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Tembo Global Industries (NSE:TEMBO) Operating Income : ₹218 Mil (TTM As of Sep. 2024)


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What is Tembo Global Industries Operating Income?

Tembo Global Industries's Operating Income for the three months ended in Sep. 2024 was ₹141 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Sep. 2024 was ₹218 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Tembo Global Industries's Operating Income for the three months ended in Sep. 2024 was ₹141 Mil. Tembo Global Industries's Revenue for the three months ended in Sep. 2024 was ₹1,638 Mil. Therefore, Tembo Global Industries's Operating Margin % for the quarter that ended in Sep. 2024 was 8.59%.

Warning Sign:

Tembo Global Industries Ltd operating margin has been in a 5-year decline. The average rate of decline per year is -12.7%.

Tembo Global Industries's 5-Year average Growth Rate for Operating Margin % was -12.70% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Tembo Global Industries's annualized ROC % for the quarter that ended in Sep. 2024 was 13.31%. Tembo Global Industries's annualized ROC (Joel Greenblatt) % for the quarter that ended in Sep. 2024 was 36.19%.


Tembo Global Industries Operating Income Historical Data

The historical data trend for Tembo Global Industries'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.

Tembo Global Industries Operating Income Chart

Tembo Global Industries Annual Data
Trend Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
Operating Income
Get a 7-Day Free Trial Premium Member Only Premium Member Only 48.23 59.80 53.01 108.25 162.97

Tembo Global Industries Quarterly Data
Mar15 Mar16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Jun21 Mar22 Jun22 Mar23 Jun23 Sep23 Mar24 Jun24 Sep24
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 34.56 76.82 - 77.56 140.76

Tembo Global Industries 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 Sep. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was ₹218 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.


Tembo Global Industries  (NSE:TEMBO) Operating Income Explanation

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

Tembo Global Industries's annualized ROC % for the quarter that ended in Sep. 2024 is calculated as:

ROC % (Q: Sep. 2024 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Jun. 2024 ) + Invested Capital (Q: Sep. 2024 ))/ count )
=563.04 * ( 1 - 25.24% )/( (0 + 3161.35)/ 1 )
=420.928704/3161.35
=13.31 %

where

Invested Capital(Q: Sep. 2024 )
=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))
=3660.422 - 481.185 - ( 17.887 - max(0, 2511.13 - 2837.626+17.887))
=3161.35

Note: The Operating Income data used here is four times the quarterly (Sep. 2024) data.

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

Tembo Global Industries's annualized ROC (Joel Greenblatt) % for the quarter that ended in Sep. 2024 is calculated as:

ROC (Joel Greenblatt) %(Q: Sep. 2024 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Jun. 2024  Q: Sep. 2024
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=948.024/( ( (0 + max(0, 0)) + (446.479 + max(2172.753, 0)) )/ 1 )
=948.024/( ( 0 + 2619.232 )/ 1 )
=948.024/2619.232
=36.19 %

where Working Capital is:

Working Capital(Q: Jun. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(0 + 0 + 0) - (0 + 0 + 0)
=0

Working Capital(Q: Sep. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(1406.858 + 702.38 + 587.668) - (481.185 + 0 + 42.968)
=2172.753

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Sep. 2024) EBIT data.

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

Tembo Global Industries's Operating Margin % for the quarter that ended in Sep. 2024 is calculated as:

Operating Margin %=Operating Income (Q: Sep. 2024 )/Revenue (Q: Sep. 2024 )
=140.76/1638.457
=8.59 %

* 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.


Tembo Global Industries Operating Income Related Terms

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Tembo Global Industries Business Description

Traded in Other Exchanges
N/A
Address
S Central Road, Plot No. PAP-D - 146/147, TTC Industrial Estate, Opposite Balmer Lawrie Van Leer Co., MIDC, Turbhe, Sanpada Road, Navi Mumbai, MH, IND, 400705
Tembo Global Industries Ltd manufactures and fabricates steel products for its application in Pipe Support Systems, HVAC Systems, Anti-vibration systems and Equipment for Industrial, Commercial, Utility, and OEM Installations. It also manufactures metal and base metal products like G. I. nuts, various types of bolts, clamps, hangers, bathroom pipes, fittings, bathroom accessories and sanitary wares. The company operates in two business segment viz, Manufacturing of Engineering Products and Trading of Fabric and Textile Products. The majority of revenue from operations is derived from the domestic market.

Tembo Global Industries Headlines

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