California Style Palms (California Style Palms) Operating Income : $-17.26 Mil (TTM As of Sep. 2006)

View and export this data going back to 2004. Start your Free Trial

What is California Style Palms Operating Income?

California Style Palms's Operating Income for the three months ended in Sep. 2006 was $-4.33 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Sep. 2006 was $-17.26 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. California Style Palms's Operating Income for the three months ended in Sep. 2006 was $-4.33 Mil. California Style Palms's Revenue for the three months ended in Sep. 2006 was $3.57 Mil. Therefore, California Style Palms's Operating Margin % for the quarter that ended in Sep. 2006 was -121.21%.

California Style Palms's 5-Year average Growth Rate for Operating Margin % was 0.00% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. California Style Palms's annualized ROC % for the quarter that ended in Sep. 2006 was -160.12%. California Style Palms's annualized ROC (Joel Greenblatt) % for the quarter that ended in Sep. 2006 was -6,754.00%.

California Style Palms Operating Income Historical Data

The historical data trend for California Style Palms'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.

California Style Palms Operating Income Chart

California Style Palms Annual Data

Trend

Jan97

Jan98

Jan99

Jan00

Jan01

Jan02

Jan03

Mar05

Operating Income

Get a 7-Day Free Trial

-0.58

-0.86

-1.10

-2.09

-5.38

California Style Palms Quarterly Data
	Jul00	Oct00	Jan01	Apr01	Jul01	Oct01	Jan02	Apr02	Jul02	Oct02	Jan03	Apr03	Dec04	Mar05	Jun05	Sep05	Dec05	Mar06	Jun06	Sep06
Operating Income	Get a 7-Day Free Trial															-2.42	-3.26	-6.69	-2.98	-4.33

California Style Palms 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 Sep. 2006 adds up the quarterly data reported by the company within the most recent 12 months, which was $-17.26 Mil.

California Style Palms (OTCPK:CFPI) Operating Income Explanation

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

California Style Palms's annualized ROC % for the quarter that ended in Sep. 2006 is calculated as:

	ROC % (Q: Sep. 2006 )
=	NOPAT	/	Average Invested Capital
=	Operating Income * ( 1 - Tax Rate % )	/	( (Invested Capital (Q: Jun. 2006 )	+	Invested Capital (Q: Sep. 2006 ))	/ count )
=	-17.324 * ( 1 - % )	/	( (14.672	+	6.967)	/ 2 )
=	-17.324	/	10.8195
=	-160.12 %

where

	Invested Capital		(Q: Jun. 2006 )
=	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	))
=	3.266	-	6.851	-	( 0.004	-	max(0, 20.558	-	2.301	+	0.004	))
=	14.672

	Invested Capital		(Q: Sep. 2006 )
=	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	))
=	3.176	-	18.693	-	( 0.004	-	max(0, 24.706	-	2.222	+	0.004	))
=	6.967

Note: The Operating Income data used here is four times the quarterly (Sep. 2006) data.

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

California Style Palms's annualized ROC (Joel Greenblatt) % for the quarter that ended in Sep. 2006 is calculated as:

	ROC (Joel Greenblatt) %		(Q: Sep. 2006 )
=	EBIT	/	Average of (Net fixed Assets	+	Net Working Capital)
=	EBIT	/	Average of (Property, Plant and Equipment	+	Net Working Capital)
			Q: Jun. 2006		Q: Sep. 2006
=	EBIT	/	( ( (Property, Plant and Equipment + Net Working Capital)	+	(Property, Plant and Equipment + Net Working Capital) )	/	count )
=	-17.324	/	( ( (0.262 + max(-17.21, 0))	+	(0.251 + max(-21.297, 0)) )	/	2 )
=	-17.324	/	( ( 0.262	+	0.251 )	/	2 )
=	-17.324	/	0.2565
=	-6,754.00 %

where Working Capital is:

	Working Capital		(Q: Jun. 2006 )
=	(Accounts Receivable	+	Total Inventories	+	Other Current Assets)	-	(Accounts Payable & Accrued Expense	+	Defer. Rev.	+	Other Current Liabilities)
=	(0.279	+	0.837	+	1.181)	-	(6.851	+	1.838	+	10.818)
=	-17.21

	Working Capital		(Q: Sep. 2006 )
=	(Accounts Receivable	+	Total Inventories	+	Other Current Assets)	-	(Accounts Payable & Accrued Expense	+	Defer. Rev.	+	Other Current Liabilities)
=	(0.1	+	0.382	+	1.736)	-	(18.693	+	0	+	4.822)
=	-21.297

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Sep. 2006) EBIT data.

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

California Style Palms's Operating Margin % for the quarter that ended in Sep. 2006 is calculated as:

Operating Margin %	=	Operating Income (Q: Sep. 2006 )	/	Revenue (Q: Sep. 2006 )
	=	-4.331	/	3.573
	=	-121.21 %

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.

California Style Palms Operating Income Related Terms

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

California Style Palms (California Style Palms) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Consumer Defensive » Consumer Packaged Goods » California Style Palms Inc (OTCPK:CFPI) » Definitions » Operating Income

Traded in Other Exchanges

N/A

Address

349 North Renee Street, Orange, CA, USA, 92869-3122

Website

http://www.californiastylepalmsinc.com

California Style Palms Inc is engaged in selling and installation of decorative palm trees. It owns and operates the assets, with the exception of the real estate, of Gregory Palm Farms, LLC, a fourth-generation farmers company who live to grow its own products. The company owns and operates two farms in California, and have set up central location in Orange, Orange County. It derives revenues primarily from the sale and installation of decorative palm trees.

Executives

Andrew C Schmidt

director

1700 CARNEGIE AVE, SUITE 100, SANTA ANA CA 92705

California Style Palms (California Style Palms) Headlines

No Headlines