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TWST (Twist Bioscience) Operating Income : $-175.9 Mil (TTM As of Sep. 2024)


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What is Twist Bioscience Operating Income?

Twist Bioscience's Operating Income for the three months ended in Sep. 2024 was $-36.0 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Sep. 2024 was $-175.9 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Twist Bioscience's Operating Income for the three months ended in Sep. 2024 was $-36.0 Mil. Twist Bioscience's Revenue for the three months ended in Sep. 2024 was $84.7 Mil. Therefore, Twist Bioscience's Operating Margin % for the quarter that ended in Sep. 2024 was -42.55%.

Good Sign:

Twist Bioscience Corp operating margin is expanding. Margin expansion is usually a good sign.

Twist Bioscience's 5-Year average Growth Rate for Operating Margin % was 19.50% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Twist Bioscience's annualized ROC % for the quarter that ended in Sep. 2024 was -44.56%. Twist Bioscience's annualized ROC (Joel Greenblatt) % for the quarter that ended in Sep. 2024 was -77.95%.


Twist Bioscience Operating Income Historical Data

The historical data trend for Twist Bioscience'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.

Twist Bioscience Operating Income Chart

Twist Bioscience Annual Data
Trend Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22 Sep23 Sep24
Operating Income
Get a 7-Day Free Trial Premium Member Only -117.58 -153.26 -249.02 -206.90 -175.90

Twist Bioscience 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 -46.62 -46.98 -48.89 -43.99 -36.04

Twist Bioscience 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 $-175.9 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.


Twist Bioscience  (NAS:TWST) Operating Income Explanation

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

Twist Bioscience'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 )
=-144.172 * ( 1 - 0.28% )/( (326.237 + 319.094)/ 2 )
=-143.7683184/322.6655
=-44.56 %

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))
=638.118 - 23.807 - ( 289.418 - max(0, 73.757 - 361.831+289.418))
=326.237

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))
=614.323 - 19.459 - ( 276.399 - max(0, 71.006 - 346.776+276.399))
=319.094

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

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

Twist Bioscience'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 )
=-138.888/( ( (167.616 + max(13.211, 0)) + (161.349 + max(14.176, 0)) )/ 2 )
=-138.888/( ( 180.827 + 175.525 )/ 2 )
=-138.888/178.176
=-77.95 %

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)
=(31.988 + 28.484 + 11.941) - (23.807 + 2.94 + 32.455)
=13.211

Working Capital(Q: Sep. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(34.903 + 24.078 + 11.396) - (19.459 + 2.131 + 34.611)
=14.176

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 %:

Twist Bioscience'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 )
=-36.043/84.71
=-42.55 %

* 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.


Twist Bioscience Operating Income Related Terms

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Twist Bioscience Business Description

Traded in Other Exchanges
Address
681 Gateway Boulevard, South San Francisco, CA, USA, 94080
Twist Bioscience Corp is a synthetic biology company. It develops a disruptive DNA synthesis platform to industrialize the engineering of biology. The company's DNA synthesis platform utilizes a proprietary semiconductor-based synthetic DNA manufacturing process that synthesizes DNA on silicon instead of on traditional well-plastic plates to enable the production of high-quality synthetic DNA faster and affordable as well as overcomes inefficiencies and powers cost-effective, rapid high-throughput synthesis, enabling researchers to realize opportunities ahead rapidly. Geographically, it derives a majority of its revenue from the United States.
Executives
Robert F. Werner officer: Chief Accounting Officer 2500 FABER PLACE, PALO ALTO CA 94303
Dennis Cho officer: See Remarks C/O TWIST BIOSCIENCE CORPORATION, 681 GATEWAY BLVD., SOUTH SAN FRANCISCO CA 94080
Patrick John Finn officer: VP of Sales and Marketing C/O TWIST BIOSCIENCE CORPORATION, 455 MISSION BAY BOULEVARD SOUTH, SAN FRANCISCO CA 94158
Emily M. Leproust director, officer: President & CEO C/O TWIST BIOSCIENCE CORPORATION, 455 MISSION BAY BOULEVARD SOUTH, SAN FRANCISCO CA 94158
Paula Green officer: VP of Human Resources C/O TWIST BIOSCIENCE CORPORATION, 455 MISSION BAY BOULEVARD SOUTH, SAN FRANCISCO CA 94158
Robert Chess director
William Banyai director, officer: Chief Operating Officer C/O TWIST BIOSCIENCE CORPORATION, 455 MISSION BAY BOULEVARD SOUTH, SAN FRANCISCO CA 94158
Melissa A. Starovasnik director C/O TWIST BIOSCIENCE CORPORATION, 681 GATEWAY BLVD., SOUTH SAN FRANCISCO CA 94080
Jan Johannessen director 5555 NE MOORE CT., HILLSBORO OR 97124
James M Thorburn officer: Chief Financial Officer C/O ZILOG INC, 532 RACE STREET, SAN JOSE CA 95126
Nicolas Barthelemy director 1750 BELLA LAGUNA CT, ENCINITAS CA 92024
Patrick Weiss officer: VP of Operations C/O TWIST BIOSCIENCE CORPORATION, 455 MISSION BAY BOULEVARD SOUTH, SAN FRANCISCO CA 94158
Keith Crandell director 8755 W. HIGGINS ROAD, SUITE 1025, CHICAGO IL 60631
Kevin Bruce Yankton officer: Chief Accounting Officer 1678 S. PIONEER ROAD, SALT LAKE CITY UT 84104
Mark Daniels officer: Chief Compliance Officer & GC C/O TWIST BIOSCIENCE CORPORATION, 455 MISSION BAY BOULEVARD SOUTH, SAN FRANCISCO CA 94158