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Selvaag Bolig ASA (OSL:SBO) Operating Income : kr270 Mil (TTM As of Mar. 2024)


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What is Selvaag Bolig ASA Operating Income?

Selvaag Bolig ASA's Operating Income for the three months ended in Mar. 2024 was kr49 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2024 was kr270 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Selvaag Bolig ASA's Operating Income for the three months ended in Mar. 2024 was kr49 Mil. Selvaag Bolig ASA's Revenue for the three months ended in Mar. 2024 was kr628 Mil. Therefore, Selvaag Bolig ASA's Operating Margin % for the quarter that ended in Mar. 2024 was 7.76%.

Warning Sign:

Selvaag Bolig ASA operating margin has been in a 5-year decline. The average rate of decline per year is -15.1%.

Selvaag Bolig ASA's 5-Year average Growth Rate for Operating Margin % was -15.10% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Selvaag Bolig ASA's annualized ROC % for the quarter that ended in Mar. 2024 was 3.83%. Selvaag Bolig ASA's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2024 was 12.08%.


Selvaag Bolig ASA Operating Income Historical Data

The historical data trend for Selvaag Bolig ASA'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.

Selvaag Bolig ASA Operating Income Chart

Selvaag Bolig ASA Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Operating Income
Get a 7-Day Free Trial Premium Member Only Premium Member Only 803.11 463.73 538.61 336.72 315.17

Selvaag Bolig ASA Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 94.19 70.85 28.92 121.21 48.74

Selvaag Bolig ASA 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. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was kr270 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.


Selvaag Bolig ASA  (OSL:SBO) Operating Income Explanation

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

Selvaag Bolig ASA's annualized ROC % for the quarter that ended in Mar. 2024 is calculated as:

ROC % (Q: Mar. 2024 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Dec. 2023 ) + Invested Capital (Q: Mar. 2024 ))/ count )
=194.976 * ( 1 - 16.5% )/( (4349.125 + 4158.149)/ 2 )
=162.80496/4253.637
=3.83 %

where

Invested Capital(Q: Dec. 2023 )
=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))
=4754.411 - 139.472 - ( 265.814 - max(0, 1232.339 - 3551.171+265.814))
=4349.125

Invested Capital(Q: Mar. 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))
=4495.397 - 128.883 - ( 208.365 - max(0, 965.402 - 3281.212+208.365))
=4158.149

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

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

Selvaag Bolig ASA's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2024 is calculated as:

ROC (Joel Greenblatt) %(Q: Mar. 2024 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Dec. 2023  Q: Mar. 2024
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=279.592/( ( (20.062 + max(2368.678, 0)) + (21.002 + max(2218.212, 0)) )/ 2 )
=279.592/( ( 2388.74 + 2239.214 )/ 2 )
=279.592/2313.977
=12.08 %

where Working Capital is:

Working Capital(Q: Dec. 2023 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(60.194 + 3199.454 + 9.3619999999996) - (139.472 + 0 + 760.86)
=2368.678

Working Capital(Q: Mar. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(81.813 + 2967.547 + -4.5474735088646E-13) - (128.883 + 0 + 702.265)
=2218.212

When net working capital is negative, 0 is used.

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

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

Selvaag Bolig ASA's Operating Margin % for the quarter that ended in Mar. 2024 is calculated as:

Operating Margin %=Operating Income (Q: Mar. 2024 )/Revenue (Q: Mar. 2024 )
=48.744/627.741
=7.76 %

* 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.


Selvaag Bolig ASA Operating Income Related Terms

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Selvaag Bolig ASA (OSL:SBO) Business Description

Traded in Other Exchanges
Address
Silurveien 2, Oslo, NOR, 0380
Selvaag Bolig ASA is a residential property developer. The company has several homes under development at any given time and focuses on the growth areas in and around Greater Oslo, Bergen, Stavanger, and Trondheim. Some of its projects are The ski factory, Langhus 1405, Landas, Lorenskog Stasjonsby, and others.

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