SLDC (Solidus Communications) Operating Income: $-0.31 Mil (TTM As of Nov. 2016)


What is Solidus Communications Operating Income?

Solidus Communications SLDC Operating Income is $-0.31 Mil as of Nov. 2016.

Solidus Communications's Operating Income for the six months ended in Nov. 2016 was $-0.31 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Nov. 2016 was $-0.31 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Solidus Communications's Operating Income for the six months ended in Nov. 2016 was $-0.31 Mil. Solidus Communications's Revenue for the six months ended in Nov. 2016 was $0.15 Mil. Therefore, Solidus Communications's Operating Margin % for the quarter that ended in Nov. 2016 was -203.29%.

Solidus Communications'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. Solidus Communications's annualized ROC % for the quarter that ended in Nov. 2016 was -8.99%. Solidus Communications's annualized ROC (Joel Greenblatt) % for the quarter that ended in Nov. 2016 was 9,611.43%.

Solidus Communications  (OTCPK:SLDC) Operating Income Explanation

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

Solidus Communications's annualized ROC % for the quarter that ended in Nov. 2016 is calculated as:

ROC % (Q: Nov. 2016 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Nov. 2015 ) + Invested Capital (Q: Nov. 2016 ))/ count )
=-0.309 * ( 1 - 0% )/( (3.974 + 2.897)/ 2 )
=-0.309/3.4355
=-8.99 %

where

Invested Capital(Q: Nov. 2015 )
=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))
=0.057 - 2.16 - ( 0.008 - max(0, 6.113 - 0.036+0.008))
=3.974

Invested Capital(Q: Nov. 2016 )
=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))
=0.097 - 2.287 - ( 0.021 - max(0, 5.162 - 0.075+0.021))
=2.897

Note: The Operating Income data used here is one times the annual (Nov. 2016) data.

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

Solidus Communications's annualized ROC (Joel Greenblatt) % for the quarter that ended in Nov. 2016 is calculated as:

ROC (Joel Greenblatt) %(Q: Nov. 2016 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Nov. 2015  Q: Nov. 2016
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=1.682/( ( (0.015 + max(-3.456, 0)) + (0.02 + max(-2.366, 0)) )/ 2 )
=1.682/( ( 0.015 + 0.02 )/ 2 )
=1.682/0.0175
=9,611.43 %

where Working Capital is:

Working Capital(Q: Nov. 2015 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(0.003 + 0 + 0.025) - (2.16 + 0 + 1.324)
=-3.456

Working Capital(Q: Nov. 2016 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(0.003 + 0 + 0.051) - (2.287 + 0 + 0.133)
=-2.366

When net working capital is negative, 0 is used.

Note: The EBIT data used here is one times the annual (Nov. 2016) EBIT data.

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

Solidus Communications's Operating Margin % for the quarter that ended in Nov. 2016 is calculated as:

Operating Margin %=Operating Income (Q: Nov. 2016 )/Revenue (Q: Nov. 2016 )
=-0.309/0.152
=-203.29 %

* 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.

Solidus Communications Operating Income Related Terms

Solidus Communications Operating Income Historical Data

* Premium members only.

The historical data trend for Solidus Communications'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.

Solidus Communications Operating Income Chart

Solidus Communications Annual Data
Trend Nov07 Nov08 Nov09 Nov10 Nov11 Nov12 Nov13 Nov14 Nov15 Nov16
Operating Income
Get a 7-Day Free Trial Premium Member Only Premium Member Only -0.62 -2.41 -0.36 -0.25 -0.31

Solidus Communications Semi-Annual Data
Nov07 Nov08 Nov09 Nov10 Nov11 Nov12 Nov13 Nov14 Nov15 Nov16
Operating Income Get a 7-Day Free Trial Premium Member Only Premium Member Only -0.62 -2.41 -0.36 -0.25 -0.31

Solidus Communications 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.

For stock reported annually, GuruFocus uses latest annual data as the TTM data. Operating Income for the trailing twelve months (TTM) ended in Nov. 2016 was $-0.31 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 $-0.31 Mil mean?
Solidus Communications (SLDC) has a Operating Income of $-0.31 Mil as of Nov. 2016. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on Solidus Communications and its competitors.
Is Solidus Communications' Operating Income too high?
Solidus Communications' current Operating Income is $-0.31 Mil.
How does Solidus Communications' Operating Income compare to HMMR and DTGI?
Solidus Communications' Operating Income of $-0.31 Mil can be compared against companies in the Telecommunication 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 Telecommunication Services company?
A good Operating Income depends on the Telecommunication 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 Solidus Communications and its competitors. Solidus Communications's current Operating Income is $-0.31 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Solidus Communications stock overvalued right now?
Solidus Communications (SLDC) has a current Operating Income of $-0.31 Mil. The current Operating Income is $-0.31 Mil. 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 Solidus Communications (SLDC), the current Operating Income is $-0.31 Mil as of Nov. 2016. 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.

Solidus Communications Business Description

Address 260 Williamson Boulevard, Unit 731544, Ormond Beach, FL, USA, 32174
Solidus Communications Inc provides Voice over IP, wired and fixed wireless Internet service to home owner communities, and also provides hosting and software design services. The company along with its subsidiaries provides various integrated products and services under the Wireless Florida, WiFIBER, Advanced Satellite Systems, and Air2Land brands to business and residential customers in the United States and internationally. It operates in two segments; Business and Residential. The Company has two subsidiary, Advanced Satellite Systems, Inc., and Illumivation Labs, Inc.