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Bojun Education Co (HKSE:01758) Operating Income : HK$15.0 Mil (TTM As of Feb. 2024)


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What is Bojun Education Co Operating Income?

Bojun Education Co's Operating Income for the six months ended in Feb. 2024 was HK$31.9 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Feb. 2024 was HK$15.0 Mil.

Warning Sign:

Bojun Education Co Ltd has never been profitable in the past 3 years. It lost money every year.

Operating Margin % is calculated as Operating Income divided by its Revenue. Bojun Education Co's Operating Income for the six months ended in Feb. 2024 was HK$31.9 Mil. Bojun Education Co's Revenue for the six months ended in Feb. 2024 was HK$247.3 Mil. Therefore, Bojun Education Co's Operating Margin % for the quarter that ended in Feb. 2024 was 12.89%.

Bojun Education 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. Bojun Education Co's annualized ROC % for the quarter that ended in Feb. 2024 was 0.75%. Bojun Education Co's annualized ROC (Joel Greenblatt) % for the quarter that ended in Feb. 2024 was 3.12%.


Bojun Education Co Operating Income Historical Data

The historical data trend for Bojun Education 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.

* Premium members only.

Bojun Education Co Operating Income Chart

Bojun Education Co Annual Data
Trend Aug15 Aug16 Aug17 Aug18 Aug19 Aug20 Aug21 Aug22 Aug23
Operating Income
Get a 7-Day Free Trial Premium Member Only 41.62 -36.80 -64.55 -18.88 -27.55

Bojun Education Co Semi-Annual Data
Aug15 Aug16 Feb17 Aug17 Feb18 Aug18 Feb19 Aug19 Feb20 Aug20 Feb21 Aug21 Feb22 Aug22 Feb23 Aug23 Feb24
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 -15.82 -4.04 -11.30 -16.92 31.89

Bojun Education 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 Feb. 2024 adds up the semi-annually data reported by the company within the most recent 12 months, which was HK$15.0 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.


Bojun Education Co  (HKSE:01758) Operating Income Explanation

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

Bojun Education Co's annualized ROC % for the quarter that ended in Feb. 2024 is calculated as:

ROC % (Q: Feb. 2024 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Aug. 2023 ) + Invested Capital (Q: Feb. 2024 ))/ count )
=63.782 * ( 1 - 45.71% )/( (4758.589 + 4534.378)/ 2 )
=34.6272478/4646.4835
=0.75 %

where

Invested Capital(Q: Aug. 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))
=4387.25 - 657.037 - ( 374.173 - max(0, 1725.806 - 697.43+374.173))
=4758.589

Invested Capital(Q: Feb. 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))
=4325.223 - 686.808 - ( 186.626 - max(0, 1355.607 - 459.644+186.626))
=4534.378

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

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

Bojun Education Co's annualized ROC (Joel Greenblatt) % for the quarter that ended in Feb. 2024 is calculated as:

ROC (Joel Greenblatt) %(Q: Feb. 2024 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Aug. 2023  Q: Feb. 2024
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=113.232/( ( (3533.019 + max(-802.486, 0)) + (3717.309 + max(-898.219, 0)) )/ 2 )
=113.232/( ( 3533.019 + 3717.309 )/ 2 )
=113.232/3625.164
=3.12 %

where Working Capital is:

Working Capital(Q: Aug. 2023 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(0 + 0 + 161.954) - (657.037 + 0 + 307.403)
=-802.486

Working Capital(Q: Feb. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(0.32 + 0 + 19.036) - (686.808 + 0 + 230.767)
=-898.219

When net working capital is negative, 0 is used.

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

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

Bojun Education Co's Operating Margin % for the quarter that ended in Feb. 2024 is calculated as:

Operating Margin %=Operating Income (Q: Feb. 2024 )/Revenue (Q: Feb. 2024 )
=31.891/247.349
=12.89 %

* 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.


Bojun Education Co Operating Income Related Terms

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Bojun Education Co (HKSE:01758) Business Description

Traded in Other Exchanges
N/A
Address
No. 209 Sanse Road, Sichuan Province, Jinjiang District, Chengdu, Sichuan, CHN
Bojun Education Co Ltd is engaged in providing private education services. The company operates middle schools, high schools, and kindergartens. Its operating segment includes the provision of high school and for-profit education services; and the provision of education consultancy and management services. The company generates maximum revenue from the education consultancy and management services segment. Geographically, it derives the majority of its revenue from the People's Republic of China.
Executives
Duan Ling 2202 Interest of your spouse
Zhuotai Education Investment Limited 2101 Beneficial owner
Li Yafei 2201 Interest of corporation controlled by you
Cao Youqin 2202 Interest of your spouse
Wang Jinglei 2201 Interest of corporation controlled by you
Act Glory Global Limited 2101 Beneficial owner
Broad Skill Holdings Limited 2101 Beneficial owner
He Jing 2201 Interest of corporation controlled by you
Xu Zhengmiao 2202 Interest of your spouse
Wu Xi Shou Kong Qi Ye Guan Li He Huo Qi Ye You Xian He Huo 2101 Beneficial owner
Hua Sheng Jin Rong Kong Gu You Xian Gong Si 2201 Interest of corporation controlled by you
Hua Sheng Zi Chan Guan Li You Xian Gong Si 2201 Interest of corporation controlled by you
Shou Kong Shen Zhen Gu Quan Tou Zi Ji Jin Guan Li You Xian Gong Si 2201 Interest of corporation controlled by you
Zhong Guo Shou Kong Ji Tuan You Xian Gong Si 2201 Interest of corporation controlled by you
Jin Feng Kong Gu You Xian Gong Si 2201 Interest of corporation controlled by you

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