HPP Holdings Bhd (XKLS:0228) Operating Income: RM8.10 Mil (TTM As of May. 2026)

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XKLS:0228 HPP Holdings Bhd XKLS:0228
40 GF Score
Price RM0.27
GF Value RM0.42
Valuation Possible Value Trap
! 3 Warning Signs
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What is HPP Holdings Bhd Operating Income?

HPP Holdings Bhd XKLS:0228 40 Operating Income is RM8.10 Mil as of May. 2026. GuruFocus rates XKLS:0228 with a GF Score™ of 40/100 and a GF Value™ of RM0.42 (Possible Value Trap). The stock has 3 warning signs investors should review.

HPP Holdings Bhd's Operating Income for the three months ended in May. 2026 was RM2.06 Mil. Its Operating Income for the trailing twelve months (TTM) ended in May. 2026 was RM8.10 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. HPP Holdings Bhd's Operating Income for the three months ended in May. 2026 was RM2.06 Mil. HPP Holdings Bhd's Revenue for the three months ended in May. 2026 was RM15.50 Mil. Therefore, HPP Holdings Bhd's Operating Margin % for the quarter that ended in May. 2026 was 13.31%.

Warning Sign:

HPP Holdings Bhd operating margin has been in a 5-year decline. The average rate of decline per year is -12.6%.

HPP Holdings Bhd's 5-Year average Growth Rate for Operating Margin % was -12.60% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. HPP Holdings Bhd's annualized ROC % for the quarter that ended in May. 2026 was 5.54%. HPP Holdings Bhd's annualized ROC (Joel Greenblatt) % for the quarter that ended in May. 2026 was 8.02%.


HPP Holdings Bhd  (XKLS:0228) Operating Income Explanation

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

HPP Holdings Bhd's annualized ROC % for the quarter that ended in May. 2026 is calculated as:

ROC % (Q: May. 2026 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Feb. 2026 ) + Invested Capital (Q: May. 2026 ))/ count )
=8.256 * ( 1 - 26.99% )/( (110.025 + 107.638)/ 2 )
=6.0277056/108.8315
=5.54 %

where

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

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

HPP Holdings Bhd's annualized ROC (Joel Greenblatt) % for the quarter that ended in May. 2026 is calculated as:

ROC (Joel Greenblatt) %(Q: May. 2026 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Feb. 2026  Q: May. 2026
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=8.324/( ( (77.988 + max(26.938, 0)) + (77.097 + max(25.473, 0)) )/ 2 )
=8.324/( ( 104.926 + 102.57 )/ 2 )
=8.324/103.748
=8.02 %

where Working Capital is:

Working Capital(Q: Feb. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(23.337 + 8.346 + 2.1) - (6.845 + 0 + 0)
=26.938

Working Capital(Q: May. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(21.912 + 8.405 + 2.701) - (7.545 + 0 + 0)
=25.473

When net working capital is negative, 0 is used.

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

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

HPP Holdings Bhd's Operating Margin % for the quarter that ended in May. 2026 is calculated as:

Operating Margin %=Operating Income (Q: May. 2026 )/Revenue (Q: May. 2026 )
=2.064/15.504
=13.31 %

* 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.


HPP Holdings Bhd Operating Income Related Terms


HPP Holdings Bhd Operating Income Historical Data

* Premium members only.

The historical data trend for HPP Holdings 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.

HPP Holdings Bhd Operating Income Chart

HPP Holdings Bhd Annual Data
Trend May18 May19 May20 May21 May22 May23 May24 May25 May26
Operating Income
Get a 7-Day Free Trial Premium Member Only 11.99 13.75 5.72 4.33 8.10

HPP Holdings Bhd Quarterly Data
Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24 May24 Aug24 Nov24 Feb25 May25 Aug25 Nov25 Feb26 May26
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 2.31 2.47 2.54 1.02 2.06
XKLS:0228
40GF Score
HPP Holdings Bhd XKLS:0228
Operating Income is just one metric. See GF Score™, valuation, warning signs, and more.
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HPP Holdings 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 May. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was RM8.10 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 RM8.10 Mil mean?
HPP Holdings Bhd (XKLS:0228) has a Operating Income of RM8.10 Mil as of May. 2026. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on HPP Holdings Bhd and its competitors.
Is HPP Holdings Bhd's Operating Income too high?
HPP Holdings Bhd's current Operating Income is RM8.10 Mil. Overall, HPP Holdings Bhd has a GF Score™ of 40/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does HPP Holdings Bhd's Operating Income compare to SW and PKG?
HPP Holdings Bhd's Operating Income of RM8.10 Mil can be compared against companies in the Packaging & Containers 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 Packaging & Containers company?
A good Operating Income depends on the Packaging & Containers 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 HPP Holdings Bhd and its competitors. HPP Holdings Bhd's current Operating Income is RM8.10 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is HPP Holdings Bhd stock overvalued right now?
Based on GuruFocus' analysis, HPP Holdings Bhd (XKLS:0228) is currently considered Possible Value Trap. The stock's GF Value™ is RM0.42, compared to a current price of RM0.27 — trading 35.7% below its estimated fair value. The current Operating Income is RM8.10 Mil. HPP Holdings Bhd's overall GF Score™ is 40/100 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 HPP Holdings Bhd (XKLS:0228), the current Operating Income is RM8.10 Mil as of May. 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 HPP Holdings Bhd (XKLS:0228) Overvalued in 2026?

Based on GuruFocus' analysis, HPP Holdings Bhd stock appears to be undervalued. The current stock price of RM0.27 is trading 35.7% below its estimated GF Value™ of RM0.42. GuruFocus considers HPP Holdings Bhd to be Possible Value Trap.

Key valuation signals for XKLS:0228:

  • Operating Income: RM8.10 Mil
  • GF Value™: RM0.42 vs. price of RM0.27 (35.7% below fair value)
  • GF Score™: 40/100 with 3 warning signs

No single metric tells the full story. See the XKLS:0228 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


HPP Holdings Bhd Business Description

Address No. 37, Jalan TTC 29, Taman Teknologi Cheng, Melaka, MLA, MYS, 75250
HPP Holdings Bhd is an investment holding company principally engaged in printing, production, sales, and marketing of paper-based packaging. Its product range includes corrugated and non-corrugated packaging, paper pulp molded packaging, rigid boxes, as well as brochures, leaflets, labels, and paper bags. The company operates in multiple countries, including Malaysia, Thailand, the United States, Singapore, and Taiwan. It serves markets such as consumer electronics, pharmaceuticals, food and beverage, and household products. HPP generates revenue prominently through the sale and provision of packaging solutions.
40GF Score

Get the complete analysis for XKLS:0228

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

RM0.27
Price
RM0.42
GF Value