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Alltronics Holdings (HKSE:00833) Operating Income : HK$168 Mil (TTM As of Dec. 2023)


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What is Alltronics Holdings Operating Income?

Alltronics Holdings's Operating Income for the six months ended in Dec. 2023 was HK$73 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 was HK$168 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Alltronics Holdings's Operating Income for the six months ended in Dec. 2023 was HK$73 Mil. Alltronics Holdings's Revenue for the six months ended in Dec. 2023 was HK$618 Mil. Therefore, Alltronics Holdings's Operating Margin % for the quarter that ended in Dec. 2023 was 11.75%.

Good Sign:

Alltronics Holdings Ltd operating margin is expanding. Margin expansion is usually a good sign.

Alltronics Holdings's 5-Year average Growth Rate for Operating Margin % was 15.30% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Alltronics Holdings's annualized ROC % for the quarter that ended in Dec. 2023 was 20.95%. Alltronics Holdings's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2023 was 43.44%.


Alltronics Holdings Operating Income Historical Data

The historical data trend for Alltronics Holdings'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.

* Premium members only.

Alltronics Holdings Operating Income Chart

Alltronics Holdings Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Operating Income
Get a 7-Day Free Trial Premium Member Only Premium Member Only 81.89 235.64 138.25 197.49 167.76

Alltronics Holdings Semi-Annual Data
Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23
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 67.11 80.87 116.61 95.13 72.62

Alltronics Holdings 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. 2023 adds up the semi-annually data reported by the company within the most recent 12 months, which was HK$168 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.


Alltronics Holdings  (HKSE:00833) Operating Income Explanation

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

Alltronics Holdings's annualized ROC % for the quarter that ended in Dec. 2023 is calculated as:

ROC % (Q: Dec. 2023 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Jun. 2023 ) + Invested Capital (Q: Dec. 2023 ))/ count )
=145.244 * ( 1 - 22.76% )/( (519.504 + 551.374)/ 2 )
=112.1864656/535.439
=20.95 %

where

Invested Capital(Q: Jun. 2023 )
=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))
=1237.736 - 336.438 - ( 381.794 - max(0, 563.613 - 960.604+381.794))
=519.504

Invested Capital(Q: Dec. 2023 )
=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))
=1179.922 - 202.505 - ( 426.043 - max(0, 472.615 - 899.296+426.043))
=551.374

Note: The Operating Income data used here is two times the semi-annual (Dec. 2023) data.

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

Alltronics Holdings's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2023 is calculated as:

ROC (Joel Greenblatt) %(Q: Dec. 2023 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Jun. 2023  Q: Dec. 2023
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=178.844/( ( (228.253 + max(208.539, 0)) + (206.09 + max(180.508, 0)) )/ 2 )
=178.844/( ( 436.792 + 386.598 )/ 2 )
=178.844/411.695
=43.44 %

where Working Capital is:

Working Capital(Q: Jun. 2023 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(220.36 + 312.937 + 11.68) - (336.438 + 0 + 0)
=208.539

Working Capital(Q: Dec. 2023 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(163.971 + 258.661 + 4.9090000000001) - (202.505 + 0 + 44.528)
=180.508

When net working capital is negative, 0 is used.

Note: The EBIT data used here is two times the semi-annual (Dec. 2023) EBIT data.

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

Alltronics Holdings's Operating Margin % for the quarter that ended in Dec. 2023 is calculated as:

Operating Margin %=Operating Income (Q: Dec. 2023 )/Revenue (Q: Dec. 2023 )
=72.622/618.168
=11.75 %

* 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.


Alltronics Holdings Operating Income Related Terms

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Alltronics Holdings (HKSE:00833) Business Description

Traded in Other Exchanges
N/A
Address
18 Whitfield Road, Unit 408, 4th Floor, Citicorp Centre, Causeway Bay, Hong Kong, HKG
Alltronics Holdings Ltd is an investment holding company. The group has three reportable operating segments as follows: Electronic Products, Biodiesel Products and Energy Saving Business. The Electronic Products segment is engaged in the manufacturing and trading of electronic products, plastic moulds, plastic and other components for electronic products. The Biodiesel Products segment is engaged in the trading of biodiesel products in Hong Kong, and the Energy Saving Business segment is involved in the provision of energy-saving business solutions to customers. The majority of its revenue is derived from Electronic Products. Its primary geographic markets include the United States, Hong Kong, Europe, PRC and other overseas countries.
Executives
China Asset Management (hong Kong) Limited 2102 Investment manager
Zhong Guo Hua Rong Zi Chan Guan Li Gu Fen You Xian Gong Si 2201 Interest of corporation controlled by you
Hua Rong Hua Qiao Zi Chan Guan Li Gu Fen You Xian Gong Si 2201 Interest of corporation controlled by you
Lam Yin Kee 2101 Beneficial owner
Yeung Po Wah 2202 Interest of your spouse
Liu Jing 2101 Beneficial owner
Profit International Holdings Limited 2101 Beneficial owner
Lijiang Investment Holdings Limited 2101 Beneficial owner

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