HE Group Bhd (XKLS:0296) Operating Income: RM13.4 Mil (TTM As of Mar. 2026)

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XKLS:0296 HE Group Bhd XKLS:0296
49 GF Score
Price RM0.56
! 5 Warning Signs
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What is HE Group Bhd Operating Income?

HE Group Bhd XKLS:0296 -3.45% 49 Operating Income is RM13.4 Mil as of Mar. 2026. GuruFocus rates XKLS:0296 with a GF Score™ of 49/100. The stock has 5 warning signs investors should review.

HE Group Bhd's Operating Income for the three months ended in Mar. 2026 was RM3.4 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was RM13.4 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. HE Group Bhd's Operating Income for the three months ended in Mar. 2026 was RM3.4 Mil. HE Group Bhd's Revenue for the three months ended in Mar. 2026 was RM26.2 Mil. Therefore, HE Group Bhd's Operating Margin % for the quarter that ended in Mar. 2026 was 13.02%.

Good Sign:

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

HE Group Bhd's 5-Year average Growth Rate for Operating Margin % was 34.30% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. HE Group Bhd's annualized ROC % for the quarter that ended in Mar. 2026 was 59.66%. HE Group Bhd's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 272.73%.


HE Group Bhd  (XKLS:0296) Operating Income Explanation

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

HE 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 )
=13.672 * ( 1 - 24.11% )/( (24.015 + 10.769)/ 2 )
=10.3756808/17.392
=59.66 %

where

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

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

HE 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 )
=13.672/( ( (3.494 + max(2.798, 0)) + (3.734 + max(-19.376, 0)) )/ 2 )
=13.672/( ( 6.292 + 3.734 )/ 2 )
=13.672/5.013
=272.73 %

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)
=(29.499 + 3.121 + 10.51) - (37.105 + 0 + 3.227)
=2.798

Working Capital(Q: Mar. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(23.035 + 2.951 + 1.4210854715202E-14) - (41.474 + 0 + 3.888)
=-19.376

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 %:

HE 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 )
=3.418/26.243
=13.02 %

* 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.


HE Group Bhd Operating Income Related Terms


HE Group Bhd Operating Income Historical Data

* Premium members only.

The historical data trend for HE 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.

HE Group Bhd Operating Income Chart

HE Group Bhd Annual Data
Trend Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Operating Income
Get a 7-Day Free Trial 6.12 8.37 15.82 19.44 15.65

HE Group Bhd Quarterly Data
Dec20 Dec21 Dec22 Aug23 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 4.13 3.71 4.41 1.87 3.42
XKLS:0296
49GF Score
HE Group Bhd XKLS:0296
Operating Income is just one metric. See GF Score™, valuation, warning signs, and more.
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HE 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 RM13.4 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 RM13.4 Mil mean?
HE Group Bhd (XKLS:0296) has a Operating Income of RM13.4 Mil as of Mar. 2026. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on HE Group Bhd and its competitors.
Is HE Group Bhd's Operating Income too high?
HE Group Bhd's current Operating Income is RM13.4 Mil. Overall, HE Group Bhd has a GF Score™ of 49/100, reflecting its overall financial health beyond just this single metric.
How does HE Group Bhd's Operating Income compare to PWR and FIX?
HE Group Bhd's Operating Income of RM13.4 Mil can be compared against companies in the Construction 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 Construction company?
A good Operating Income depends on the Construction 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 HE Group Bhd and its competitors. HE Group Bhd's current Operating Income is RM13.4 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is HE Group Bhd stock overvalued right now?
HE Group Bhd (XKLS:0296) has a current Operating Income of RM13.4 Mil. The current Operating Income is RM13.4 Mil. HE Group Bhd's overall GF Score™ is 49/100 with 5 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 HE Group Bhd (XKLS:0296), the current Operating Income is RM13.4 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.

HE Group Bhd Business Description

Address No. 42, Jalan OP 1/5, Pusat Perdagangan One Puchong, Puchong, SGR, MYS, 47160
HE Group Bhd is an electrical engineering service provider focusing on power distribution systems for end-user premises such as industrial plants and industrial and commercial substations. It is involved in the design, supply, installation, testing, and commissioning of HV, MV, LV, and ELV power distribution systems, as well as hook-up and retrofitting of electrical equipment. It also provides other building systems and works, including mechanical systems, control, and instrumentation systems, as well as civil, structural, and architectural works. Its segment includes, the provision of power distribution systems that generates maximum revenue, other building systems and works, electrical equipment hook-up and retrofitting, and trading of electrical products.
49GF Score

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

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