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Dadi Education Holdings (HKSE:08417) Operating Income : HK$1.38 Mil (TTM As of Dec. 2023)


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What is Dadi Education Holdings Operating Income?

Dadi Education Holdings's Operating Income for the three months ended in Dec. 2023 was HK$-2.06 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 was HK$1.38 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Dadi Education Holdings's Operating Income for the three months ended in Dec. 2023 was HK$-2.06 Mil. Dadi Education Holdings's Revenue for the three months ended in Dec. 2023 was HK$1.82 Mil. Therefore, Dadi Education Holdings's Operating Margin % for the quarter that ended in Dec. 2023 was -113.37%.

Warning Sign:

Dadi Education Holdings Ltd operating margin has been in a 5-year decline. The average rate of decline per year is -7.8%.

Dadi Education Holdings's 5-Year average Growth Rate for Operating Margin % was -7.80% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Dadi Education Holdings's annualized ROC % for the quarter that ended in Dec. 2023 was -55.84%. Dadi Education Holdings's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2023 was -70.40%.


Dadi Education Holdings Operating Income Historical Data

The historical data trend for Dadi Education 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.

Dadi Education Holdings Operating Income Chart

Dadi Education Holdings Annual Data
Trend Mar14 Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23
Operating Income
Get a 7-Day Free Trial Premium Member Only Premium Member Only 5.90 6.98 5.34 2.25 2.19

Dadi Education Holdings Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 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 -3.29 3.93 -1.99 1.51 -2.06

Dadi Education 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 quarterly data reported by the company within the most recent 12 months, which was HK$1.38 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.


Dadi Education Holdings  (HKSE:08417) Operating Income Explanation

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

Dadi Education 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: Sep. 2023 ) + Invested Capital (Q: Dec. 2023 ))/ count )
=-8.244 * ( 1 - -3.79% )/( (15.323 + 0)/ 1 )
=-8.5564476/15.323
=-55.84 %

where

Note: The Operating Income data used here is four times the quarterly (Dec. 2023) data.

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

Dadi Education 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: Sep. 2023  Q: Dec. 2023
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=-4.576/( ( (4.3 + max(2.2, 0)) + (0 + max(0, 0)) )/ 1 )
=-4.576/( ( 6.5 + 0 )/ 1 )
=-4.576/6.5
=-70.40 %

where Working Capital is:

Working Capital(Q: Sep. 2023 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(4.873 + 0 + 0.537) - (1.8 + 0 + 1.41)
=2.2

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

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Dec. 2023) EBIT data.

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

Dadi Education 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 )
=-2.061/1.818
=-113.37 %

* 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.


Dadi Education Holdings Operating Income Related Terms

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Dadi Education Holdings (HKSE:08417) Business Description

Traded in Other Exchanges
N/A
Address
7th Floor, 700 Nathan Road, Units Nos. 702 and 703, Mong Kok, Kowloon, Hong Kong, HKG
Dadi Education Holdings Ltd provides overseas studies consultancy services. The company offers secondary education and higher education services to students in the United Kingdom, Australia, and Canada. The firm delivers consultancy services including study locations, academic requirements of study programs, applications for the study programs and accommodation and travelling arrangements among others.
Executives
Song Wen Xia 2101 Beneficial owner
Grand Courage Investments Limited 2101 Beneficial owner
Chung Wang Lung 2101 Beneficial owner
Yin Xiao Pei 2101 Beneficial owner
Leng Lisa Chunying 2101 Beneficial owner
Zeming Pty Limited 2101 Beneficial owner

Dadi Education Holdings (HKSE:08417) Headlines

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