GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Packaging & Containers » HPP Holdings Bhd (XKLS:0228) » Definitions » Operating Income

HPP Holdings Bhd (XKLS:0228) Operating Income : RM7.95 Mil (TTM As of Feb. 2024)


View and export this data going back to 2021. Start your Free Trial

What is HPP Holdings Bhd Operating Income?

HPP Holdings Bhd's Operating Income for the three months ended in Feb. 2024 was RM-0.35 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Feb. 2024 was RM7.95 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. HPP Holdings Bhd's Operating Income for the three months ended in Feb. 2024 was RM-0.35 Mil. HPP Holdings Bhd's Revenue for the three months ended in Feb. 2024 was RM14.35 Mil. Therefore, HPP Holdings Bhd's Operating Margin % for the quarter that ended in Feb. 2024 was -2.45%.

Warning Sign:

HPP Holdings Bhd operating margin has been in a 5-year decline. The average rate of decline per year is -8.9%.

HPP Holdings Bhd's 5-Year average Growth Rate for Operating Margin % was -8.90% 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 Feb. 2024 was -1.97%. HPP Holdings Bhd's annualized ROC (Joel Greenblatt) % for the quarter that ended in Feb. 2024 was -1.46%.


HPP Holdings Bhd Operating Income Historical Data

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.

* Premium members only.

HPP Holdings Bhd Operating Income Chart

HPP Holdings Bhd Annual Data
Trend May18 May19 May20 May21 May22 May23
Operating Income
Get a 7-Day Free Trial 18.18 12.21 17.39 11.99 13.75

HPP Holdings Bhd Quarterly Data
May18 May19 Aug19 May20 Aug20 Nov20 Feb21 May21 Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24
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 2.17 4.24 3.34 0.72 -0.35

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 Feb. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was RM7.95 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.


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 Feb. 2024 is calculated as:

ROC % (Q: Feb. 2024 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Nov. 2023 ) + Invested Capital (Q: Feb. 2024 ))/ count )
=-1.404 * ( 1 - -38.57% )/( (97.998 + 99.169)/ 2 )
=-1.9455228/98.5835
=-1.97 %

where

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

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

HPP Holdings Bhd's annualized ROC (Joel Greenblatt) % for the quarter that ended in Feb. 2024 is calculated as:

ROC (Joel Greenblatt) %(Q: Feb. 2024 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Nov. 2023  Q: Feb. 2024
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=-1.404/( ( (74.168 + max(22.542, 0)) + (78.703 + max(17.472, 0)) )/ 2 )
=-1.404/( ( 96.71 + 96.175 )/ 2 )
=-1.404/96.4425
=-1.46 %

where Working Capital is:

Working Capital(Q: Nov. 2023 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(19.304 + 9.877 + 2.558) - (9.197 + 0 + 0)
=22.542

Working Capital(Q: Feb. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(16.542 + 9.553 + 2.473) - (11.096 + 0 + 0)
=17.472

When net working capital is negative, 0 is used.

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

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

HPP Holdings Bhd's Operating Margin % for the quarter that ended in Feb. 2024 is calculated as:

Operating Margin %=Operating Income (Q: Feb. 2024 )/Revenue (Q: Feb. 2024 )
=-0.351/14.352
=-2.45 %

* 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

Thank you for viewing the detailed overview of HPP Holdings Bhd's Operating Income provided by GuruFocus.com. Please click on the following links to see related term pages.


HPP Holdings Bhd Business Description

Traded in Other Exchanges
N/A
Address
No. 37, Jalan TTC 29, Taman Teknologi Cheng, Melaka, MLA, MYS, 75250
HPP Holdings Bhd is involved in the printing and production of paper-based packing, comprising corrugated and non-corrugated packaging, as well as others such as brochures, leaflets, labels, and paper bags as well as trading and production of rigid boxes. Its segments are Corrugated Packaging, Non-corrugated Packaging, Rigid boxes, and Others. The company generates maximum revenue from the Non-corrugated Packaging segment, which is engaged in the Printing and production of corrugated packaging.

HPP Holdings Bhd Headlines

No Headlines