Circle SpA (MIL:CIRC) Operating Income: €2.86 Mil (TTM As of Dec. 2025)


MIL:CIRC Circle SpA MIL:CIRC
85 GF Score
Price €13.95
GF Value €12.23
Valuation Modestly Overvalued
! 7 Warning Signs
View Full Analysis

What is Circle SpA Operating Income?

Circle SpA MIL:CIRC +1.82% 85 Operating Income is €2.86 Mil as of Dec. 2025. GuruFocus rates MIL:CIRC with a GF Score™ of 85/100 and a GF Value™ of €12.23 (Modestly Overvalued). The stock has 7 warning signs investors should review.

Circle SpA's Operating Income for the six months ended in Dec. 2025 was €1.62 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2025 was €2.86 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Circle SpA's Operating Income for the six months ended in Dec. 2025 was €1.62 Mil. Circle SpA's Revenue for the six months ended in Dec. 2025 was €12.01 Mil. Therefore, Circle SpA's Operating Margin % for the quarter that ended in Dec. 2025 was 13.47%.

Good Sign:

Circle SpA operating margin is expanding. Margin expansion is usually a good sign.

Circle SpA's 5-Year average Growth Rate for Operating Margin % was 63.90% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Circle SpA's annualized ROC % for the quarter that ended in Dec. 2025 was 25.27%. Circle SpA's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2025 was 37.10%.

Circle SpA  (MIL:CIRC) Operating Income Explanation

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

Circle SpA'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 )
=3.236 * ( 1 - 20.16% )/( (-3.05 + 23.501)/ 2 )
=2.5836224/10.2255
=25.27 %

where

Invested Capital(Q: Jun. 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))
=0 - 3.05 - ( 0 - max(0, 3.05 - 10.913+0))
=-3.05

Invested Capital(Q: Dec. 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))
=32.051 - 4.7 - ( 3.85 - max(0, 12.006 - 21.224+3.85))
=23.501

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:

Circle SpA'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 )
=3.236/( ( (1.519 + max(7.863, 0)) + (1.493 + max(6.571, 0)) )/ 2 )
=3.236/( ( 9.382 + 8.064 )/ 2 )
=3.236/8.723
=37.10 %

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)
=(10.743 + 0.17 + 0) - (3.05 + 0 + 0)
=7.863

Working Capital(Q: Dec. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(12.498 + 0.17 + 4.706) - (4.7 + 0 + 6.103)
=6.571

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 %:

Circle SpA'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 )
=1.618/12.011
=13.47 %

* 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.

Circle SpA Operating Income Related Terms

Circle SpA Operating Income Historical Data

* Premium members only.

The historical data trend for Circle SpA'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.

Circle SpA Operating Income Chart

Circle SpA Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Operating Income
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.55 1.06 2.40 2.11 2.86

Circle SpA Semi-Annual Data
Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 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 Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.84 1.30 0.81 1.25 1.62
MIL:CIRC
85GF Score
Circle SpA MIL:CIRC
Operating Income is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Circle SpA 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 €2.86 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 €2.86 Mil mean?
Circle SpA (MIL:CIRC) has a Operating Income of €2.86 Mil as of Dec. 2025. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on Circle SpA and its competitors.
Is Circle SpA's Operating Income too high?
Circle SpA's current Operating Income is €2.86 Mil. Overall, Circle SpA has a GF Score™ of 85/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Circle SpA's Operating Income compare to IBM and ACN?
Circle SpA's Operating Income of €2.86 Mil can be compared against companies in the Software 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 Software company?
A good Operating Income depends on the Software 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 Circle SpA and its competitors. Circle SpA's current Operating Income is €2.86 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Circle SpA stock overvalued right now?
Based on GuruFocus' analysis, Circle SpA (MIL:CIRC) is currently considered Modestly Overvalued. The stock's GF Value™ is €12.23, compared to a current price of €13.95 — trading 14.1% above its estimated fair value. The current Operating Income is €2.86 Mil. Circle SpA's overall GF Score™ is 85/100 with 7 warning signs 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 Circle SpA (MIL:CIRC), the current Operating Income is €2.86 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 Circle SpA (MIL:CIRC) Overvalued in 2026?

Based on GuruFocus' analysis, Circle SpA stock appears to be overvalued. The current stock price of €13.95 is trading 14.1% above its estimated GF Value™ of €12.23. GuruFocus considers Circle SpA to be Modestly Overvalued.

Key valuation signals for MIL:CIRC:

  • Operating Income: €2.86 Mil
  • GF Value™: €12.23 vs. price of €13.95 (14.1% above fair value)
  • GF Score™: 85/100 with 7 warning signs

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

Circle SpA Business Description

Address Via G. Battista Pergolesi 26, Milan, ITA, 20124
Circle SpA is engaged in providing consulting services, technological solutions, and digital marketing services to companies operating predominantly in the logistics and transportation sectors. It provides strategic consulting services in the fields of port management, logistics, and transport, and also develops software solutions to optimize flow management and improve logistics processes. The company's service offerings in the digital marketing sector include; services for the analysis, identification, and use of multi-channel communication tools for the implementation of digital marketing strategies.
85GF Score

Get the complete analysis for MIL:CIRC

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

€13.95
Price
€12.23
GF Value