Labat Africa (JSE:LAB) Operating Income: R149.9 Mil (TTM As of Nov. 2025)


What is Labat Africa Operating Income?

Labat Africa JSE:LAB Operating Income is R149.9 Mil as of Nov. 2025. The stock has 5 warning signs investors should review.

Labat Africa's Operating Income for the six months ended in Nov. 2025 was R97.9 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Nov. 2025 was R149.9 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Labat Africa's Operating Income for the six months ended in Nov. 2025 was R97.9 Mil. Labat Africa's Revenue for the six months ended in Nov. 2025 was R150.9 Mil. Therefore, Labat Africa's Operating Margin % for the quarter that ended in Nov. 2025 was 64.86%.

Warning Sign:

Labat Africa Ltd operating margin has been in a 5-year decline. The average rate of decline per year is -37.4%.

Labat Africa's 5-Year average Growth Rate for Operating Margin % was -37.40% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Labat Africa's annualized ROC % for the quarter that ended in Nov. 2025 was 36.99%. Labat Africa's annualized ROC (Joel Greenblatt) % for the quarter that ended in Nov. 2025 was 70.00%.

Labat Africa  (JSE:LAB) Operating Income Explanation

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

Labat Africa's annualized ROC % for the quarter that ended in Nov. 2025 is calculated as:

ROC % (Q: Nov. 2025 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: May. 2025 ) + Invested Capital (Q: Nov. 2025 ))/ count )
=195.738 * ( 1 - 26.44% )/( (336.768 + 441.732)/ 2 )
=143.9848728/389.25
=36.99 %

where

Invested Capital(Q: May. 2025 )
=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))
=675.514 - 335.332 - ( 3.414 - max(0, 351.728 - 597.637+3.414))
=336.768

Invested Capital(Q: Nov. 2025 )
=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))
=769.824 - 327.16 - ( 0.932 - max(0, 426.557 - 718.467+0.932))
=441.732

Note: The Operating Income data used here is two times the semi-annual (Nov. 2025) data.

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

Labat Africa's annualized ROC (Joel Greenblatt) % for the quarter that ended in Nov. 2025 is calculated as:

ROC (Joel Greenblatt) %(Q: Nov. 2025 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: May. 2025  Q: Nov. 2025
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=193.864/( ( (9.356 + max(236.9, 0)) + (8.885 + max(298.756, 0)) )/ 2 )
=193.864/( ( 246.256 + 307.641 )/ 2 )
=193.864/276.9485
=70.00 %

where Working Capital is:

Working Capital(Q: May. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(190.439 + 334.93 + 56.44) - (335.332 + 0 + 9.577)
=236.9

Working Capital(Q: Nov. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(301.769 + 360.102 + 52.697) - (327.16 + 0 + 88.652)
=298.756

When net working capital is negative, 0 is used.

Note: The EBIT data used here is two times the semi-annual (Nov. 2025) EBIT data.

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

Labat Africa's Operating Margin % for the quarter that ended in Nov. 2025 is calculated as:

Operating Margin %=Operating Income (Q: Nov. 2025 )/Revenue (Q: Nov. 2025 )
=97.869/150.884
=64.86 %

* 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.

Labat Africa Operating Income Related Terms

Labat Africa Operating Income Historical Data

* Premium members only.

The historical data trend for Labat Africa'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.

Labat Africa Operating Income Chart

Labat Africa Annual Data
Trend Feb14 Feb15 Aug16 Aug17 Aug18 Aug19 Aug20 Aug21 May23 May24
Operating Income
Get a 7-Day Free Trial Premium Member Only Premium Member Only -26.03 -37.17 -49.21 -37.02 -27.20

Labat Africa Semi-Annual Data
Aug15 Aug16 Feb17 Aug17 Feb18 Aug18 Feb19 Aug19 Feb20 Aug20 Feb21 Aug21 Feb22 Nov22 May23 Nov23 May24 Nov24 May25 Nov25
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 7.19 -34.39 7.92 52.01 97.87

Labat Africa 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 Nov. 2025 adds up the semi-annually data reported by the company within the most recent 12 months, which was R149.9 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.

Frequently Asked Questions Learn more about Operating Income →
What does a Operating Income of R149.9 Mil mean?
Labat Africa (JSE:LAB) has a Operating Income of R149.9 Mil as of Nov. 2025. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on Labat Africa and its competitors.
Is Labat Africa's Operating Income too high?
Labat Africa's current Operating Income is R149.9 Mil.
How does Labat Africa's Operating Income compare to ZTS and UTHR?
Labat Africa's Operating Income of R149.9 Mil can be compared against companies in the Drug Manufacturers industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Operating Income for a Drug Manufacturers company?
A good Operating Income depends on the Drug Manufacturers industry context. However, Operating Income should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Operating Income mean?
A high Operating Income can signal that a stock is expensive relative to its fundamentals. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on Labat Africa and its competitors. Labat Africa's current Operating Income is R149.9 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Labat Africa stock overvalued right now?
Based on GuruFocus' analysis, Labat Africa (JSE:LAB) is currently considered Possible Value Trap. The stock's GF Value™ is R0.22, compared to a current price of R0.05 — trading 77.3% below its estimated fair value. The current Operating Income is R149.9 Mil. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Operating Income calculated?
Operating Income is calculated from a company's financial statements. For Labat Africa (JSE:LAB), the current Operating Income is R149.9 Mil as of Nov. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Labat Africa Business Description

Other Exchanges LAO:Germany
Address 75 Maude StreetSandown, The Leonardo 14th Floor, Sandown, Johannesburg, GT, ZAF, 1709
Labat Africa Ltd is an investment holding company. Through its subsidiaries, the company operates in the following segments; Technology, Head office, and Healthcare. The Technology segment manufactures and distributes integrated circuits South African Micro - Electronic Systems. Head office operations provide management services, logistics and seeks further investment opportunities for the Group. The Healthcare segment generates maximum revenue for the company and focusses on medical cannabis industry in South Africa. Geographically, the company carries out its business operations in South Africa.