GCFB (Granite City Food & Brewery) Operating Income: $-2.8 Mil (TTM As of Jun. 2017)


What is Granite City Food & Brewery Operating Income?

Granite City Food & Brewery GCFB Operating Income is $-2.8 Mil as of Jun. 2017.

Granite City Food & Brewery's Operating Income for the three months ended in Jun. 2017 was $0.6 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Jun. 2017 was $-2.8 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Granite City Food & Brewery's Operating Income for the three months ended in Jun. 2017 was $0.6 Mil. Granite City Food & Brewery's Revenue for the three months ended in Jun. 2017 was $36.8 Mil. Therefore, Granite City Food & Brewery's Operating Margin % for the quarter that ended in Jun. 2017 was 1.74%.

Granite City Food & Brewery'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. Granite City Food & Brewery's annualized ROC % for the quarter that ended in Jun. 2017 was 2.52%. Granite City Food & Brewery's annualized ROC (Joel Greenblatt) % for the quarter that ended in Jun. 2017 was 4.15%.

Granite City Food & Brewery  (OTCPK:GCFB) Operating Income Explanation

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

Granite City Food & Brewery's annualized ROC % for the quarter that ended in Jun. 2017 is calculated as:

ROC % (Q: Jun. 2017 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Mar. 2017 ) + Invested Capital (Q: Jun. 2017 ))/ count )
=2.556 * ( 1 - 0% )/( (103.447 + 99.063)/ 2 )
=2.556/101.255
=2.52 %

where

Invested Capital(Q: Mar. 2017 )
=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))
=70.952 - 12.543 - ( 4.829 - max(0, 53.436 - 8.398+4.829))
=103.447

Invested Capital(Q: Jun. 2017 )
=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))
=67.481 - 12.142 - ( 5.223 - max(0, 52.226 - 8.502+5.223))
=99.063

Note: The Operating Income data used here is four times the quarterly (Jun. 2017) data.

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

Granite City Food & Brewery's annualized ROC (Joel Greenblatt) % for the quarter that ended in Jun. 2017 is calculated as:

ROC (Joel Greenblatt) %(Q: Jun. 2017 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Mar. 2017  Q: Jun. 2017
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=1.928/( ( (47.888 + max(-9.367, 0)) + (45.017 + max(-9.241, 0)) )/ 2 )
=1.928/( ( 47.888 + 45.017 )/ 2 )
=1.928/46.4525
=4.15 %

where Working Capital is:

Working Capital(Q: Mar. 2017 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(0 + 1.858 + 1.711) - (12.543 + 0.393 + 0)
=-9.367

Working Capital(Q: Jun. 2017 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(0 + 1.872 + 1.407) - (12.142 + 0.378 + 0)
=-9.241

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Jun. 2017) EBIT data.

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

Granite City Food & Brewery's Operating Margin % for the quarter that ended in Jun. 2017 is calculated as:

Operating Margin %=Operating Income (Q: Jun. 2017 )/Revenue (Q: Jun. 2017 )
=0.639/36.811
=1.74 %

* 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.

Granite City Food & Brewery Operating Income Related Terms

Granite City Food & Brewery Operating Income Historical Data

* Premium members only.

The historical data trend for Granite City Food & Brewery'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.

Granite City Food & Brewery Operating Income Chart

Granite City Food & Brewery Annual Data
Trend Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16
Operating Income
Get a 7-Day Free Trial Premium Member Only Premium Member Only 3.11 3.70 1.82 4.17 -0.58

Granite City Food & Brewery Quarterly Data
Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17
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 6.87 -1.27 -1.73 -0.48 0.64

Granite City Food & Brewery 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 Jun. 2017 adds up the quarterly data reported by the company within the most recent 12 months, which was $-2.8 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 $-2.8 Mil mean?
Granite City Food & Brewery (GCFB) has a Operating Income of $-2.8 Mil as of Jun. 2017. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on Granite City Food & Brewery and its competitors.
Is Granite City Food & Brewery's Operating Income too high?
Granite City Food & Brewery's current Operating Income is $-2.8 Mil.
How does Granite City Food & Brewery's Operating Income compare to BDVB and DBUB?
Granite City Food & Brewery's Operating Income of $-2.8 Mil can be compared against companies in the Restaurants 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 Restaurants company?
A good Operating Income depends on the Restaurants 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 Granite City Food & Brewery and its competitors. Granite City Food & Brewery's current Operating Income is $-2.8 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Granite City Food & Brewery stock overvalued right now?
Granite City Food & Brewery (GCFB) has a current Operating Income of $-2.8 Mil. The current Operating Income is $-2.8 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 Granite City Food & Brewery (GCFB), the current Operating Income is $-2.8 Mil as of Jun. 2017. 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.

Granite City Food & Brewery Business Description

Address 12701 Whitewater Drive, Suite 290, Minnetonka, MN, USA, 55343
Granite City Food & Brewery Ltd owns and operates a restaurant with an on-site brewery. The company operates two casual dining concepts which include Granite city food and brewery and Cadillac ranch all American bar and grill. The Granite city restaurant theme is upscale casual dining with a wide variety of menu items, which includes handcrafted beers finished on-site. Cadillac Ranch restaurants feature authentic, cuisine in a fun, dynamic environment. Its menu is diverse with offerings ranging from homemade meatloaf to pasta dishes. It has approximately 36 restaurants in over 10 states. In addition, it also operates a centralized beer production facility in Ellsworth, Iowa which facilitates the initial stages of its brewing process.