UTRK (Universal Tracking Solutions) Operating Income: $0.07 Mil (TTM As of Dec. 2011)


What is Universal Tracking Solutions Operating Income?

Universal Tracking Solutions UTRK Operating Income is $0.07 Mil as of Dec. 2011.

Universal Tracking Solutions's Operating Income for the three months ended in Dec. 2011 was $-0.01 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2011 was $0.07 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Universal Tracking Solutions's Operating Income for the three months ended in Dec. 2011 was $-0.01 Mil. Universal Tracking Solutions's Revenue for the three months ended in Dec. 2011 was $0.17 Mil. Therefore, Universal Tracking Solutions's Operating Margin % for the quarter that ended in Dec. 2011 was -4.12%.

Universal Tracking Solutions's 5-Year average Growth Rate for Operating Margin % was 0.00% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Universal Tracking Solutions's annualized ROC % for the quarter that ended in Dec. 2011 was -23.53%. Universal Tracking Solutions's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2011 was -224.00%.

Universal Tracking Solutions  (OTCPK:UTRK) Operating Income Explanation

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

Universal Tracking Solutions's annualized ROC % for the quarter that ended in Dec. 2011 is calculated as:

ROC % (Q: Dec. 2011 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Sep. 2011 ) + Invested Capital (Q: Dec. 2011 ))/ count )
=-0.028 * ( 1 - % )/( (0.121 + 0.117)/ 2 )
=-0.028/0.119
=-23.53 %

where

Invested Capital(Q: Sep. 2011 )
=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))
=0.19 - 0.052 - ( 0.048 - max(0, 0.156 - 0.173+0.048))
=0.121

Invested Capital(Q: Dec. 2011 )
=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))
=0.188 - 0.06 - ( 0.024 - max(0, 0.165 - 0.176+0.024))
=0.117

Note: The Operating Income data used here is four times the quarterly (Dec. 2011) data.

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

Universal Tracking Solutions's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2011 is calculated as:

ROC (Joel Greenblatt) %(Q: Dec. 2011 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Sep. 2011  Q: Dec. 2011
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=-0.028/( ( (0.002 + max(0.005, 0)) + (0.002 + max(0.016, 0)) )/ 2 )
=-0.028/( ( 0.007 + 0.018 )/ 2 )
=-0.028/0.0125
=-224.00 %

where Working Capital is:

Working Capital(Q: Sep. 2011 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(0.122 + 0.002 + 0.001) - (0.052 + 0 + 0.068)
=0.005

Working Capital(Q: Dec. 2011 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(0.148 + 0.004 + 0) - (0.06 + 0 + 0.076)
=0.016

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Dec. 2011) EBIT data.

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

Universal Tracking Solutions's Operating Margin % for the quarter that ended in Dec. 2011 is calculated as:

Operating Margin %=Operating Income (Q: Dec. 2011 )/Revenue (Q: Dec. 2011 )
=-0.007/0.17
=-4.12 %

* 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.

Universal Tracking Solutions Operating Income Related Terms

Universal Tracking Solutions Operating Income Historical Data

* Premium members only.

The historical data trend for Universal Tracking Solutions'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.

Universal Tracking Solutions Operating Income Chart

Universal Tracking Solutions Annual Data
Trend Dec05 Dec06 Dec07 Dec09 Dec10 Dec11
Operating Income
Get a 7-Day Free Trial -0.04 -0.12 -0.02 0.01 0.07

Universal Tracking Solutions Quarterly Data
Mar06 Jun06 Sep06 Dec06 Mar07 Jun07 Sep07 Dec07 Mar08 Jun08 Sep08 Dec09 Mar10 Jun10 Sep10 Dec10 Mar11 Jun11 Sep11 Dec11
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 0.01 -0.01 0.04 0.05 -0.01

Universal Tracking Solutions 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. 2011 adds up the quarterly data reported by the company within the most recent 12 months, which was $0.07 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 $0.07 Mil mean?
Universal Tracking Solutions (UTRK) has a Operating Income of $0.07 Mil as of Dec. 2011. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on Universal Tracking Solutions and its competitors.
Is Universal Tracking Solutions' Operating Income too high?
Universal Tracking Solutions' current Operating Income is $0.07 Mil.
How does Universal Tracking Solutions' Operating Income compare to TRKK and GTXO?
Universal Tracking Solutions' Operating Income of $0.07 Mil can be compared against companies in the Hardware 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 Hardware company?
A good Operating Income depends on the Hardware 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 Universal Tracking Solutions and its competitors. Universal Tracking Solutions's current Operating Income is $0.07 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Universal Tracking Solutions stock overvalued right now?
Universal Tracking Solutions (UTRK) has a current Operating Income of $0.07 Mil. The current Operating Income is $0.07 Mil. 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 Universal Tracking Solutions (UTRK), the current Operating Income is $0.07 Mil as of Dec. 2011. 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.

Universal Tracking Solutions Business Description

Address 1602 N. 21st Street, Tampa, FL, USA, 33605
Universal Tracking Solutions Inc is an application-based solutions provider of telemetry tracking systems. The company specializes in fleet management, law enforcement, and finance applications as well as the motorcycle and auto industries.