Taiyo Kagaku Co (NGO:2902) Operating Income: 円7,079 Mil (TTM As of Mar. 2026)

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NGO:2902 Taiyo Kagaku Co Ltd NGO:2902
79 GF Score
Price 円2,620.00
GF Value 円1,874.46
Valuation Significantly Overvalued
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What is Taiyo Kagaku Co Operating Income?

Taiyo Kagaku Co NGO:2902 -0.30% 79 Operating Income is 円7,079 Mil as of Mar. 2026. GuruFocus rates NGO:2902 with a GF Score™ of 79/100 and a GF Value™ of 円1,874.46 (Significantly Overvalued).

Taiyo Kagaku Co's Operating Income for the six months ended in Mar. 2026 was 円3,470 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was 円7,079 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Taiyo Kagaku Co's Operating Income for the six months ended in Mar. 2026 was 円3,470 Mil. Taiyo Kagaku Co's Revenue for the six months ended in Mar. 2026 was 円26,460 Mil. Therefore, Taiyo Kagaku Co's Operating Margin % for the quarter that ended in Mar. 2026 was 13.12%.

Good Sign:

Taiyo Kagaku Co Ltd operating margin is expanding. Margin expansion is usually a good sign.

Taiyo Kagaku Co's 5-Year average Growth Rate for Operating Margin % was 0.90% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Taiyo Kagaku Co's annualized ROC % for the quarter that ended in Mar. 2026 was 11.24%. Taiyo Kagaku Co's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 20.86%.


Taiyo Kagaku Co  (NGO:2902) Operating Income Explanation

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

Taiyo Kagaku Co'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: Sep. 2025 ) + Invested Capital (Q: Mar. 2026 ))/ count )
=6940.84 * ( 1 - 24% )/( (45852.41 + 48001.921)/ 2 )
=5275.0384/46927.1655
=11.24 %

where

Invested Capital(Q: Sep. 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))
=65088.584 - 6995.775 - ( 12240.399 - max(0, 9794.706 - 35711.22+12240.399))
=45852.41

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))
=69599.665 - 7718.161 - ( 13879.583 - max(0, 10759.525 - 38540.045+13879.583))
=48001.921

Note: The Operating Income data used here is two times the semi-annual (Mar. 2026) data.

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

Taiyo Kagaku Co'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: Sep. 2025  Q: Mar. 2026
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=7796.982/( ( (23302.961 + max(13676.115, 0)) + (23859.412 + max(13900.937, 0)) )/ 2 )
=7796.982/( ( 36979.076 + 37760.349 )/ 2 )
=7796.982/37369.7125
=20.86 %

where Working Capital is:

Working Capital(Q: Sep. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(11458.66 + 10513.617 + 1498.544) - (6995.775 + 0 + 2798.931)
=13676.115

Working Capital(Q: Mar. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(11133.452 + 11734.418 + 1792.592) - (7718.161 + 0 + 3041.364)
=13900.937

When net working capital is negative, 0 is used.

Note: The EBIT data used here is two times the semi-annual (Mar. 2026) EBIT data.

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

Taiyo Kagaku Co'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 )
=3470.42/26460.302
=13.12 %

* 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.


Taiyo Kagaku Co Operating Income Related Terms


Taiyo Kagaku Co Operating Income Historical Data

* Premium members only.

The historical data trend for Taiyo Kagaku Co'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.

Taiyo Kagaku Co Operating Income Chart

Taiyo Kagaku Co Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Operating Income
Get a 7-Day Free Trial Premium Member Only Premium Member Only 4,799.32 4,004.47 4,512.61 6,212.05 7,078.62

Taiyo Kagaku Co Semi-Annual Data
Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25 Mar26
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 2,048.19 2,963.64 3,248.42 3,608.20 3,470.42
NGO:2902
79GF Score
Taiyo Kagaku Co Ltd NGO:2902
Operating Income is just one metric. See GF Score™, valuation, warning signs, and more.
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Taiyo Kagaku Co 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 semi-annually data reported by the company within the most recent 12 months, which was 円7,079 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 円7,079 Mil mean?
Taiyo Kagaku Co (NGO:2902) has a Operating Income of 円7,079 Mil as of Mar. 2026. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on Taiyo Kagaku Co and its competitors.
Is Taiyo Kagaku Co's Operating Income too high?
Taiyo Kagaku Co's current Operating Income is 円7,079 Mil. Overall, Taiyo Kagaku Co has a GF Score™ of 79/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Taiyo Kagaku Co's Operating Income compare to LIN and SHW?
Taiyo Kagaku Co's Operating Income of 円7,079 Mil can be compared against companies in the Chemicals 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 Chemicals company?
A good Operating Income depends on the Chemicals 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 Taiyo Kagaku Co and its competitors. Taiyo Kagaku Co's current Operating Income is 円7,079 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Taiyo Kagaku Co stock overvalued right now?
Based on GuruFocus' analysis, Taiyo Kagaku Co (NGO:2902) is currently considered Significantly Overvalued. The stock's GF Value™ is 円1,874.46, compared to a current price of 円2,620.00 — trading 39.8% above its estimated fair value. The current Operating Income is 円7,079 Mil. Taiyo Kagaku Co's overall GF Score™ is 79/100. 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 Taiyo Kagaku Co (NGO:2902), the current Operating Income is 円7,079 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 Taiyo Kagaku Co (NGO:2902) Overvalued in 2026?

Based on GuruFocus' analysis, Taiyo Kagaku Co stock appears to be overvalued. The current stock price of 円2,620.00 is trading 39.8% above its estimated GF Value™ of 円1,874.46. GuruFocus considers Taiyo Kagaku Co to be Significantly Overvalued.

Key valuation signals for NGO:2902:

  • Operating Income: 円7,079 Mil
  • GF Value™: 円1,874.46 vs. price of 円2,620.00 (39.8% above fair value)
  • GF Score™: 79/100

No single metric tells the full story. See the NGO:2902 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Taiyo Kagaku Co Business Description

Address No. 800 Yamada-cho, Mie Prefecture, Yokkaichi, JPN, 512-1111
Taiyo Kagaku Co Ltd is based in Japan. The company has three reportable segments: the Nutrition Business, the Interface Solutions Business, and the Natural Ingredients Business. The Nutrition Business manufactures and sells functional food ingredients such as catechin (green tea extract), theanine (a functional amino acid), and water-soluble dietary fiber, as well as mineral and vitamin preparations. The Interface Solutions Business manufactures and sells quality improvers such as emulsifiers. The Natural Ingredients Business manufactures and sells food ingredients such as egg products, protein ingredients, ingredients for instant foods, and processed agricultural products, as well as quality improvers and stabilizers.
79GF Score

Get the complete analysis for NGO:2902

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

円2,620.00
Price
円1,874.46
GF Value