GURUFOCUS.COM » STOCK LIST » Industrials » Construction » Arcosa Inc (NYSE:ACA) » Definitions » Operating Income

Arcosa (Arcosa) Operating Income : $179 Mil (TTM As of Mar. 2024)


View and export this data going back to 2018. Start your Free Trial

What is Arcosa Operating Income?

Arcosa's Operating Income for the three months ended in Mar. 2024 was $43 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2024 was $179 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Arcosa's Operating Income for the three months ended in Mar. 2024 was $43 Mil. Arcosa's Revenue for the three months ended in Mar. 2024 was $599 Mil. Therefore, Arcosa's Operating Margin % for the quarter that ended in Mar. 2024 was 7.10%.

Warning Sign:

Arcosa Inc operating margin has been in a 5-year decline. The average rate of decline per year is -4.1%.

Arcosa's 5-Year average Growth Rate for Operating Margin % was -4.10% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Arcosa's annualized ROC % for the quarter that ended in Mar. 2024 was 4.56%. Arcosa's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2024 was 12.83%.


Arcosa Operating Income Historical Data

The historical data trend for Arcosa'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.

Arcosa Operating Income Chart

Arcosa Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Operating Income
Get a 7-Day Free Trial Premium Member Only 152.90 158.90 99.90 148.30 182.70

Arcosa 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 46.10 50.40 45.80 40.40 42.50

Arcosa 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 $179 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.


Arcosa  (NYSE:ACA) Operating Income Explanation

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

Arcosa'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 )
=170 * ( 1 - 17.12% )/( (3083.2 + 3102.8)/ 2 )
=140.896/3093
=4.56 %

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:

Arcosa'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 )
=222.4/( ( (1336.3 + max(382.8, 0)) + (1358.1 + max(388.9, 0)) )/ 2 )
=222.4/( ( 1719.1 + 1747 )/ 2 )
=222.4/1733.05
=12.83 %

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)
=(357.1 + 401.8 + 48.3) - (389.9 + 34.5 + 0)
=382.8

Working Capital(Q: Mar. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(366.2 + 404 + 47) - (388.8 + 39.5 + -5.6843418860808E-14)
=388.9

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 %:

Arcosa'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 )
=42.5/598.6
=7.10 %

* 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.


Arcosa Operating Income Related Terms

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


Arcosa (Arcosa) Business Description

Traded in Other Exchanges
Address
500 N. Akard Street, Suite 400, Dallas, TX, USA, 75201
Arcosa Inc is a manufacturer and producer of infrastructure-related products and services. It operates in three segments namely Construction Products, Engineered Structures, and Transportation Products. The Construction Products segment produces and sells construction aggregates and manufactures and sells trench shields and shoring products and services for infrastructure-related projects. The Transportation Products segment manufactures and sells products for the inland waterway and rail transportation industries. The Engineered Structures segment manufactures and sells products for energy-related businesses, including structural wind towers, telecommunication structures, steel utility structures for electricity transmission and distribution, and storage and distribution containers.
Executives
Antonio Carrillo director, officer: President & CEO 500 N AKARD ST. SUITE 400, DALLAS TX 75201
Kerry S Cole officer: Pres of Energy Equip. 500 N AKARD ST. SUITE 400, DALLAS TX 75201
Collins Jesse E. Jr. officer: Pres Transp Products 6270 FIRTH ROAD, FORT WORTH TX 76116
Ronald J Gafford director ARCOSA INC, 500 N AKARD ST. SUITE 400, DALLAS TX 75201
Eric D Hurst officer: VP Controller (PAO) 500 N. AKARD ST., SUITE 400, DALLAS TX 75201
Steven J. Demetriou director 25825 SCIENCE PARK DRIVE, SUITE 400, BEACHWOOD OH 44102
Mary E Henderson officer: Vice President 500 N AKARD ST. SUITE 400, DALLAS TX 75201
Gail M Peck officer: Vice President 500 N AKARD ST. SUITE 400, DALLAS TX 75201
Bryan Stevenson officer: Secretary 500 N AKARD ST., DALLAS TX 75201
Julie A Piggott director 500 N AKARD ST. SUITE 400, DALLAS TX 75201
Kimberly S Lubel director P.O. BOX 696000, SAN ANTONIO TX 78269-6000
Valueact Capital Master Fund, L.p. 10 percent owner, other: See Remarks ONE LETTERMAN DRIVE, BUILDING D, 4TH FLOOR, SAN FRANCISCO CA 94129
Valueact Holdings Ii, L.p. 10 percent owner ONE LETTERMAN DRIVE, BUILDING D, FOURTH FLOOR, SAN FRANCISCO CA 94129
Scott C Beasley officer: Vice President 500 N AKARD ST. SUITE 400, DALLAS TX 75201
Reid S Essl officer: Pres Constr. Products 500 N AKARD ST. SUITE 400, DALLAS TX 75201

Arcosa (Arcosa) Headlines

From GuruFocus

Arcosa, Inc. Declares Quarterly Dividend

By Business Wire 09-07-2023

Arcosa, Inc. Declares Quarterly Dividend

By Business Wire Business Wire 03-02-2023

Arcosa, Inc. Announces Appointment of Julie Piggott as a New Director

By Business Wire Business Wire 12-10-2021

Arcosa, Inc. Publishes 2022 Sustainability Report

By Business Wire Business Wire 04-20-2023

Arcosa, Inc. Declares Quarterly Dividend

By Business Wire Business Wire 05-09-2023