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MHP SE (MHP SE) Operating Income : $244 Mil (TTM As of Jun. 2023)


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What is MHP SE Operating Income?

MHP SE's Operating Income for the three months ended in Jun. 2023 was $68 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Jun. 2023 was $244 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. MHP SE's Operating Income for the three months ended in Jun. 2023 was $68 Mil. MHP SE's Revenue for the three months ended in Jun. 2023 was $809 Mil. Therefore, MHP SE's Operating Margin % for the quarter that ended in Jun. 2023 was 8.39%.

Warning Sign:

MHP SE operating margin has been in a 5-year decline. The average rate of decline per year is -4.6%.

MHP SE's 5-Year average Growth Rate for Operating Margin % was -4.60% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. MHP SE's annualized ROC % for the quarter that ended in Jun. 2023 was 4.44%. MHP SE's annualized ROC (Joel Greenblatt) % for the quarter that ended in Jun. 2023 was 9.65%.


MHP SE Operating Income Historical Data

The historical data trend for MHP SE'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.

MHP SE Operating Income Chart

MHP SE Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Operating Income
Get a 7-Day Free Trial Premium Member Only Premium Member Only 220.88 196.92 512.92 331.00 349.00

MHP SE Quarterly Data
Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 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 99.84 144.34 83.99 67.90 92.00

MHP SE 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 Jun. 2023 adds up the quarterly data reported by the company within the most recent 12 months, which was $244 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.


MHP SE  (GREY:MHPSL) Operating Income Explanation

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

MHP SE's annualized ROC % for the quarter that ended in Jun. 2023 is calculated as:

ROC % (Q: Jun. 2023 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Mar. 2023 ) + Invested Capital (Q: Jun. 2023 ))/ count )
=271.596 * ( 1 - 46.13% )/( (3344.435 + 3251.923)/ 2 )
=146.3087652/3298.179
=4.44 %

where

Invested Capital(Q: Mar. 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))
=3862.71 - 147.746 - ( 370.529 - max(0, 535.636 - 1592.642+370.529))
=3344.435

Invested Capital(Q: Jun. 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))
=3934.664 - 149.147 - ( 533.594 - max(0, 1074.916 - 1642.819+533.594))
=3251.923

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

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

MHP SE's annualized ROC (Joel Greenblatt) % for the quarter that ended in Jun. 2023 is calculated as:

ROC (Joel Greenblatt) %(Q: Jun. 2023 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Mar. 2023  Q: Jun. 2023
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=288.856/( ( (2097.294 + max(936.348, 0)) + (2120.807 + max(831.62, 0)) )/ 2 )
=288.856/( ( 3033.642 + 2952.427 )/ 2 )
=288.856/2993.0345
=9.65 %

where Working Capital is:

Working Capital(Q: Mar. 2023 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(188.451 + 945.279 + 88.383) - (147.746 + 0 + 138.019)
=936.348

Working Capital(Q: Jun. 2023 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(202.422 + 819.126 + 87.677) - (149.147 + 0 + 128.458)
=831.62

When net working capital is negative, 0 is used.

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

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

MHP SE's Operating Margin % for the quarter that ended in Jun. 2023 is calculated as:

Operating Margin %=Operating Income (Q: Jun. 2023 )/Revenue (Q: Jun. 2023 )
=67.899/809.364
=8.39 %

* 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.


MHP SE Operating Income Related Terms

Thank you for viewing the detailed overview of MHP SE's Operating Income provided by GuruFocus.com. Please click on the following links to see related term pages.


MHP SE (MHP SE) Business Description

Traded in Other Exchanges
Address
3-7 Archbishop Makarios III Avenue, EB 1, Nicolaides Sea View City Block AB, Larnaca, CYP, 6017
MHP SE is a Ukraine-based company engaged in the poultry farming business. The company operates in four segments: Poultry & Related Operations, Grain Growing Operations, Meat-Processing & Other Agricultural Operations, and the European Operating Segment. The poultry and related operations integrate all functions related to the production & sale of chicken products, vegetable oil, and mixed fodder. The grain-growing segment comprises the production and sale of grains such as corn, sunflower, soybean, and others. The Meat segment produces and sells sausage & cooked meat, convenience foods, and goods manufactured from cattle and dairy operations. The company generates the majority of its revenue from the poultry and related operations segment.

MHP SE (MHP SE) Headlines

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