South China Holdings Co (HKSE:00413) Operating Income: HK$-326 Mil (TTM As of Dec. 2025)

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What is South China Holdings Co Operating Income?

South China Holdings Co HKSE:00413 Operating Income is HK$-326 Mil as of Dec. 2025. The stock has 3 warning signs investors should review.

South China Holdings Co's Operating Income for the six months ended in Dec. 2025 was HK$-194 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2025 was HK$-326 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. South China Holdings Co's Operating Income for the six months ended in Dec. 2025 was HK$-194 Mil. South China Holdings Co's Revenue for the six months ended in Dec. 2025 was HK$1,287 Mil. Therefore, South China Holdings Co's Operating Margin % for the quarter that ended in Dec. 2025 was -15.10%.

South China Holdings 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. South China Holdings Co's annualized ROC % for the quarter that ended in Dec. 2025 was -2.96%. South China Holdings Co's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2025 was -610.97%.


South China Holdings Co  (HKSE:00413) Operating Income Explanation

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

South China Holdings 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 )
=-388.686 * ( 1 - 4.91% )/( (13239.902 + 11744.843)/ 2 )
=-369.6015174/12492.3725
=-2.96 %

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))
=13030.995 - 1316.38 - ( 396.699 - max(0, 4635.03 - 3109.743+396.699))
=13239.902

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))
=11547.102 - 1331.475 - ( 227.718 - max(0, 4405.029 - 2875.813+227.718))
=11744.843

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:

South China Holdings 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 )
=-2666.87/( ( (397.455 + max(115.163, 0)) + (360.384 + max(-35.685, 0)) )/ 2 )
=-2666.87/( ( 512.618 + 360.384 )/ 2 )
=-2666.87/436.501
=-610.97 %

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)
=(349.834 + 1080.966 + 0.74299999999994) - (1316.38 + 0 + -9.0949470177293E-13)
=115.163

Working Capital(Q: Dec. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(353.783 + 942.663 + 60.940000000001) - (1331.475 + 0 + 61.596)
=-35.685

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 %:

South China Holdings 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 )
=-194.343/1287.036
=-15.10 %

* 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.


South China Holdings Co Operating Income Related Terms


South China Holdings Co Operating Income Historical Data

* Premium members only.

The historical data trend for South China Holdings 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.

South China Holdings Co Operating Income Chart

South China Holdings Co Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Operating Income
Get a 7-Day Free Trial Premium Member Only Premium Member Only 50.65 211.27 120.15 163.12 -326.44

South China Holdings Co Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
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 173.76 -19.54 182.66 -132.10 -194.34

South China Holdings 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 HK$-326 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 HK$-326 Mil mean?
South China Holdings Co (HKSE:00413) has a Operating Income of HK$-326 Mil as of Dec. 2025. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on South China Holdings Co and its competitors.
Is South China Holdings Co's Operating Income too high?
South China Holdings Co's current Operating Income is HK$-326 Mil.
How does South China Holdings Co's Operating Income compare to AS and HAS?
South China Holdings Co's Operating Income of HK$-326 Mil can be compared against companies in the Travel & Leisure 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 Travel & Leisure company?
A good Operating Income depends on the Travel & Leisure 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 South China Holdings Co and its competitors. South China Holdings Co's current Operating Income is HK$-326 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is South China Holdings Co stock overvalued right now?
Based on GuruFocus' analysis, South China Holdings Co (HKSE:00413) is currently considered Modestly Overvalued. The stock's GF Value™ is HK$0.02, compared to a current price of HK$0.02 — trading 20% above its estimated fair value. The current Operating Income is HK$-326 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 South China Holdings Co (HKSE:00413), the current Operating Income is HK$-326 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.

South China Holdings Co Business Description

Address 1 Garden Road, 28th Floor, Bank of China Tower, Central, Hong Kong, HKG
South China Holdings Co Ltd is a trading and manufacturing company. The company operates its business through four segments, namely Trading and Manufacturing, Property investment and development, Agriculture and forestry, and the Others segment. Its business activities include trading and manufacturing toys, footwear, and leather products, as well as cultivating fruit trees and rearing livestock and aquatic products. It is also engaged in developing properties and investment holding with management functions. The majority of the company's revenues are derived from the Trading and Manufacturing segment. Its geographical segments are the United States of America, Europe, the PRC, including Hong Kong, Japan, and Others. It derives maximum revenue from the USA.