Southern Cable Group Bhd (XKLS:0225) Operating Income: RM195 Mil (TTM As of Mar. 2026)

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

XKLS:0225 Southern Cable Group Bhd XKLS:0225
83 GF Score
Price RM2.31
GF Value RM1.23
Valuation Significantly Overvalued
! 3 Warning Signs
View Full Analysis

What is Southern Cable Group Bhd Operating Income?

Southern Cable Group Bhd XKLS:0225 83 Operating Income is RM195 Mil as of Mar. 2026. GuruFocus rates XKLS:0225 with a GF Score™ of 83/100 and a GF Value™ of RM1.23 (Significantly Overvalued). The stock has 3 warning signs investors should review.

Southern Cable Group Bhd's Operating Income for the three months ended in Mar. 2026 was RM44 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was RM195 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Southern Cable Group Bhd's Operating Income for the three months ended in Mar. 2026 was RM44 Mil. Southern Cable Group Bhd's Revenue for the three months ended in Mar. 2026 was RM433 Mil. Therefore, Southern Cable Group Bhd's Operating Margin % for the quarter that ended in Mar. 2026 was 10.10%.

Good Sign:

Southern Cable Group Bhd operating margin is expanding. Margin expansion is usually a good sign.

Southern Cable Group Bhd's 5-Year average Growth Rate for Operating Margin % was 18.80% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Southern Cable Group Bhd's annualized ROC % for the quarter that ended in Mar. 2026 was 17.04%. Southern Cable Group Bhd's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 24.01%.


Southern Cable Group Bhd  (XKLS:0225) Operating Income Explanation

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

Southern Cable Group Bhd's annualized ROC % for the quarter that ended in Mar. 2026 is calculated as:

ROC % (Q: Mar. 2026 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Dec. 2025 ) + Invested Capital (Q: Mar. 2026 ))/ count )
=174.728 * ( 1 - 22.93% )/( (778.538 + 802.263)/ 2 )
=134.6628696/790.4005
=17.04 %

where

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))
=1152.785 - 120.216 - ( 254.031 - max(0, 371.317 - 964.437+254.031))
=778.538

Invested Capital(Q: Mar. 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))
=1157.214 - 72.956 - ( 281.995 - max(0, 355.977 - 959.068+281.995))
=802.263

Note: The Operating Income data used here is four times the quarterly (Mar. 2026) data.

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

Southern Cable Group Bhd's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 is calculated as:

ROC (Joel Greenblatt) %(Q: Mar. 2026 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Dec. 2025  Q: Mar. 2026
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=183.504/( ( (187.851 + max(555.096, 0)) + (197.65 + max(587.846, 0)) )/ 2 )
=183.504/( ( 742.947 + 785.496 )/ 2 )
=183.504/764.2215
=24.01 %

where Working Capital is:

Working Capital(Q: Dec. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(450.501 + 210.794 + 48.347) - (120.216 + 0 + 34.33)
=555.096

Working Capital(Q: Mar. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(467.403 + 209.322 + 0.34799999999996) - (72.956 + 0 + 16.271)
=587.846

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Mar. 2026) EBIT data.

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

Southern Cable Group Bhd's Operating Margin % for the quarter that ended in Mar. 2026 is calculated as:

Operating Margin %=Operating Income (Q: Mar. 2026 )/Revenue (Q: Mar. 2026 )
=43.682/432.656
=10.10 %

* 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.


Southern Cable Group Bhd Operating Income Related Terms


Southern Cable Group Bhd Operating Income Historical Data

* Premium members only.

The historical data trend for Southern Cable Group Bhd'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.

Southern Cable Group Bhd Operating Income Chart

Southern Cable Group Bhd Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Operating Income
Get a 7-Day Free Trial Premium Member Only Premium Member Only 17.90 27.48 44.42 98.05 187.76

Southern Cable Group Bhd Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
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 37.03 44.61 49.29 57.39 43.68
XKLS:0225
83GF Score
Southern Cable Group Bhd XKLS:0225
Operating Income is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Southern Cable Group Bhd 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 Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was RM195 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 RM195 Mil mean?
Southern Cable Group Bhd (XKLS:0225) has a Operating Income of RM195 Mil as of Mar. 2026. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on Southern Cable Group Bhd and its competitors.
Is Southern Cable Group Bhd's Operating Income too high?
Southern Cable Group Bhd's current Operating Income is RM195 Mil. Overall, Southern Cable Group Bhd has a GF Score™ of 83/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Southern Cable Group Bhd's Operating Income compare to VRT and BE?
Southern Cable Group Bhd's Operating Income of RM195 Mil can be compared against companies in the Industrial Products 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 an Industrial Products company?
A good Operating Income depends on the Industrial Products 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 Southern Cable Group Bhd and its competitors. Southern Cable Group Bhd's current Operating Income is RM195 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Southern Cable Group Bhd stock overvalued right now?
Based on GuruFocus' analysis, Southern Cable Group Bhd (XKLS:0225) is currently considered Significantly Overvalued. The stock's GF Value™ is RM1.23, compared to a current price of RM2.31 — trading 87.8% above its estimated fair value. The current Operating Income is RM195 Mil. Southern Cable Group Bhd's overall GF Score™ is 83/100 with 3 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 Southern Cable Group Bhd (XKLS:0225), the current Operating Income is RM195 Mil as of Mar. 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 Southern Cable Group Bhd (XKLS:0225) Overvalued in 2026?

Based on GuruFocus' analysis, Southern Cable Group Bhd stock appears to be overvalued. The current stock price of RM2.31 is trading 87.8% above its estimated GF Value™ of RM1.23. GuruFocus considers Southern Cable Group Bhd to be Significantly Overvalued.

Key valuation signals for XKLS:0225:

  • Operating Income: RM195 Mil
  • GF Value™: RM1.23 vs. price of RM2.31 (87.8% above fair value)
  • GF Score™: 83/100 with 3 warning signs

No single metric tells the full story. See the XKLS:0225 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Southern Cable Group Bhd Business Description

Address Lot 42, Jalan Merbau Pulas, Kawasan Perusahaan Kuala Ketil, Kuala Ketil, KDH, MYS, 09300
Southern Cable Group Bhd is a manufacturer of cables and wires. The company's portfolio includes cables and wires used for power distribution and transmission, communications, as well as control and instrumentation applications. Its reportable operating segments are Power cables and wires, Communications cables and wires, Control and instrumentation cables and wires, and Related products and services. A majority of its revenue is generated from the Power cables and wires, which are used in electrical systems for the distribution of power. Geographically, the company generates maximum revenue from its local markets and also exports its products to other regions.
83GF Score

Get the complete analysis for XKLS:0225

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

RM2.31
Price
RM1.23
GF Value