GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Travel & Leisure » Langham Hospitality Investments and Langham Hospitality Investments Ltd (HKSE:01270) » Definitions » Operating Income

Langham Hospitality Investments and Langham Hospitality Investments (HKSE:01270) Operating Income : HK$365.3 Mil (TTM As of Dec. 2024)


View and export this data going back to 2013. Start your Free Trial

What is Langham Hospitality Investments and Langham Hospitality Investments Operating Income?

Langham Hospitality Investments and Langham Hospitality Investments's Operating Income for the six months ended in Dec. 2024 was HK$192.4 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2024 was HK$365.3 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Langham Hospitality Investments and Langham Hospitality Investments's Operating Income for the six months ended in Dec. 2024 was HK$192.4 Mil. Langham Hospitality Investments and Langham Hospitality Investments's Revenue for the six months ended in Dec. 2024 was HK$210.6 Mil. Therefore, Langham Hospitality Investments and Langham Hospitality Investments's Operating Margin % for the quarter that ended in Dec. 2024 was 91.35%.

Good Sign:

Langham Hospitality Investments and Langham Hospitality Investments Ltd operating margin is expanding. Margin expansion is usually a good sign.

Langham Hospitality Investments and Langham Hospitality Investments's 5-Year average Growth Rate for Operating Margin % was 1.70% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Langham Hospitality Investments and Langham Hospitality Investments's annualized ROC % for the quarter that ended in Dec. 2024 was 2.15%. Langham Hospitality Investments and Langham Hospitality Investments's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2024 was 8,581.20%.


Langham Hospitality Investments and Langham Hospitality Investments Operating Income Historical Data

The historical data trend for Langham Hospitality Investments and Langham Hospitality Investments'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.

Langham Hospitality Investments and Langham Hospitality Investments Operating Income Chart

Langham Hospitality Investments and Langham Hospitality Investments Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Operating Income
Get a 7-Day Free Trial Premium Member Only Premium Member Only 158.63 189.85 301.16 480.74 365.35

Langham Hospitality Investments and Langham Hospitality Investments Semi-Annual Data
Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24
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 135.89 219.26 261.48 172.92 192.43

Langham Hospitality Investments and Langham Hospitality Investments 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. 2024 adds up the semi-annually data reported by the company within the most recent 12 months, which was HK$365.3 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.


Langham Hospitality Investments and Langham Hospitality Investments  (HKSE:01270) Operating Income Explanation

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

Langham Hospitality Investments and Langham Hospitality Investments's annualized ROC % for the quarter that ended in Dec. 2024 is calculated as:

ROC % (Q: Dec. 2024 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Jun. 2024 ) + Invested Capital (Q: Dec. 2024 ))/ count )
=384.858 * ( 1 - -5.42% )/( (21812.514 + 15931.77)/ 2 )
=405.7173036/18872.142
=2.15 %

where

Invested Capital(Q: Jun. 2024 )
=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))
=15917.245 - 78.056 - ( 167.687 - max(0, 6156.063 - 182.738+167.687))
=21812.514

Invested Capital(Q: Dec. 2024 )
=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))
=16238.344 - 60.156 - ( 293.402 - max(0, 87.18 - 333.598+293.402))
=15931.77

Note: The Operating Income data used here is two times the semi-annual (Dec. 2024) data.

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

Langham Hospitality Investments and Langham Hospitality Investments's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2024 is calculated as:

ROC (Joel Greenblatt) %(Q: Dec. 2024 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Jun. 2024  Q: Dec. 2024
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=670.106/( ( (5.872 + max(-86.533000000001, 0)) + (9.746 + max(-47.107, 0)) )/ 2 )
=670.106/( ( 5.872 + 9.746 )/ 2 )
=670.106/7.809
=8,581.20 %

where Working Capital is:

Working Capital(Q: Jun. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(13.44 + 0 + 0.76999999999998) - (78.056 + 0 + 22.687000000001)
=-86.533000000001

Working Capital(Q: Dec. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(29.417 + 0 + 10.046) - (60.156 + 0 + 26.414)
=-47.107

When net working capital is negative, 0 is used.

Note: The EBIT data used here is two times the semi-annual (Dec. 2024) EBIT data.

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

Langham Hospitality Investments and Langham Hospitality Investments's Operating Margin % for the quarter that ended in Dec. 2024 is calculated as:

Operating Margin %=Operating Income (Q: Dec. 2024 )/Revenue (Q: Dec. 2024 )
=192.429/210.64
=91.35 %

* 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.


Langham Hospitality Investments and Langham Hospitality Investments Operating Income Related Terms

Thank you for viewing the detailed overview of Langham Hospitality Investments and Langham Hospitality Investments's Operating Income provided by GuruFocus.com. Please click on the following links to see related term pages.


Langham Hospitality Investments and Langham Hospitality Investments Business Description

Traded in Other Exchanges
N/A
Address
23 Harbour Road, Suite 2702, 27th Floor, Great Eagle Centre, Wanchai, Hong Kong, HKG
Langham Hospitality Investments and Langham Hospitality Investments Ltd is a holding company involved in the lodging industry. The company operates through three business segments, Langham, Cordis, and Eaton. Langham invests in a portfolio of hotels with a focus on the Asian market. Langham is involved with the food, meeting, and conference space offerings at each hotel. The company generates all of its revenue in Hong Kong.
Executives
Great Eagle Holdings Limited 2201 Interest of corporation controlled by you
Lo Ka Shui 2201 Interest of corporation controlled by you
Hsbc International Trustee Limited 2301 Trustee

Langham Hospitality Investments and Langham Hospitality Investments Headlines

No Headlines