Compagnie Financiere Richemont (XSWX:CFR) Operating Income: CHF4,276 Mil (TTM As of Mar. 2026)

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XSWX:CFR Compagnie Financiere Richemont SA XSWX:CFR
94 GF Score
Price CHF183.35
GF Value CHF145.50
Valuation Modestly Overvalued
! 5 Warning Signs
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What is Compagnie Financiere Richemont Operating Income?

Compagnie Financiere Richemont XSWX:CFR -0.43% 94 Operating Income is CHF4,276 Mil as of Mar. 2026. GuruFocus rates XSWX:CFR with a GF Score™ of 94/100 and a GF Value™ of CHF145.50 (Modestly Overvalued). The stock has 5 warning signs investors should review.

Compagnie Financiere Richemont's Operating Income for the six months ended in Mar. 2026 was CHF2,075 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was CHF4,276 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Compagnie Financiere Richemont's Operating Income for the six months ended in Mar. 2026 was CHF2,075 Mil. Compagnie Financiere Richemont's Revenue for the six months ended in Mar. 2026 was CHF10,741 Mil. Therefore, Compagnie Financiere Richemont's Operating Margin % for the quarter that ended in Mar. 2026 was 19.32%.

Good Sign:

Compagnie Financiere Richemont SA operating margin is expanding. Margin expansion is usually a good sign.

Compagnie Financiere Richemont's 5-Year average Growth Rate for Operating Margin % was 8.30% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Compagnie Financiere Richemont's annualized ROC % for the quarter that ended in Mar. 2026 was 16.09%. Compagnie Financiere Richemont's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 28.26%.

Compagnie Financiere Richemont  (XSWX:CFR) Operating Income Explanation

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

Compagnie Financiere Richemont'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: Sep. 2025 ) + Invested Capital (Q: Mar. 2026 ))/ count )
=4150.39 * ( 1 - 21.54% )/( (19941.745 + 20530.781)/ 2 )
=3256.395994/20236.263
=16.09 %

where

Invested Capital(Q: Sep. 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))
=38723.911 - 3206.825 - ( 15575.341 - max(0, 9417.713 - 26559.092+15575.341))
=19941.745

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))
=38794.321 - 2576.701 - ( 15686.839 - max(0, 8501.93 - 26334.957+15686.839))
=20530.781

Note: The Operating Income data used here is two times the semi-annual (Mar. 2026) data.

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

Compagnie Financiere Richemont'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: Sep. 2025  Q: Mar. 2026
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=4150.39/( ( (7719.927 + max(7544.263, 0)) + (8084.16 + max(6024.437, 0)) )/ 2 )
=4150.39/( ( 15264.19 + 14108.597 )/ 2 )
=4150.39/14686.3935
=28.26 %

where Working Capital is:

Working Capital(Q: Sep. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(1791.225 + 8982.288 + 210.238) - (3206.825 + 0 + 232.663)
=7544.263

Working Capital(Q: Mar. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(830.988 + 8842.335 + 283.063) - (2576.701 + 0 + 1355.248)
=6024.437

When net working capital is negative, 0 is used.

Note: The EBIT data used here is two times the semi-annual (Mar. 2026) EBIT data.

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

Compagnie Financiere Richemont'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 )
=2075.195/10740.956
=19.32 %

* 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.

Compagnie Financiere Richemont Operating Income Related Terms

Compagnie Financiere Richemont Operating Income Historical Data

* Premium members only.

The historical data trend for Compagnie Financiere Richemont'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.

Compagnie Financiere Richemont Operating Income Chart

Compagnie Financiere Richemont Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Operating Income
Get a 7-Day Free Trial Premium Member Only Premium Member Only 3,815.86 4,984.22 4,629.41 4,281.40 4,218.65

Compagnie Financiere Richemont Semi-Annual Data
Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25 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 2,066.00 2,072.40 2,176.04 2,200.49 2,075.20
XSWX:CFR
94GF Score
Compagnie Financiere Richemont SA XSWX:CFR
Operating Income is just one metric. See GF Score™, valuation, warning signs, and more.
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Compagnie Financiere Richemont 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 semi-annually data reported by the company within the most recent 12 months, which was CHF4,276 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 CHF4,276 Mil mean?
Compagnie Financiere Richemont (XSWX:CFR) has a Operating Income of CHF4,276 Mil as of Mar. 2026. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on Compagnie Financiere Richemont and its competitors.
Is Compagnie Financiere Richemont's Operating Income too high?
Compagnie Financiere Richemont's current Operating Income is CHF4,276 Mil. Overall, Compagnie Financiere Richemont has a GF Score™ of 94/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Compagnie Financiere Richemont's Operating Income compare to TPR and SIG?
Compagnie Financiere Richemont's Operating Income of CHF4,276 Mil can be compared against companies in the Retail - Cyclical 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 Retail - Cyclical company?
A good Operating Income depends on the Retail - Cyclical 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 Compagnie Financiere Richemont and its competitors. Compagnie Financiere Richemont's current Operating Income is CHF4,276 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Compagnie Financiere Richemont stock overvalued right now?
Based on GuruFocus' analysis, Compagnie Financiere Richemont (XSWX:CFR) is currently considered Modestly Overvalued. The stock's GF Value™ is CHF145.50, compared to a current price of CHF183.35 — trading 26% above its estimated fair value. The current Operating Income is CHF4,276 Mil. Compagnie Financiere Richemont's overall GF Score™ is 94/100 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 Compagnie Financiere Richemont (XSWX:CFR), the current Operating Income is CHF4,276 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 Compagnie Financiere Richemont (XSWX:CFR) Overvalued in 2026?

Based on GuruFocus' analysis, Compagnie Financiere Richemont stock appears to be overvalued. The current stock price of CHF183.35 is trading 26% above its estimated GF Value™ of CHF145.50. GuruFocus considers Compagnie Financiere Richemont to be Modestly Overvalued.

Key valuation signals for XSWX:CFR:

  • Operating Income: CHF4,276 Mil
  • GF Value™: CHF145.50 vs. price of CHF183.35 (26% above fair value)
  • GF Score™: 94/100 with 5 warning signs

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

Compagnie Financiere Richemont Business Description

Address 50 Chemin de la Chenaie, CP 30, Bellevue, Geneva, CHE, 1293
Richemont is a luxury goods conglomerate with 20 brands. Jewelry and watch brands make up 87% of sales, but the group is also active in accessories, writing instruments, clothing, and online luxury retail. Richemont's Jewellery Maisons, including Cartier and Van Cleef & Arpels, account for over 70% of revenue and the vast majority of profits. Its other brands include Vacheron Constantin, Piaget, Jaeger-LeCoultre, IWC Schaffhausen, Lange & Soehne, Officine Panerai, Chloe, and Montblanc.
94GF Score

Get the complete analysis for XSWX:CFR

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

CHF183.35
Price
CHF145.50
GF Value