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C.H. Robinson Worldwide (C.H. Robinson Worldwide) Operating Income : $515 Mil (TTM As of Dec. 2023)


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What is C.H. Robinson Worldwide Operating Income?

C.H. Robinson Worldwide's Operating Income for the three months ended in Dec. 2023 was $107 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 was $515 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. C.H. Robinson Worldwide's Operating Income for the three months ended in Dec. 2023 was $107 Mil. C.H. Robinson Worldwide's Revenue for the three months ended in Dec. 2023 was $4,222 Mil. Therefore, C.H. Robinson Worldwide's Operating Margin % for the quarter that ended in Dec. 2023 was 2.54%.

Warning Sign:

C.H. Robinson Worldwide Inc operating margin has been in a 5-year decline. The average rate of decline per year is -8.3%.

C.H. Robinson Worldwide'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. C.H. Robinson Worldwide's annualized ROC % for the quarter that ended in Dec. 2023 was 5.68%. C.H. Robinson Worldwide's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2023 was 35.88%.


C.H. Robinson Worldwide Operating Income Historical Data

The historical data trend for C.H. Robinson Worldwide'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.

C.H. Robinson Worldwide Operating Income Chart

C.H. Robinson Worldwide 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 789.98 673.27 1,082.11 1,266.78 514.61

C.H. Robinson Worldwide Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
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 164.03 161.03 132.62 113.52 107.43

C.H. Robinson Worldwide 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 Dec. 2023 adds up the quarterly data reported by the company within the most recent 12 months, which was $515 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.


C.H. Robinson Worldwide  (NAS:CHRW) Operating Income Explanation

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

C.H. Robinson Worldwide's annualized ROC % for the quarter that ended in Dec. 2023 is calculated as:

ROC % (Q: Dec. 2023 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Sep. 2023 ) + Invested Capital (Q: Dec. 2023 ))/ count )
=429.716 * ( 1 - 55.29% )/( (3364.816 + 3397.318)/ 2 )
=192.1260236/3381.067
=5.68 %

where

Invested Capital(Q: Sep. 2023 )
=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))
=5317.667 - 1778.118 - ( 174.733 - max(0, 2649.543 - 2959.243+174.733))
=3364.816

Invested Capital(Q: Dec. 2023 )
=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))
=5225.28 - 1682.438 - ( 145.524 - max(0, 2051.993 - 2880.694+145.524))
=3397.318

Note: The Operating Income data used here is four times the quarterly (Dec. 2023) data.

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

C.H. Robinson Worldwide's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2023 is calculated as:

ROC (Joel Greenblatt) %(Q: Dec. 2023 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Sep. 2023  Q: Dec. 2023
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=429.716/( ( (501.754 + max(666.877, 0)) + (498.608 + max(727.728, 0)) )/ 2 )
=429.716/( ( 1168.631 + 1226.336 )/ 2 )
=429.716/1197.4835
=35.88 %

where Working Capital is:

Working Capital(Q: Sep. 2023 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(2442.297 + 0 + 137.476) - (1778.118 + 0 + 134.778)
=666.877

Working Capital(Q: Dec. 2023 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(2381.963 + 0 + 163.307) - (1682.438 + 0 + 135.104)
=727.728

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Dec. 2023) EBIT data.

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

C.H. Robinson Worldwide's Operating Margin % for the quarter that ended in Dec. 2023 is calculated as:

Operating Margin %=Operating Income (Q: Dec. 2023 )/Revenue (Q: Dec. 2023 )
=107.429/4221.887
=2.54 %

* 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.


C.H. Robinson Worldwide Operating Income Related Terms

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C.H. Robinson Worldwide (C.H. Robinson Worldwide) Business Description

Traded in Other Exchanges
Address
14701 Charlson Road, Eden Prairie, MN, USA, 55347-5088
C.H. Robinson is a top-tier non-asset-based third-party logistics provider with a significant focus on domestic freight brokerage (about 60% of 2022 net revenue), which reflects mostly truck brokerage but also rail intermodal. Additionally, the firm operates a large air and ocean forwarding division (30%), which has grown organically and via tuck-in acquisitions over the years. The remainder of revenue consists of the European truck-brokerage division, transportation management services, and a legacy produce-sourcing operation.
Executives
Winship Henry Ward Iv director PO BOX 8614, RANCHO SANTA FE CA 92067
David P Bozeman director, officer: President & CEO 100 NE ADAMS STREET, PEORIA IL 61629
Angela K. Freeman officer: Vice President-Human Resources 14701 CHARLSON ROAD, EDEN PRAIRIE MN 55437
Michael John Short officer: President, Global Forwarding 14701 CHARLESON ROAD, EDEN PRAIRIE MN 55347
Mac S Pinkerton officer: Pres. of North America Trans. 14701 CHARLSON ROAD, EDEN PRAIRIE MN 55330
James J. Barber director 55 GLENLAKE PARKWAY, NE, ATLANTA GA 30328
Jordan T Kass officer: President, Managed Services 14701 CHARLSON ROAD, EDEN PRAIRIE MN 55347
Henry J Maier director 1000 FEDEX DRIVE, MOON TOWNSHIP PA 15108
Michael Paul Zechmeister officer: Chief Financial Officer C/O UNITED NATURAL FOODS, INC., 313 IRON HORSE WAY, PROVIDENCE RI 02908
Chris Obrien officer: Vice President 8100 MITCHELL RD, STE 200, EDEN PRAIRIE MN 55344
Michael D. Castagnetto officer: President of Robinson Fresh 14701 CHARLSON ROAD, EDEN PRAIRIE MN 55437
Ben G Campbell officer: VP-General Counsel & Secretary 14701 CHARLSON ROAD, EDEN PRAIRIE MN 55437
Biesterfeld Robert C Jr officer: President, N American Surface 14701 CHARLSON RD, EDEN PRAIRIE MN 55347
Mark A. Goodburn director 14701 CHARLSON ROAD, EDEN PRAIRIE MN 55347
Arun Rajan officer: Chief Product Officer 14701 CHARLSON ROAD, EDEN PRAIRIE MN 55347

C.H. Robinson Worldwide (C.H. Robinson Worldwide) Headlines