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Maezawa Industries (TSE:6489) Operating Income : 円4,876 Mil (TTM As of May. 2024)


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What is Maezawa Industries Operating Income?

Maezawa Industries's Operating Income for the three months ended in May. 2024 was 円2,064 Mil. Its Operating Income for the trailing twelve months (TTM) ended in May. 2024 was 円4,876 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Maezawa Industries's Operating Income for the three months ended in May. 2024 was 円2,064 Mil. Maezawa Industries's Revenue for the three months ended in May. 2024 was 円13,038 Mil. Therefore, Maezawa Industries's Operating Margin % for the quarter that ended in May. 2024 was 15.83%.

Good Sign:

Maezawa Industries Inc operating margin is expanding. Margin expansion is usually a good sign.

Maezawa Industries's 5-Year average Growth Rate for Operating Margin % was 22.40% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Maezawa Industries's annualized ROC % for the quarter that ended in May. 2024 was 21.77%. Maezawa Industries's annualized ROC (Joel Greenblatt) % for the quarter that ended in May. 2024 was 43.31%.


Maezawa Industries Operating Income Historical Data

The historical data trend for Maezawa Industries'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.

Maezawa Industries Operating Income Chart

Maezawa Industries Annual Data
Trend May15 May16 May17 May18 May19 May20 May21 May22 May23 May24
Operating Income
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1,778.00 3,221.00 3,038.00 3,226.00 4,876.00

Maezawa Industries Quarterly Data
Aug19 Nov19 Feb20 May20 Aug20 Nov20 Feb21 May21 Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24 May24
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 1,153.00 -476.00 867.00 2,421.00 2,064.00

Maezawa Industries 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 May. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was 円4,876 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.


Maezawa Industries  (TSE:6489) Operating Income Explanation

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

Maezawa Industries's annualized ROC % for the quarter that ended in May. 2024 is calculated as:

ROC % (Q: May. 2024 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Feb. 2024 ) + Invested Capital (Q: May. 2024 ))/ count )
=8256 * ( 1 - 23.29% )/( (31669 + 26516)/ 2 )
=6333.1776/29092.5
=21.77 %

where

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

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

Maezawa Industries's annualized ROC (Joel Greenblatt) % for the quarter that ended in May. 2024 is calculated as:

ROC (Joel Greenblatt) %(Q: May. 2024 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Feb. 2024  Q: May. 2024
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=8232/( ( (6989 + max(15252, 0)) + (7076 + max(8700, 0)) )/ 2 )
=8232/( ( 22241 + 15776 )/ 2 )
=8232/19008.5
=43.31 %

where Working Capital is:

Working Capital(Q: Feb. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(10199 + 8016 + 5191) - (3087 + 0 + 5067)
=15252

Working Capital(Q: May. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(5716 + 6092 + 7037) - (4134 + 0 + 6011)
=8700

When net working capital is negative, 0 is used.

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

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

Maezawa Industries's Operating Margin % for the quarter that ended in May. 2024 is calculated as:

Operating Margin %=Operating Income (Q: May. 2024 )/Revenue (Q: May. 2024 )
=2064/13038
=15.83 %

* 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.


Maezawa Industries Operating Income Related Terms

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Maezawa Industries Business Description

Traded in Other Exchanges
N/A
Address
2-7-2 Yaesu, Chuo-ku, Tokyo, JPN, 104-8351
Maezawa Industries Inc is a provider of water and environmental engineering services. The company manufactures and sells equipment and valves for both water and sewage facilities. Its product portfolio includes Gate valves, Control valves, Butterfly valves, Check valves, Eccentric valves, Air valves, Hydrants, Maintenance valves, ESO valves, Sluice Gates, and environmental systems including water purification, sewage treatment soil purification, and system consultation services. Its water treatment solutions include High-quality water supply, water purification, wastewater treatment, and industrial environment.

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