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ITUP (Interups) Operating Income : $-1.14 Mil (TTM As of May. 2016)


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What is Interups Operating Income?

Interups's Operating Income for the six months ended in May. 2016 was $-1.14 Mil. Its Operating Income for the trailing twelve months (TTM) ended in May. 2016 was $-1.14 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Interups's Operating Income for the six months ended in May. 2016 was $-1.14 Mil. Interups's Revenue for the six months ended in May. 2016 was $0.05 Mil. Therefore, Interups's Operating Margin % for the quarter that ended in May. 2016 was -2,272.00%.

Interups'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. Interups's annualized ROC % for the quarter that ended in May. 2016 was -276.40%. Interups's annualized ROC (Joel Greenblatt) % for the quarter that ended in May. 2016 was %.


Interups Operating Income Historical Data

The historical data trend for Interups'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.

Interups Operating Income Chart

Interups Annual Data
Trend May12 May13 May14 May15 May16
Operating Income
- -0.02 -0.02 -0.07 -1.14

Interups Semi-Annual Data
May12 May13 May14 May15 May16
Operating Income - -0.02 -0.02 -0.07 -1.14

Interups 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.

For stock reported annually, GuruFocus uses latest annual data as the TTM data. Operating Income for the trailing twelve months (TTM) ended in May. 2016 was $-1.14 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.


Interups  (OTCPK:ITUP) Operating Income Explanation

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

Interups's annualized ROC % for the quarter that ended in May. 2016 is calculated as:

ROC % (Q: May. 2016 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: May. 2015 ) + Invested Capital (Q: May. 2016 ))/ count )
=-1.136 * ( 1 - 0% )/( (0 + 0.411)/ 1 )
=-1.136/0.411
=-276.40 %

where

Note: The Operating Income data used here is one times the annual (May. 2016) data.

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

Interups's annualized ROC (Joel Greenblatt) % for the quarter that ended in May. 2016 is calculated as:

ROC (Joel Greenblatt) %(Q: May. 2016 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: May. 2015  Q: May. 2016
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=-1.136/( ( (0 + max(-0.06, 0)) + (0 + max(-0.797, 0)) )/ 1 )
=-1.136/( ( 0 + 0 )/ 1 )
=-1.136/0
= %

where Working Capital is:

Working Capital(Q: May. 2015 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(0 + 0 + 0) - (0.06 + 0 + 0)
=-0.06

Working Capital(Q: May. 2016 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(0 + 0 + 0.071) - (0.869 + 0 + -0.00099999999999989)
=-0.797

When net working capital is negative, 0 is used.

Note: The EBIT data used here is one times the annual (May. 2016) EBIT data.

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

Interups's Operating Margin % for the quarter that ended in May. 2016 is calculated as:

Operating Margin %=Operating Income (Q: May. 2016 )/Revenue (Q: May. 2016 )
=-1.136/0.05
=-2,272.00 %

* 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.


Interups Operating Income Related Terms

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Interups Business Description

Traded in Other Exchanges
N/A
Address
90 State Street, Suite 700, Office 40, Albany, NY, USA, 12207
Interups Inc is a United States-based company engaged in the business of identifying and investing in business opportunities or transactions either directly or on behalf of its stakeholders, affiliates, associate concerns and clients. It specializes in crafting turnkey solutions involving complex financial and strategic challenges for a diverse set of businesses around the world, including firms, corporations, governments, institutions, partnerships, and individuals. The company also assists emerging and mature but distress clients in their capital, business structuring needs and acquire or invest in them by reviewing, analyzing and modelling various structural alternatives and assisting in their financial and management needs towards growth and turnaround.

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