Sarawak Oil Palms Bhd (XKLS:5126) Operating Income: RM554 Mil (TTM As of Mar. 2026)

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XKLS:5126 Sarawak Oil Palms Bhd XKLS:5126
55 GF Score
Price RM5.07
GF Value RM3.25
Valuation Significantly Overvalued
! 7 Warning Signs
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What is Sarawak Oil Palms Bhd Operating Income?

Sarawak Oil Palms Bhd XKLS:5126 -0.59% 55 Operating Income is RM554 Mil as of Mar. 2026. GuruFocus rates XKLS:5126 with a GF Score™ of 55/100 and a GF Value™ of RM3.25 (Significantly Overvalued). The stock has 7 warning signs investors should review.

Sarawak Oil Palms Bhd's Operating Income for the three months ended in Mar. 2026 was RM89 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was RM554 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Sarawak Oil Palms Bhd's Operating Income for the three months ended in Mar. 2026 was RM89 Mil. Sarawak Oil Palms Bhd's Revenue for the three months ended in Mar. 2026 was RM1,444 Mil. Therefore, Sarawak Oil Palms Bhd's Operating Margin % for the quarter that ended in Mar. 2026 was 6.14%.

Warning Sign:

Sarawak Oil Palms Bhd operating margin has been in a 5-year decline. The average rate of decline per year is -6.4%.

Sarawak Oil Palms Bhd's 5-Year average Growth Rate for Operating Margin % was -6.40% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Sarawak Oil Palms Bhd's annualized ROC % for the quarter that ended in Mar. 2026 was 6.99%. Sarawak Oil Palms Bhd's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 14.65%.


Sarawak Oil Palms Bhd  (XKLS:5126) Operating Income Explanation

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

Sarawak Oil Palms 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 )
=354.752 * ( 1 - 30.37% )/( (3561.265 + 3510.504)/ 2 )
=247.0138176/3535.8845
=6.99 %

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))
=5720.201 - 329.845 - ( 1829.091 - max(0, 803.661 - 2967.176+1829.091))
=3561.265

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))
=5820.73 - 351.35 - ( 1958.876 - max(0, 837.184 - 3048.611+1958.876))
=3510.504

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

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

Sarawak Oil Palms 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 )
=417.444/( ( (1729.718 + max(742.412, 0)) + (2529.717 + max(698.802, 0)) )/ 2 )
=417.444/( ( 2472.13 + 3228.519 )/ 2 )
=417.444/2850.3245
=14.65 %

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)
=(390.192 + 651.41 + 36.449) - (329.845 + 0 + 5.794)
=742.412

Working Capital(Q: Mar. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(456.83 + 613.102 + 19.803) - (351.35 + 0 + 39.583)
=698.802

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 %:

Sarawak Oil Palms 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 )
=88.688/1444.303
=6.14 %

* 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.


Sarawak Oil Palms Bhd Operating Income Related Terms


Sarawak Oil Palms Bhd Operating Income Historical Data

* Premium members only.

The historical data trend for Sarawak Oil Palms 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.

Sarawak Oil Palms Bhd Operating Income Chart

Sarawak Oil Palms 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 684.46 616.58 362.52 573.84 570.96

Sarawak Oil Palms 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 154.46 118.87 142.09 204.27 88.69
XKLS:5126
55GF Score
Sarawak Oil Palms Bhd XKLS:5126
Operating Income is just one metric. See GF Score™, valuation, warning signs, and more.
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Sarawak Oil Palms 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 RM554 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 RM554 Mil mean?
Sarawak Oil Palms Bhd (XKLS:5126) has a Operating Income of RM554 Mil as of Mar. 2026. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on Sarawak Oil Palms Bhd and its competitors.
Is Sarawak Oil Palms Bhd's Operating Income too high?
Sarawak Oil Palms Bhd's current Operating Income is RM554 Mil. Overall, Sarawak Oil Palms Bhd has a GF Score™ of 55/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Sarawak Oil Palms Bhd's Operating Income compare to ADM and BG?
Sarawak Oil Palms Bhd's Operating Income of RM554 Mil can be compared against companies in the Consumer Packaged Goods 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 Consumer Packaged Goods company?
A good Operating Income depends on the Consumer Packaged Goods 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 Sarawak Oil Palms Bhd and its competitors. Sarawak Oil Palms Bhd's current Operating Income is RM554 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sarawak Oil Palms Bhd stock overvalued right now?
Based on GuruFocus' analysis, Sarawak Oil Palms Bhd (XKLS:5126) is currently considered Significantly Overvalued. The stock's GF Value™ is RM3.25, compared to a current price of RM5.07 — trading 56% above its estimated fair value. The current Operating Income is RM554 Mil. Sarawak Oil Palms Bhd's overall GF Score™ is 55/100 with 7 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 Sarawak Oil Palms Bhd (XKLS:5126), the current Operating Income is RM554 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 Sarawak Oil Palms Bhd (XKLS:5126) Overvalued in 2026?

Based on GuruFocus' analysis, Sarawak Oil Palms Bhd stock appears to be overvalued. The current stock price of RM5.07 is trading 56% above its estimated GF Value™ of RM3.25. GuruFocus considers Sarawak Oil Palms Bhd to be Significantly Overvalued.

Key valuation signals for XKLS:5126:

  • Operating Income: RM554 Mil
  • GF Value™: RM3.25 vs. price of RM5.07 (56% above fair value)
  • GF Score™: 55/100 with 7 warning signs

No single metric tells the full story. See the XKLS:5126 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Sarawak Oil Palms Bhd Business Description

Address No. 124-126, Jalan Bendahara, P.O. Box 547, Miri, SWK, MYS, 98000
Sarawak Oil Palms Bhd is a Malaysia-based company engaged in the principal activities of investment holding, cultivation of oil palms, and operations of palm oil mills. Its reportable segments are Oil palms and Property development. A majority of its revenue is generated from the Oil palms segment, which is engaged in the cultivation of oil palms, processing, refining, and trading of palm products. The Property development segment is involved in the development of residential and commercial properties. Geographically, the group derives maximum revenue from the Asia-Pacific region, followed by Malaysia, and other regions.
55GF Score

Get the complete analysis for XKLS:5126

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

RM5.07
Price
RM3.25
GF Value