Natoco Co (TSE:4627) Operating Income: 円1,615 Mil (TTM As of Apr. 2026)

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TSE:4627 Natoco Co Ltd TSE:4627
77 GF Score
Price 円1,779.00
GF Value 円1,644.96
Valuation Fairly Valued
! 5 Warning Signs
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What is Natoco Co Operating Income?

Natoco Co TSE:4627 +0.96% 77 Operating Income is 円1,615 Mil as of Apr. 2026. GuruFocus rates TSE:4627 with a GF Score™ of 77/100 and a GF Value™ of 円1,644.96 (Fairly Valued). The stock has 5 warning signs investors should review.

Natoco Co's Operating Income for the six months ended in Apr. 2026 was 円865 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Apr. 2026 was 円1,615 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Natoco Co's Operating Income for the six months ended in Apr. 2026 was 円865 Mil. Natoco Co's Revenue for the six months ended in Apr. 2026 was 円11,514 Mil. Therefore, Natoco Co's Operating Margin % for the quarter that ended in Apr. 2026 was 7.51%.

Warning Sign:

Natoco Co Ltd operating margin has been in a 5-year decline. The average rate of decline per year is -10.2%.

Natoco Co's 5-Year average Growth Rate for Operating Margin % was -10.20% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Natoco Co's annualized ROC % for the quarter that ended in Apr. 2026 was 7.86%. Natoco Co's annualized ROC (Joel Greenblatt) % for the quarter that ended in Apr. 2026 was 20.24%.


Natoco Co  (TSE:4627) Operating Income Explanation

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

Natoco Co's annualized ROC % for the quarter that ended in Apr. 2026 is calculated as:

ROC % (Q: Apr. 2026 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Oct. 2025 ) + Invested Capital (Q: Apr. 2026 ))/ count )
=1729.5 * ( 1 - 33.15% )/( (14404.743 + 15000.206)/ 2 )
=1156.17075/14702.4745
=7.86 %

where

Invested Capital(Q: Oct. 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))
=31026.918 - 4911.307 - ( 11710.868 - max(0, 5771.071 - 21112.396+11710.868))
=14404.743

Invested Capital(Q: Apr. 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))
=32290.506 - 4560.674 - ( 12729.626 - max(0, 6160.039 - 20735.302+12729.626))
=15000.206

Note: The Operating Income data used here is two times the semi-annual (Apr. 2026) data.

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

Natoco Co's annualized ROC (Joel Greenblatt) % for the quarter that ended in Apr. 2026 is calculated as:

ROC (Joel Greenblatt) %(Q: Apr. 2026 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Oct. 2025  Q: Apr. 2026
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=1965.424/( ( (6851.116 + max(3630.457, 0)) + (7093.241 + max(1845.637, 0)) )/ 2 )
=1965.424/( ( 10481.573 + 8938.878 )/ 2 )
=1965.424/9710.2255
=20.24 %

where Working Capital is:

Working Capital(Q: Oct. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(5423.36 + 2342.624 + 1635.544) - (4911.307 + 0 + 859.764)
=3630.457

Working Capital(Q: Apr. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(3647.755 + 2573.53 + 1784.391) - (4560.674 + 0 + 1599.365)
=1845.637

When net working capital is negative, 0 is used.

Note: The EBIT data used here is two times the semi-annual (Apr. 2026) EBIT data.

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

Natoco Co's Operating Margin % for the quarter that ended in Apr. 2026 is calculated as:

Operating Margin %=Operating Income (Q: Apr. 2026 )/Revenue (Q: Apr. 2026 )
=864.75/11514.147
=7.51 %

* 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.


Natoco Co Operating Income Related Terms


Natoco Co Operating Income Historical Data

* Premium members only.

The historical data trend for Natoco 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.

Natoco Co Operating Income Chart

Natoco Co Annual Data
Trend Oct16 Oct17 Oct18 Oct19 Oct20 Oct21 Oct22 Oct23 Oct24 Oct25
Operating Income
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2,024.18 1,714.89 1,253.33 1,232.32 1,398.05

Natoco Co Semi-Annual Data
Oct16 Apr17 Oct17 Apr18 Oct18 Apr19 Oct19 Apr20 Oct20 Apr21 Oct21 Apr22 Oct22 Apr23 Oct23 Apr24 Oct24 Apr25 Oct25 Apr26
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 402.78 829.55 647.97 750.08 864.75
TSE:4627
77GF Score
Natoco Co Ltd TSE:4627
Operating Income is just one metric. See GF Score™, valuation, warning signs, and more.
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Natoco 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 Apr. 2026 adds up the semi-annually data reported by the company within the most recent 12 months, which was 円1,615 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1,615 Mil mean?
Natoco Co (TSE:4627) has a Operating Income of 円1,615 Mil as of Apr. 2026. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on Natoco Co and its competitors.
Is Natoco Co's Operating Income too high?
Natoco Co's current Operating Income is 円1,615 Mil. Overall, Natoco Co has a GF Score™ of 77/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Natoco Co's Operating Income compare to LIN and SHW?
Natoco Co's Operating Income of 円1,615 Mil can be compared against companies in the Chemicals 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 Chemicals company?
A good Operating Income depends on the Chemicals 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 Natoco Co and its competitors. Natoco Co's current Operating Income is 円1,615 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Natoco Co stock overvalued right now?
Based on GuruFocus' analysis, Natoco Co (TSE:4627) is currently considered Fairly Valued. The stock's GF Value™ is 円1,644.96, compared to a current price of 円1,779.00 — trading 8.1% above its estimated fair value. The current Operating Income is 円1,615 Mil. Natoco Co's overall GF Score™ is 77/100 with 5 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 Natoco Co (TSE:4627), the current Operating Income is 円1,615 Mil as of Apr. 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 Natoco Co (TSE:4627) Overvalued in 2026?

Based on GuruFocus' analysis, Natoco Co stock appears to be overvalued. The current stock price of 円1,779.00 is trading 8.1% above its estimated GF Value™ of 円1,644.96. GuruFocus considers Natoco Co to be Fairly Valued.

Key valuation signals for TSE:4627:

  • Operating Income: 円1,615 Mil
  • GF Value™: 円1,644.96 vs. price of 円1,779.00 (8.1% above fair value)
  • GF Score™: 77/100 with 5 warning signs

No single metric tells the full story. See the TSE:4627 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Natoco Co Business Description

Address 18 Shogayama Uchikoshi-cho, Miyoshi-shi Aichi, Miyoshi, JPN, 470-0213
Natoco Co Ltd is engaged in the business of manufacturing and sales of paints, ink, plastics, and fine chemical products and sales of related products. It also engaged in the collection, transportation, and disposal of industrial waste products. Its other products include such as toning system, general purpose thinner, environment compatible equipment.
77GF Score

Get the complete analysis for TSE:4627

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

円1,779.00
Price
円1,644.96
GF Value