income is $-3.29 Mil.

How does Foothills Exploration's Operating Income compare to CNRR and GBR?

Foothills Exploration's Operating Income of $-3.29 Mil can be compared against companies in the Oil & Gas 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 Oil & Gas company?

A good Operating Income depends on the Oil & Gas 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 Foothills Exploration and its competitors. Foothills Exploration's current Operating Income is $-3.29 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.

Is Foothills Exploration stock overvalued right now?

Foothills Exploration (FTXP) has a current Operating Income of $-3.29 Mil. The current Operating Income is $-3.29 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 Foothills Exploration (FTXP), the current Operating Income is $-3.29 Mil as of Sep. 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.

Foothills Exploration Business Description

Industry Energy Oil & Gas

Comparable Companies TSXV:SXE CNRR TSXV:CEA ASX:RAW TSXV:ONV TSXV:MET GBR TSXV:SCD TSXV:HOC ENRJ TSXV:FRK TSXV:NOL.H VYEY XCNQ:JBR ASX:ABL ASX:GRV TSXV:HRH TSX:TEI LSE:SRO TSXV:BEN.H

Address 2660 Townsgate Road, Suite 800, Westlake Village, CA, USA, 91361

Website https://foothillspetro.com

Foothills Exploration Inc is an independent oil and gas exploration and production company. It engages in the acquisition and development of oil and natural gas properties. The firm is actively focused on acquiring producing and developmental properties in the Rockies and Gulf Coast regions. Its projects include Wind River Basin, Stagecoach Project, and Altamont-Bluebell Project.