Radius Residential Care (NZSE:RAD) Operating Income: NZ$24.0 Mil (TTM As of Mar. 2026)

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NZSE:RAD Radius Residential Care Ltd NZSE:RAD
50 GF Score
Price NZ$0.40
GF Value NZ$0.29
Valuation Significantly Overvalued
! 3 Warning Signs
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What is Radius Residential Care Operating Income?

Radius Residential Care NZSE:RAD +0.63% 50 Operating Income is NZ$24.0 Mil as of Mar. 2026. GuruFocus rates NZSE:RAD with a GF Score™ of 50/100 and a GF Value™ of NZ$0.29 (Significantly Overvalued). The stock has 3 warning signs investors should review.

Radius Residential Care's Operating Income for the six months ended in Mar. 2026 was NZ$12.5 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was NZ$24.0 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Radius Residential Care's Operating Income for the six months ended in Mar. 2026 was NZ$12.5 Mil. Radius Residential Care's Revenue for the six months ended in Mar. 2026 was NZ$103.2 Mil. Therefore, Radius Residential Care's Operating Margin % for the quarter that ended in Mar. 2026 was 12.10%.

Good Sign:

Radius Residential Care Ltd operating margin is expanding. Margin expansion is usually a good sign.

Radius Residential Care's 5-Year average Growth Rate for Operating Margin % was 16.80% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Radius Residential Care's annualized ROC % for the quarter that ended in Mar. 2026 was 2.83%. Radius Residential Care's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 3.72%.

Radius Residential Care  (NZSE:RAD) Operating Income Explanation

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

Radius Residential Care'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 )
=24.954 * ( 1 - 41% )/( (602.334 + 439.251)/ 2 )
=14.72286/520.7925
=2.83 %

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))
=355.949 - 23.743 - ( 2.971 - max(0, 286.327 - 16.199+2.971))
=602.334

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))
=374.393 - 25.904 - ( 2.823 - max(0, 107.154 - 16.392+2.823))
=439.251

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:

Radius Residential Care'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 )
=9.338/( ( (242.21 + max(-69.049, 0)) + (259.621 + max(-21.586, 0)) )/ 2 )
=9.338/( ( 242.21 + 259.621 )/ 2 )
=9.338/250.9155
=3.72 %

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)
=(12.617 + 0.611 + 0) - (23.743 + 1.371 + 57.163)
=-69.049

Working Capital(Q: Mar. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(11.624 + 0.581 + 1.799) - (25.904 + 2.536 + 7.15)
=-21.586

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 %:

Radius Residential Care'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 )
=12.477/103.154
=12.10 %

* 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.

Radius Residential Care Operating Income Related Terms

Radius Residential Care Operating Income Historical Data

* Premium members only.

The historical data trend for Radius Residential Care'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.

Radius Residential Care Operating Income Chart

Radius Residential Care Annual Data
Trend Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Operating Income
Get a 7-Day Free Trial 9.62 8.79 29.02 19.27 23.98

Radius Residential Care Semi-Annual Data
Mar20 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 28.86 7.24 12.03 11.50 12.48
NZSE:RAD
50GF Score
Radius Residential Care Ltd NZSE:RAD
Operating Income is just one metric. See GF Score™, valuation, warning signs, and more.
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Radius Residential Care 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 NZ$24.0 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 NZ$24.0 Mil mean?
Radius Residential Care (NZSE:RAD) has a Operating Income of NZ$24.0 Mil as of Mar. 2026. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on Radius Residential Care and its competitors.
Is Radius Residential Care's Operating Income too high?
Radius Residential Care's current Operating Income is NZ$24.0 Mil. Overall, Radius Residential Care has a GF Score™ of 50/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Radius Residential Care's Operating Income compare to HCA and THC?
Radius Residential Care's Operating Income of NZ$24.0 Mil can be compared against companies in the Healthcare Providers & Services 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 Healthcare Providers & Services company?
A good Operating Income depends on the Healthcare Providers & Services 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 Radius Residential Care and its competitors. Radius Residential Care's current Operating Income is NZ$24.0 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Radius Residential Care stock overvalued right now?
Based on GuruFocus' analysis, Radius Residential Care (NZSE:RAD) is currently considered Significantly Overvalued. The stock's GF Value™ is NZ$0.29, compared to a current price of NZ$0.40 — trading 37.9% above its estimated fair value. The current Operating Income is NZ$24.0 Mil. Radius Residential Care's overall GF Score™ is 50/100 with 3 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 Radius Residential Care (NZSE:RAD), the current Operating Income is NZ$24.0 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 Radius Residential Care (NZSE:RAD) Overvalued in 2026?

Based on GuruFocus' analysis, Radius Residential Care stock appears to be overvalued. The current stock price of NZ$0.40 is trading 37.9% above its estimated GF Value™ of NZ$0.29. GuruFocus considers Radius Residential Care to be Significantly Overvalued.

Key valuation signals for NZSE:RAD:

  • Operating Income: NZ$24.0 Mil
  • GF Value™: NZ$0.29 vs. price of NZ$0.40 (37.9% above fair value)
  • GF Score™: 50/100 with 3 warning signs

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

Radius Residential Care Business Description

Address 56 Parnell Road, Level 4, Parnell, Auckland, NTL, NZL, 1052
Radius Residential Care Ltd is a health and aged care provider for elderly and disabled people. The company provides residential care, hospital care, dementia care, respite care, and palliative care. Additionally, the company offers Young Disabled Care services for those under 65 who require assistance with self-care, mobility, and/or communication. It has one operating segment, being the provision of aged care in New Zealand.
50GF Score

Get the complete analysis for NZSE:RAD

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

NZ$0.40
Price
NZ$0.29
GF Value