Saudi Pharmaceutical Industries & Medical Appliances (SAU:2070) Operating Income: ﷼311 Mil (TTM As of Jun. 2026)

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SAU:2070 Saudi Pharmaceutical Industries & Medical Appliances Corp SAU:2070
64 GF Score
Price ﷼30.76
GF Value ﷼31.64
Valuation Fairly Valued
! 7 Warning Signs
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What is Saudi Pharmaceutical Industries & Medical Appliances Operating Income?

Saudi Pharmaceutical Industries & Medical Appliances SAU:2070 -0.58% 64 Operating Income is ﷼311 Mil as of Jun. 2026. GuruFocus rates SAU:2070 with a GF Score™ of 64/100 and a GF Value™ of ﷼31.64 (Fairly Valued). The stock has 7 warning signs investors should review.

Saudi Pharmaceutical Industries & Medical Appliances's Operating Income for the three months ended in Jun. 2026 was ﷼91 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Jun. 2026 was ﷼311 Mil.

Warning Sign:

Saudi Pharmaceutical Industries & Medical Appliances Corp has recorded a loss in operating income at least once over the past 3 years.

Operating Margin % is calculated as Operating Income divided by its Revenue. Saudi Pharmaceutical Industries & Medical Appliances's Operating Income for the three months ended in Jun. 2026 was ﷼91 Mil. Saudi Pharmaceutical Industries & Medical Appliances's Revenue for the three months ended in Jun. 2026 was ﷼493 Mil. Therefore, Saudi Pharmaceutical Industries & Medical Appliances's Operating Margin % for the quarter that ended in Jun. 2026 was 18.52%.

Saudi Pharmaceutical Industries & Medical Appliances'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. Saudi Pharmaceutical Industries & Medical Appliances's annualized ROC % for the quarter that ended in Jun. 2026 was 9.91%. Saudi Pharmaceutical Industries & Medical Appliances's annualized ROC (Joel Greenblatt) % for the quarter that ended in Jun. 2026 was 13.71%.


Saudi Pharmaceutical Industries & Medical Appliances  (SAU:2070) Operating Income Explanation

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

Saudi Pharmaceutical Industries & Medical Appliances's annualized ROC % for the quarter that ended in Jun. 2026 is calculated as:

ROC % (Q: Jun. 2026 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Mar. 2026 ) + Invested Capital (Q: Jun. 2026 ))/ count )
=365.128 * ( 1 - 9.86% )/( (3235.055 + 3410.373)/ 2 )
=329.1263792/3322.714
=9.91 %

where

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))
=4270.413 - 693.754 - ( 341.604 - max(0, 1820.148 - 2291.006+341.604))
=3235.055

Invested Capital(Q: Jun. 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))
=4362.512 - 581.318 - ( 370.821 - max(0, 1766.788 - 2387.91+370.821))
=3410.373

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

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

Saudi Pharmaceutical Industries & Medical Appliances's annualized ROC (Joel Greenblatt) % for the quarter that ended in Jun. 2026 is calculated as:

ROC (Joel Greenblatt) %(Q: Jun. 2026 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Mar. 2026  Q: Jun. 2026
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=391.62/( ( (1767.535 + max(1017.631, 0)) + (1767.585 + max(1160.953, 0)) )/ 2 )
=391.62/( ( 2785.166 + 2928.538 )/ 2 )
=391.62/2856.852
=13.71 %

where Working Capital is:

Working Capital(Q: Mar. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(1192.494 + 587.569 + 132.322) - (693.754 + 0 + 201)
=1017.631

Working Capital(Q: Jun. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(1301.157 + 533.406 + 131.942) - (581.318 + 0 + 224.234)
=1160.953

When net working capital is negative, 0 is used.

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

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

Saudi Pharmaceutical Industries & Medical Appliances's Operating Margin % for the quarter that ended in Jun. 2026 is calculated as:

Operating Margin %=Operating Income (Q: Jun. 2026 )/Revenue (Q: Jun. 2026 )
=91.282/492.863
=18.52 %

* 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.


Saudi Pharmaceutical Industries & Medical Appliances Operating Income Related Terms


Saudi Pharmaceutical Industries & Medical Appliances Operating Income Historical Data

* Premium members only.

The historical data trend for Saudi Pharmaceutical Industries & Medical Appliances'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.

Saudi Pharmaceutical Industries & Medical Appliances Operating Income Chart

Saudi Pharmaceutical Industries & Medical Appliances Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Operating Income
Get a 7-Day Free Trial Premium Member Only Premium Member Only 40.58 -97.71 46.49 157.71 247.87

Saudi Pharmaceutical Industries & Medical Appliances Quarterly Data
Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
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 52.78 56.99 59.78 103.21 91.28
SAU:2070
64GF Score
Saudi Pharmaceutical Industries & Medical Appliances Corp SAU:2070
Operating Income is just one metric. See GF Score™, valuation, warning signs, and more.
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Saudi Pharmaceutical Industries & Medical Appliances 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 Jun. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was ﷼311 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 ﷼311 Mil mean?
Saudi Pharmaceutical Industries & Medical Appliances (SAU:2070) has a Operating Income of ﷼311 Mil as of Jun. 2026. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on Saudi Pharmaceutical Industries & Medical Appliances and its competitors.
Is Saudi Pharmaceutical Industries & Medical Appliances' Operating Income too high?
Saudi Pharmaceutical Industries & Medical Appliances' current Operating Income is ﷼311 Mil. Overall, Saudi Pharmaceutical Industries & Medical Appliances has a GF Score™ of 64/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Saudi Pharmaceutical Industries & Medical Appliances' Operating Income compare to ZTS and UTHR?
Saudi Pharmaceutical Industries & Medical Appliances' Operating Income of ﷼311 Mil can be compared against companies in the Drug Manufacturers 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 Drug Manufacturers company?
A good Operating Income depends on the Drug Manufacturers 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 Saudi Pharmaceutical Industries & Medical Appliances and its competitors. Saudi Pharmaceutical Industries & Medical Appliances's current Operating Income is ﷼311 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Saudi Pharmaceutical Industries & Medical Appliances stock overvalued right now?
Based on GuruFocus' analysis, Saudi Pharmaceutical Industries & Medical Appliances (SAU:2070) is currently considered Fairly Valued. The stock's GF Value™ is ﷼31.64, compared to a current price of ﷼30.76 — trading 2.8% below its estimated fair value. The current Operating Income is ﷼311 Mil. Saudi Pharmaceutical Industries & Medical Appliances' overall GF Score™ is 64/100 with 7 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 Saudi Pharmaceutical Industries & Medical Appliances (SAU:2070), the current Operating Income is ﷼311 Mil as of Jun. 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 Saudi Pharmaceutical Industries & Medical Appliances (SAU:2070) Overvalued in 2026?

Based on GuruFocus' analysis, Saudi Pharmaceutical Industries & Medical Appliances stock appears to be undervalued. The current stock price of ﷼30.76 is trading 2.8% below its estimated GF Value™ of ﷼31.64. GuruFocus considers Saudi Pharmaceutical Industries & Medical Appliances to be Fairly Valued.

Key valuation signals for SAU:2070:

  • Operating Income: ﷼311 Mil
  • GF Value™: ﷼31.64 vs. price of ﷼30.76 (2.8% below fair value)
  • GF Score™: 64/100 with 7 warning signs

No single metric tells the full story. See the SAU:2070 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Saudi Pharmaceutical Industries & Medical Appliances Business Description

Address King Abdul Aziz Road, Industrial City of Al-Qassim, Buraidah, SAU
Saudi Pharmaceutical Industries & Medical Appliances Corp is involved in the manufacturing of basic chemical substances and products; medicines for human use, including cosmetics; pharmaceutical production and wholesale and retail of medicines and related products; development and marketing of medicinal and pharmaceutical products; research and development in medical science activities; operating and maintaining the healthcare facilities and any investments in related industries. The segments of the company are Pharmaceutical Manufacturing, Trading and Distribution services, and Healthcare Services, out of which the company derives maximum revenue from the Pharmaceutical Manufacturing segment. Its geographical segments are Saudi Arabia, Egypt, the Middle East, Morocco, and Algeria.
64GF Score

Get the complete analysis for SAU:2070

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

﷼30.76
Price
﷼31.64
GF Value