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JPP Holding Co (TPE:5284) Operating Income : NT$307 Mil (TTM As of Sep. 2024)


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What is JPP Holding Co Operating Income?

JPP Holding Co's Operating Income for the three months ended in Sep. 2024 was NT$94 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Sep. 2024 was NT$307 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. JPP Holding Co's Operating Income for the three months ended in Sep. 2024 was NT$94 Mil. JPP Holding Co's Revenue for the three months ended in Sep. 2024 was NT$615 Mil. Therefore, JPP Holding Co's Operating Margin % for the quarter that ended in Sep. 2024 was 15.25%.

Good Sign:

JPP Holding Co Ltd operating margin is expanding. Margin expansion is usually a good sign.

JPP Holding Co's 5-Year average Growth Rate for Operating Margin % was 12.90% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. JPP Holding Co's annualized ROC % for the quarter that ended in Sep. 2024 was 12.36%. JPP Holding Co's annualized ROC (Joel Greenblatt) % for the quarter that ended in Sep. 2024 was 4.96%.


JPP Holding Co Operating Income Historical Data

The historical data trend for JPP Holding Co'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.

JPP Holding Co Operating Income Chart

JPP Holding Co 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 137.79 111.78 165.18 322.94 489.41

JPP Holding Co Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
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 170.37 42.12 131.00 40.46 93.83

JPP Holding Co 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 Sep. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was NT$307 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.


JPP Holding Co  (TPE:5284) Operating Income Explanation

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

JPP Holding Co's annualized ROC % for the quarter that ended in Sep. 2024 is calculated as:

ROC % (Q: Sep. 2024 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Jun. 2024 ) + Invested Capital (Q: Sep. 2024 ))/ count )
=375.304 * ( 1 - -23.54% )/( (3422.11 + 4077.89)/ 2 )
=463.6505616/3750
=12.36 %

where

Invested Capital(Q: Jun. 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))
=4161.683 - 675.078 - ( 612.88 - max(0, 1737.234 - 1801.729+612.88))
=3422.11

Invested Capital(Q: Sep. 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))
=4929.341 - 933.761 - ( 386.774 - max(0, 2318.016 - 2235.706+386.774))
=4077.89

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

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

JPP Holding Co's annualized ROC (Joel Greenblatt) % for the quarter that ended in Sep. 2024 is calculated as:

ROC (Joel Greenblatt) %(Q: Sep. 2024 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Jun. 2024  Q: Sep. 2024
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=132.852/( ( (1862.937 + max(464.271, 0)) + (2165.65 + max(861.304, 0)) )/ 2 )
=132.852/( ( 2327.208 + 3026.954 )/ 2 )
=132.852/2677.081
=4.96 %

where Working Capital is:

Working Capital(Q: Jun. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(708.997 + 410.828 + 69.024) - (675.078 + 0 + 49.5)
=464.271

Working Capital(Q: Sep. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(1275.751 + 476.832 + 96.349) - (933.761 + 0 + 53.867)
=861.304

When net working capital is negative, 0 is used.

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

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

JPP Holding Co's Operating Margin % for the quarter that ended in Sep. 2024 is calculated as:

Operating Margin %=Operating Income (Q: Sep. 2024 )/Revenue (Q: Sep. 2024 )
=93.826/615.406
=15.25 %

* 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.


JPP Holding Co Operating Income Related Terms

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JPP Holding Co Business Description

Traded in Other Exchanges
N/A
Address
Songjiang Road, Room 1112, No. 152, Zhongshan District, Taipei City, TWN, 10458
JPP Holding Co Ltd produces various computerized and electronic control products for the aerospace, telecommunication, energy, health care, and manufacturing industries. Its product offerings comprise of Monitor Control Cabinet, Optical Fiber Communication System Cabinet, 3G Telecommunication Cabinet, Flight Control Computer, Mechanical parts for the cockpit electronics of aircraft with a full range of equipment, subsystems, and systems for flight control, navigation, Motion Picture Projector, Surveillance system, Camera internal assembly components, Solar Power AC/DC Power Converter, Medical Display, Surgical Operation Table, Automatic Checkweighers, Metal Detector, Meat Analyzer, and others products. The group operates in the principal geographical areas - Thailand and France.

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