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Nam Cheong (SGX:1MZ) Operating Income : S$93.3 Mil (TTM As of Dec. 2024)


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What is Nam Cheong Operating Income?

Nam Cheong's Operating Income for the three months ended in Dec. 2024 was S$27.1 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2024 was S$93.3 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Nam Cheong's Operating Income for the three months ended in Dec. 2024 was S$27.1 Mil. Nam Cheong's Revenue for the three months ended in Dec. 2024 was S$53.6 Mil. Therefore, Nam Cheong's Operating Margin % for the quarter that ended in Dec. 2024 was 50.62%.

Nam Cheong'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. Nam Cheong's annualized ROC % for the quarter that ended in Dec. 2024 was 40.63%. Nam Cheong's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2024 was 58.52%.


Nam Cheong Operating Income Historical Data

The historical data trend for Nam Cheong'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.

Nam Cheong Operating Income Chart

Nam Cheong Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Operating Income
Get a 7-Day Free Trial Premium Member Only Premium Member Only -115.10 -0.66 12.98 32.42 87.62

Nam Cheong Quarterly Data
Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24
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 5.65 10.99 24.10 31.08 27.14

Nam Cheong 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 Dec. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was S$93.3 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.


Nam Cheong  (SGX:1MZ) Operating Income Explanation

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

Nam Cheong's annualized ROC % for the quarter that ended in Dec. 2024 is calculated as:

ROC % (Q: Dec. 2024 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Sep. 2024 ) + Invested Capital (Q: Dec. 2024 ))/ count )
=108.572 * ( 1 - -5.34% )/( (260.807 + 302.185)/ 2 )
=114.3697448/281.496
=40.63 %

where

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

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

Nam Cheong's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2024 is calculated as:

ROC (Joel Greenblatt) %(Q: Dec. 2024 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Sep. 2024  Q: Dec. 2024
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=141.712/( ( (195.042 + max(27.447, 0)) + (215.801 + max(46.045, 0)) )/ 2 )
=141.712/( ( 222.489 + 261.846 )/ 2 )
=141.712/242.1675
=58.52 %

where Working Capital is:

Working Capital(Q: Sep. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(79.584 + 11.042 + 6.514) - (61.192 + 0 + 8.501)
=27.447

Working Capital(Q: Dec. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(64.771 + 28.253 + 15.236) - (48.301 + 0 + 13.914)
=46.045

When net working capital is negative, 0 is used.

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

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

Nam Cheong's Operating Margin % for the quarter that ended in Dec. 2024 is calculated as:

Operating Margin %=Operating Income (Q: Dec. 2024 )/Revenue (Q: Dec. 2024 )
=27.143/53.618
=50.62 %

* 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.


Nam Cheong Operating Income Related Terms

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Nam Cheong Business Description

Traded in Other Exchanges
N/A
Address
9 Raffles Place, No. 26-01 Republic Plaza, Singapore, SGP, 048619
Nam Cheong Ltd along is an offshore marine group specializing in the building of offshore support vessels. The company's operating segment includes Shipbuilding; Vessel chartering and others. It generates maximum revenue from the Vessel chartering segment. Geographically, it derives a majority of its revenue from Malaysia. Its fleet comprises Anchor Handling Tug Supply (AHTS) vessels, Platform Supply Vessels (PSV), Maintenance Work Vessels (MWV), Safety Supply Vessels (SSV), and landing crafts.

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