Alkhorayef Water & Power Technologies (SAU:2081) Operating Income: ﷼308 Mil (TTM As of Jun. 2026)

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SAU:2081 Alkhorayef Water & Power Technologies SAU:2081
89 GF Score
Price ﷼98.65
GF Value ﷼182.61
Valuation Possible Value Trap
! 8 Warning Signs
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What is Alkhorayef Water & Power Technologies Operating Income?

Alkhorayef Water & Power Technologies SAU:2081 +1.49% 89 Operating Income is ﷼308 Mil as of Jun. 2026. GuruFocus rates SAU:2081 with a GF Score™ of 89/100 and a GF Value™ of ﷼182.61 (Possible Value Trap). The stock has 8 warning signs investors should review.

Alkhorayef Water & Power Technologies's Operating Income for the three months ended in Jun. 2026 was ﷼75 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Jun. 2026 was ﷼308 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Alkhorayef Water & Power Technologies's Operating Income for the three months ended in Jun. 2026 was ﷼75 Mil. Alkhorayef Water & Power Technologies's Revenue for the three months ended in Jun. 2026 was ﷼516 Mil. Therefore, Alkhorayef Water & Power Technologies's Operating Margin % for the quarter that ended in Jun. 2026 was 14.53%.

Warning Sign:

Alkhorayef Water & Power Technologies operating margin has been in a 5-year decline. The average rate of decline per year is -11.3%.

Alkhorayef Water & Power Technologies's 5-Year average Growth Rate for Operating Margin % was -11.30% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Alkhorayef Water & Power Technologies's annualized ROC % for the quarter that ended in Jun. 2026 was 9.69%. Alkhorayef Water & Power Technologies's annualized ROC (Joel Greenblatt) % for the quarter that ended in Jun. 2026 was 100.86%.


Alkhorayef Water & Power Technologies  (SAU:2081) Operating Income Explanation

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

Alkhorayef Water & Power Technologies'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 )
=299.632 * ( 1 - 9.82% )/( (2705.594 + 2870.189)/ 2 )
=270.2081376/2787.8915
=9.69 %

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))
=3188.108 - 227.787 - ( 254.727 - max(0, 1225.113 - 1912.92+254.727))
=2705.594

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))
=3322.947 - 203.789 - ( 248.969 - max(0, 1062.141 - 1937.51+248.969))
=2870.189

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

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

Alkhorayef Water & Power Technologies'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 )
=354.104/( ( (324.593 + max(-18.543, 0)) + (331.911 + max(45.693, 0)) )/ 2 )
=354.104/( ( 324.593 + 377.604 )/ 2 )
=354.104/351.0985
=100.86 %

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)
=(636.806 + 109.673 + 241.437) - (227.787 + 0 + 778.672)
=-18.543

Working Capital(Q: Jun. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(549.213 + 127.887 + 264.91) - (203.789 + 0 + 692.528)
=45.693

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 %:

Alkhorayef Water & Power Technologies'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 )
=74.908/515.645
=14.53 %

* 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.


Alkhorayef Water & Power Technologies Operating Income Related Terms


Alkhorayef Water & Power Technologies Operating Income Historical Data

* Premium members only.

The historical data trend for Alkhorayef Water & Power Technologies'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.

Alkhorayef Water & Power Technologies Operating Income Chart

Alkhorayef Water & Power Technologies Annual Data
Trend Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Operating Income
Get a 7-Day Free Trial 117.76 143.42 204.48 318.45 299.75

Alkhorayef Water & Power Technologies 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 63.22 82.06 75.44 76.08 74.91
SAU:2081
89GF Score
Alkhorayef Water & Power Technologies SAU:2081
Operating Income is just one metric. See GF Score™, valuation, warning signs, and more.
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Alkhorayef Water & Power Technologies 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 ﷼308 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 ﷼308 Mil mean?
Alkhorayef Water & Power Technologies (SAU:2081) has a Operating Income of ﷼308 Mil as of Jun. 2026. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on Alkhorayef Water & Power Technologies and its competitors.
Is Alkhorayef Water & Power Technologies' Operating Income too high?
Alkhorayef Water & Power Technologies' current Operating Income is ﷼308 Mil. Overall, Alkhorayef Water & Power Technologies has a GF Score™ of 89/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Alkhorayef Water & Power Technologies' Operating Income compare to AWK and WTRG?
Alkhorayef Water & Power Technologies' Operating Income of ﷼308 Mil can be compared against companies in the Utilities - Regulated 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 an Utilities - Regulated company?
A good Operating Income depends on the Utilities - Regulated 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 Alkhorayef Water & Power Technologies and its competitors. Alkhorayef Water & Power Technologies's current Operating Income is ﷼308 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Alkhorayef Water & Power Technologies stock overvalued right now?
Based on GuruFocus' analysis, Alkhorayef Water & Power Technologies (SAU:2081) is currently considered Possible Value Trap. The stock's GF Value™ is ﷼182.61, compared to a current price of ﷼98.65 — trading 46% below its estimated fair value. The current Operating Income is ﷼308 Mil. Alkhorayef Water & Power Technologies' overall GF Score™ is 89/100 with 8 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 Alkhorayef Water & Power Technologies (SAU:2081), the current Operating Income is ﷼308 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 Alkhorayef Water & Power Technologies (SAU:2081) Overvalued in 2026?

Based on GuruFocus' analysis, Alkhorayef Water & Power Technologies stock appears to be undervalued. The current stock price of ﷼98.65 is trading 46% below its estimated GF Value™ of ﷼182.61. GuruFocus considers Alkhorayef Water & Power Technologies to be Possible Value Trap.

Key valuation signals for SAU:2081:

  • Operating Income: ﷼308 Mil
  • GF Value™: ﷼182.61 vs. price of ﷼98.65 (46% below fair value)
  • GF Score™: 89/100 with 8 warning signs

No single metric tells the full story. See the SAU:2081 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Alkhorayef Water & Power Technologies Business Description

Address Olaya Street, Post Box No. 13315, As-Sahafah District, Riyadh, SAU, 11595
Alkhorayef Water & Power Technologies is engaged in contracting for buildings, roads, industrial, mechanical, marine and electrical works, cleaning of buildings and cities, operation and maintenance of medical centers, hospitals, airports, and waste disposal, and environmental pollution control. Its business consists of three business divisions: Water segment, Wastewater segment, and the Integrated water solutions segment. The company derives maximum revenue from the Water Segment. The Water Segment of the company represents project and O&M services for Deep waterwalls, Water treatment plants, Water distribution networks, and Firework networks. Geographically, the company operates only in Saudi Arabia.
89GF Score

Get the complete analysis for SAU:2081

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

﷼98.65
Price
﷼182.61
GF Value