MEGL (Magic Empire Global) Operating Income: $-1.54 Mil (TTM As of Dec. 2025)

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MEGL Magic Empire Global Ltd MEGL
56 GF Score
Price $1.15
GF Value $1.77
Valuation Possible Value Trap
! 1 Warning Sign
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What is Magic Empire Global Operating Income?

Magic Empire Global MEGL +5.50% 56 Operating Income is $-1.54 Mil as of Dec. 2025. GuruFocus rates MEGL with a GF Score™ of 56/100 and a GF Value™ of $1.77 (Possible Value Trap). The stock has 1 warning sign investors should review.

Magic Empire Global's Operating Income for the six months ended in Dec. 2025 was $-0.72 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2025 was $-1.54 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Magic Empire Global's Operating Income for the six months ended in Dec. 2025 was $-0.72 Mil. Magic Empire Global's Revenue for the six months ended in Dec. 2025 was $0.83 Mil. Therefore, Magic Empire Global's Operating Margin % for the quarter that ended in Dec. 2025 was -86.91%.

Magic Empire Global'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. Magic Empire Global's annualized ROC % for the quarter that ended in Dec. 2025 was -153.70%. Magic Empire Global's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2025 was -67.40%.


Magic Empire Global  (NAS:MEGL) Operating Income Explanation

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

Magic Empire Global's annualized ROC % for the quarter that ended in Dec. 2025 is calculated as:

ROC % (Q: Dec. 2025 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Jun. 2025 ) + Invested Capital (Q: Dec. 2025 ))/ count )
=-1.434 * ( 1 - 0% )/( (1.08 + 0.786)/ 2 )
=-1.434/0.933
=-153.70 %

where

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

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

Magic Empire Global's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2025 is calculated as:

ROC (Joel Greenblatt) %(Q: Dec. 2025 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Jun. 2025  Q: Dec. 2025
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=-0.428/( ( (0.584 + max(0.215, 0)) + (0.471 + max(-0.013999999999999, 0)) )/ 2 )
=-0.428/( ( 0.799 + 0.471 )/ 2 )
=-0.428/0.635
=-67.40 %

where Working Capital is:

Working Capital(Q: Jun. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(0.375 + 0 + 0.125) - (0.004 + 0.281 + -5.5511151231258E-17)
=0.215

Working Capital(Q: Dec. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(0.058 + 0 + 0.127) - (0.089 + 0.11 + 5.5511151231258E-17)
=-0.013999999999999

When net working capital is negative, 0 is used.

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

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

Magic Empire Global's Operating Margin % for the quarter that ended in Dec. 2025 is calculated as:

Operating Margin %=Operating Income (Q: Dec. 2025 )/Revenue (Q: Dec. 2025 )
=-0.717/0.825
=-86.91 %

* 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.


Magic Empire Global Operating Income Related Terms


Magic Empire Global Operating Income Historical Data

* Premium members only.

The historical data trend for Magic Empire Global'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.

Magic Empire Global Operating Income Chart

Magic Empire Global Annual Data
Trend Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Operating Income
Get a 7-Day Free Trial 0.22 -0.55 -0.34 -1.32 -1.54

Magic Empire Global Semi-Annual Data
Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
Operating Income Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only -0.19 -0.19 -1.12 -0.82 -0.72
MEGL
56GF Score
Magic Empire Global Ltd MEGL
Operating Income is just one metric. See GF Score™, valuation, warning signs, and more.
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Magic Empire Global 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. 2025 adds up the semi-annually data reported by the company within the most recent 12 months, which was $-1.54 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 $-1.54 Mil mean?
Magic Empire Global (MEGL) has a Operating Income of $-1.54 Mil as of Dec. 2025. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on Magic Empire Global and its competitors.
Is Magic Empire Global's Operating Income too high?
Magic Empire Global's current Operating Income is $-1.54 Mil. Overall, Magic Empire Global has a GF Score™ of 56/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Magic Empire Global's Operating Income compare to ITEX and WAI?
Magic Empire Global's Operating Income of $-1.54 Mil can be compared against companies in the Capital Markets 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 Capital Markets company?
A good Operating Income depends on the Capital Markets 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 Magic Empire Global and its competitors. Magic Empire Global's current Operating Income is $-1.54 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Magic Empire Global stock overvalued right now?
Based on GuruFocus' analysis, Magic Empire Global (MEGL) is currently considered Possible Value Trap. The stock's GF Value™ is $1.77, compared to a current price of $1.15 — trading 35% below its estimated fair value. The current Operating Income is $-1.54 Mil. Magic Empire Global's overall GF Score™ is 56/100 with 1 warning sign to review. 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 Magic Empire Global (MEGL), the current Operating Income is $-1.54 Mil as of Dec. 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.

Is Magic Empire Global (MEGL) Overvalued in 2026?

Based on GuruFocus' analysis, Magic Empire Global stock appears to be undervalued. The current stock price of $1.15 is trading 35% below its estimated GF Value™ of $1.77. GuruFocus considers Magic Empire Global to be Possible Value Trap.

Key valuation signals for MEGL:

  • Operating Income: $-1.54 Mil
  • GF Value™: $1.77 vs. price of $1.15 (35% below fair value)
  • GF Score™: 56/100 with 1 warning sign

No single metric tells the full story. See the MEGL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Magic Empire Global Business Description

Address 3rd Floor, 8 Wyndham Street, Central, Hong Kong, HKG
Magic Empire Global Ltd is a financial services provider in Hong Kong which principally engage in the provision of corporate finance advisory services and underwriting services. The company's offerings mainly comprise of IPO sponsorship services, Financial advisory and independent financial advisory services, Compliance advisory services, Underwriting services, Corporate service.
56GF Score

Get the complete analysis for MEGL

Operating Income is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$1.15
Price
$1.77
GF Value