NAII (Natural Alternatives International) Operating Income: $-6.1 Mil (TTM As of Mar. 2026)

What is Natural Alternatives International Operating Income?

Natural Alternatives International NAII -3.80% 49 Operating Income is $-6.1 Mil as of Mar. 2026. GuruFocus rates NAII with a GF Score™ of 49/100 and a GF Value™ of $5.30 (Possible Value Trap). The stock has 5 warning signs investors should review.

Natural Alternatives International's Operating Income for the three months ended in Mar. 2026 was $-4.0 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was $-6.1 Mil.

Warning Sign:

Natural Alternatives International Inc had lost money in 83% of the time over the past 12quarters.

Operating Margin % is calculated as Operating Income divided by its Revenue. Natural Alternatives International's Operating Income for the three months ended in Mar. 2026 was $-4.0 Mil. Natural Alternatives International's Revenue for the three months ended in Mar. 2026 was $35.5 Mil. Therefore, Natural Alternatives International's Operating Margin % for the quarter that ended in Mar. 2026 was -11.31%.

Natural Alternatives International'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. Natural Alternatives International's annualized ROC % for the quarter that ended in Mar. 2026 was -12.67%. Natural Alternatives International's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was -13.11%.

Natural Alternatives International (NAS:NAII) Operating Income Explanation

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

Natural Alternatives International's annualized ROC % for the quarter that ended in Mar. 2026 is calculated as:

	ROC % (Q: Mar. 2026 )
=	NOPAT	/	Average Invested Capital
=	Operating Income * ( 1 - Tax Rate % )	/	( (Invested Capital (Q: Dec. 2025 )	+	Invested Capital (Q: Mar. 2026 ))	/ count )
=	-16.056 * ( 1 - 0% )	/	( (129.332	+	124.159)	/ 2 )
=	-16.056	/	126.7455
=	-12.67 %

where

	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	))
=	153.301	-	20.216	-	( 3.753	-	max(0, 32.847	-	61.516	+	3.753	))
=	129.332

	Invested Capital		(Q: Mar. 2026 )
=	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	))
=	154.88	-	21.525	-	( 9.196	-	max(0, 39.125	-	63.995	+	9.196	))
=	124.159

Note: The Operating Income data used here is four times the quarterly (Mar. 2026) data.

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

Natural Alternatives International's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 is calculated as:

	ROC (Joel Greenblatt) %		(Q: Mar. 2026 )
=	EBIT	/	Average of (Net fixed Assets	+	Net Working Capital)
=	EBIT	/	Average of (Property, Plant and Equipment	+	Net Working Capital)
			Q: Dec. 2025		Q: Mar. 2026
=	EBIT	/	( ( (Property, Plant and Equipment + Net Working Capital)	+	(Property, Plant and Equipment + Net Working Capital) )	/	count )
=	-15.892	/	( ( (91.036 + max(33.234, 0))	+	(89.943 + max(28.277, 0)) )	/	2 )
=	-15.892	/	( ( 124.27	+	118.22 )	/	2 )
=	-15.892	/	121.245
=	-13.11 %

where Working Capital is:

	Working Capital		(Q: Dec. 2025 )
=	(Accounts Receivable	+	Total Inventories	+	Other Current Assets)	-	(Accounts Payable & Accrued Expense	+	Defer. Rev.	+	Other Current Liabilities)
=	(17.763	+	33.433	+	6.449)	-	(20.216	+	1.205	+	2.99)
=	33.234

	Working Capital		(Q: Mar. 2026 )
=	(Accounts Receivable	+	Total Inventories	+	Other Current Assets)	-	(Accounts Payable & Accrued Expense	+	Defer. Rev.	+	Other Current Liabilities)
=	(20.588	+	29.934	+	4.208)	-	(21.525	+	1.323	+	3.605)
=	28.277

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Mar. 2026) EBIT data.

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

Natural Alternatives International's Operating Margin % for the quarter that ended in Mar. 2026 is calculated as:

Operating Margin %	=	Operating Income (Q: Mar. 2026 )	/	Revenue (Q: Mar. 2026 )
	=	-4.014	/	35.482
	=	-11.31 %

* 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.

Natural Alternatives International Operating Income Related Terms

Natural Alternatives International Operating Income Historical Data

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The historical data trend for Natural Alternatives International's Operating Income can be seen below:

Natural Alternatives International Operating Income Chart

Natural Alternatives International Annual Data

Trend

Jun16

Jun17

Jun18

Jun19

Jun20

Jun21

Jun22

Jun23

Jun24

Jun25

Operating Income

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13.67

13.68

4.71

-8.53

-7.26

Natural Alternatives International Quarterly Data
	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23	Mar24	Jun24	Sep24	Dec24	Mar25	Jun25	Sep25	Dec25	Mar26
Operating Income	Get a 7-Day Free Trial															-2.10	-0.54	0.28	-1.85	-4.01

49GF Score

Natural Alternatives International Inc NAII

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Natural Alternatives International 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 Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $-6.1 Mil.

Frequently Asked Questions Learn more about Operating Income →

What does a Operating Income of $-6.1 Mil mean?

Natural Alternatives International (NAII) has a Operating Income of $-6.1 Mil as of Mar. 2026. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on Natural Alternatives International and its competitors.

Is Natural Alternatives International's Operating Income too high?

Natural Alternatives International's current Operating Income is $-6.1 Mil. Overall, Natural Alternatives International has a GF Score™ of 49/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.

How does Natural Alternatives International's Operating Income compare to LIMX and FAMI?

Natural Alternatives International's Operating Income of $-6.1 Mil can be compared against companies in the Consumer Packaged Goods 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 Consumer Packaged Goods company?

A good Operating Income depends on the Consumer Packaged Goods 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 Natural Alternatives International and its competitors. Natural Alternatives International's current Operating Income is $-6.1 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.

Is Natural Alternatives International stock overvalued right now?

Based on GuruFocus' analysis, Natural Alternatives International (NAII) is currently considered Possible Value Trap. The stock's GF Value™ is $5.30, compared to a current price of $2.28 — trading 57% below its estimated fair value. The current Operating Income is $-6.1 Mil. Natural Alternatives International's overall GF Score™ is 49/100 with 5 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 Natural Alternatives International (NAII), the current Operating Income is $-6.1 Mil as of Mar. 2026. 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 Natural Alternatives International (NAII) Overvalued in 2026?

Based on GuruFocus' analysis, Natural Alternatives International stock appears to be undervalued. The current stock price of $2.28 is trading 57% below its estimated GF Value™ of $5.30. GuruFocus considers Natural Alternatives International to be Possible Value Trap.

Key valuation signals for NAII:

Operating Income: $-6.1 Mil
GF Value™: $5.30 vs. price of $2.28 (57% below fair value)
GF Score™: 49/100 with 5 warning signs

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

Natural Alternatives International Business Description

Industry Consumer Defensive Consumer Packaged Goods

Comparable Companies LIMX FAMI WYGC COOT JVA CTGL STCB DTEAF MTTCF BABB XSWX:NESN XPAR:BN BOG:NUTRESA TSE:2802 NSE:NESTLEIND SHSE:603288 KHC SHSE:600887 GIS SZSE:300999

Address 1535 Faraday Avenue, Carlsbad, CA, USA, 92008

Website https://www.nai-online.com

Natural Alternatives International Inc is engaged in formulating, manufacturing, and marketing nutritional supplements. It offers vitamins, minerals, herbs, and other supplements, as well as other healthcare products, to customers within the United States and internationally. Its business activity is operated through Private-Label Contract Manufacturing and Patent & Trademark Licensing segments. The company derives the majority of revenue from Private-Label Contract Manufacturing, which is engaged in providing manufacturing services to companies that market and distribute nutritional supplements and other healthcare products, whereas the Patent and Trademark Licensing segment includes royalty income from its license and supply agreements associated with the sale.

49GF Score

Get the complete analysis for NAII

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

$2.28

Price

$5.30

GF Value

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