BroadBand Security (TSE:4398) Operating Income: 円318 Mil (TTM As of Dec. 2025)

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TSE:4398 BroadBand Security Inc TSE:4398
84 GF Score
Price 円1,260.00
GF Value 円1,520.13
Valuation Modestly Undervalued
! 2 Warning Signs
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What is BroadBand Security Operating Income?

BroadBand Security TSE:4398 +0.88% 84 Operating Income is 円318 Mil as of Dec. 2025. GuruFocus rates TSE:4398 with a GF Score™ of 84/100 and a GF Value™ of 円1,520.13 (Modestly Undervalued). The stock has 2 warning signs investors should review.

BroadBand Security's Operating Income for the six months ended in Dec. 2025 was 円190 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2025 was 円318 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. BroadBand Security's Operating Income for the six months ended in Dec. 2025 was 円190 Mil. BroadBand Security's Revenue for the six months ended in Dec. 2025 was 円3,248 Mil. Therefore, BroadBand Security's Operating Margin % for the quarter that ended in Dec. 2025 was 5.86%.

Warning Sign:

BroadBand Security Inc operating margin has been in a 5-year decline. The average rate of decline per year is -2.9%.

BroadBand Security's 5-Year average Growth Rate for Operating Margin % was -2.90% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. BroadBand Security's annualized ROC % for the quarter that ended in Dec. 2025 was 11.43%. BroadBand Security's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2025 was 110.99%.


BroadBand Security  (TSE:4398) Operating Income Explanation

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

BroadBand Security's annualized ROC % for the quarter that ended in Dec. 2025 is calculated as:

ROC % (Q: Dec. 2025 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Jun. 2025 ) + Invested Capital (Q: Dec. 2025 ))/ count )
=380.9 * ( 1 - 38.32% )/( (2104.547 + 2007.082)/ 2 )
=234.93912/2055.8145
=11.43 %

where

Invested Capital(Q: Jun. 2025 )
=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))
=3797.848 - 436.509 - ( 1426.41 - max(0, 1304.247 - 2561.039+1426.41))
=2104.547

Invested Capital(Q: Dec. 2025 )
=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))
=3847.528 - 563.237 - ( 1441.735 - max(0, 1285.871 - 2563.08+1441.735))
=2007.082

Note: The Operating Income data used here is two times the semi-annual (Dec. 2025) data.

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

BroadBand Security's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2025 is calculated as:

ROC (Joel Greenblatt) %(Q: Dec. 2025 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Jun. 2025  Q: Dec. 2025
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=373.512/( ( (325.092 + max(-54.751, 0)) + (347.956 + max(-52.53, 0)) )/ 2 )
=373.512/( ( 325.092 + 347.956 )/ 2 )
=373.512/336.524
=110.99 %

where Working Capital is:

Working Capital(Q: Jun. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(647.644 + 31.038 + 455.947) - (436.509 + 0 + 752.871)
=-54.751

Working Capital(Q: Dec. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(747.985 + 26.317 + 347.043) - (563.237 + 0 + 610.638)
=-52.53

When net working capital is negative, 0 is used.

Note: The EBIT data used here is two times the semi-annual (Dec. 2025) EBIT data.

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

BroadBand Security's Operating Margin % for the quarter that ended in Dec. 2025 is calculated as:

Operating Margin %=Operating Income (Q: Dec. 2025 )/Revenue (Q: Dec. 2025 )
=190.45/3247.95
=5.86 %

* 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.


BroadBand Security Operating Income Related Terms


BroadBand Security Operating Income Historical Data

* Premium members only.

The historical data trend for BroadBand Security'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.

BroadBand Security Operating Income Chart

BroadBand Security Annual Data
Trend Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24 Jun25
Operating Income
Get a 7-Day Free Trial Premium Member Only Premium Member Only 210.66 509.00 531.91 689.21 257.91

BroadBand Security Semi-Annual Data
Jun16 Jun17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
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 406.65 282.56 130.60 127.31 190.45
TSE:4398
84GF Score
BroadBand Security Inc TSE:4398
Operating Income is just one metric. See GF Score™, valuation, warning signs, and more.
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BroadBand Security 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. 2025 adds up the semi-annually data reported by the company within the most recent 12 months, which was 円318 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 円318 Mil mean?
BroadBand Security (TSE:4398) has a Operating Income of 円318 Mil as of Dec. 2025. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on BroadBand Security and its competitors.
Is BroadBand Security's Operating Income too high?
BroadBand Security's current Operating Income is 円318 Mil. Overall, BroadBand Security has a GF Score™ of 84/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does BroadBand Security's Operating Income compare to IBM and ACN?
BroadBand Security's Operating Income of 円318 Mil can be compared against companies in the Software 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 Software company?
A good Operating Income depends on the Software 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 BroadBand Security and its competitors. BroadBand Security's current Operating Income is 円318 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is BroadBand Security stock overvalued right now?
Based on GuruFocus' analysis, BroadBand Security (TSE:4398) is currently considered Modestly Undervalued. The stock's GF Value™ is 円1,520.13, compared to a current price of 円1,260.00 — trading 17.1% below its estimated fair value. The current Operating Income is 円318 Mil. BroadBand Security's overall GF Score™ is 84/100 with 2 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 BroadBand Security (TSE:4398), the current Operating Income is 円318 Mil as of Dec. 2025. 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 BroadBand Security (TSE:4398) Overvalued in 2026?

Based on GuruFocus' analysis, BroadBand Security stock appears to be undervalued. The current stock price of 円1,260.00 is trading 17.1% below its estimated GF Value™ of 円1,520.13. GuruFocus considers BroadBand Security to be Modestly Undervalued.

Key valuation signals for TSE:4398:

  • Operating Income: 円318 Mil
  • GF Value™: 円1,520.13 vs. price of 円1,260.00 (17.1% below fair value)
  • GF Score™: 84/100 with 2 warning signs

No single metric tells the full story. See the TSE:4398 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


BroadBand Security Business Description

Address 8-5-1 Nishi-shinjuku, Shinjuku-ku, Tokyo, JPN, 160-0023
BroadBand Security Inc provides information technology services. The company's services include security consulting, security audit, education/information services, security certificate acquisition, vulnerability diagnosis, managed security service, and secure mail.
84GF Score

Get the complete analysis for TSE:4398

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

円1,260.00
Price
円1,520.13
GF Value