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Konecranes Oyj (OHEL:KCR) Operating Income : €390 Mil (TTM As of Mar. 2024)


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What is Konecranes Oyj Operating Income?

Konecranes Oyj's Operating Income for the three months ended in Mar. 2024 was €89 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2024 was €390 Mil.

Warning Sign:

Konecranes Oyj has recorded a loss in operating income at least once over the past 3 years.

Operating Margin % is calculated as Operating Income divided by its Revenue. Konecranes Oyj's Operating Income for the three months ended in Mar. 2024 was €89 Mil. Konecranes Oyj's Revenue for the three months ended in Mar. 2024 was €913 Mil. Therefore, Konecranes Oyj's Operating Margin % for the quarter that ended in Mar. 2024 was 9.76%.

Good Sign:

Konecranes Oyj operating margin is expanding. Margin expansion is usually a good sign.

Konecranes Oyj's 5-Year average Growth Rate for Operating Margin % was 13.70% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Konecranes Oyj's annualized ROC % for the quarter that ended in Mar. 2024 was 7.45%. Konecranes Oyj's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2024 was 87.06%.


Konecranes Oyj Operating Income Historical Data

The historical data trend for Konecranes Oyj'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.

Konecranes Oyj Operating Income Chart

Konecranes Oyj Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Operating Income
Get a 7-Day Free Trial Premium Member Only Premium Member Only 146.30 167.70 213.30 223.60 408.70

Konecranes Oyj Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 86.00 97.90 97.20 105.70 89.10

Konecranes Oyj 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. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was €390 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.


Konecranes Oyj  (OHEL:KCR) Operating Income Explanation

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

Konecranes Oyj's annualized ROC % for the quarter that ended in Mar. 2024 is calculated as:

ROC % (Q: Mar. 2024 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Dec. 2023 ) + Invested Capital (Q: Mar. 2024 ))/ count )
=356.4 * ( 1 - 25.41% )/( (3536.3 + 3602.7)/ 2 )
=265.83876/3569.5
=7.45 %

where

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

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

Konecranes Oyj's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2024 is calculated as:

ROC (Joel Greenblatt) %(Q: Mar. 2024 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Dec. 2023  Q: Mar. 2024
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=386/( ( (375.8 + max(132.1, 0)) + (378.8 + max(-4.8999999999999, 0)) )/ 2 )
=386/( ( 507.9 + 378.8 )/ 2 )
=386/443.35
=87.06 %

where Working Capital is:

Working Capital(Q: Dec. 2023 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(587.5 + 938.1 + 225.2) - (429.5 + 0 + 1189.2)
=132.1

Working Capital(Q: Mar. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(538.1 + 998.4 + 178.3) - (364.7 + 0 + 1355)
=-4.8999999999999

When net working capital is negative, 0 is used.

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

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

Konecranes Oyj's Operating Margin % for the quarter that ended in Mar. 2024 is calculated as:

Operating Margin %=Operating Income (Q: Mar. 2024 )/Revenue (Q: Mar. 2024 )
=89.1/913.1
=9.76 %

* 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.


Konecranes Oyj Operating Income Related Terms

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Konecranes Oyj (OHEL:KCR) Business Description

Traded in Other Exchanges
Address
Koneenkatu 8, P.O. Box 661, Hyvinkaa, FIN, FI-05801
Konecranes Oyj provides lifting equipment and services for manufacturing industries, shipyards, ports, and terminals. It offers cranes, material handling solutions, and other components geared toward transporting and organizing supplies. Workstation lifting systems, trucks, and various hoists include advanced technologies to increase control and equipment capabilities. Products are marketed through various brands, and sales offices are in multiple regions. The company's global service network provides a full range of service solutions, specialized maintenance, and modernization services for equipment and tools. Inspections, spare parts, and preventive maintenance programs enhance efficiencies and extend product lifecycles.

Konecranes Oyj (OHEL:KCR) Headlines

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