Coles Group (ASX:COL) Operating Income : A$1,591 Mil (TTM As of Dec. 2023)

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

What is Coles Group Operating Income?

Coles Group's Operating Income for the six months ended in Dec. 2023 was A$992 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 was A$1,591 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Coles Group's Operating Income for the six months ended in Dec. 2023 was A$992 Mil. Coles Group's Revenue for the six months ended in Dec. 2023 was A$22,274 Mil. Therefore, Coles Group's Operating Margin % for the quarter that ended in Dec. 2023 was 4.45%.

Coles Group'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. Coles Group's annualized ROC % for the quarter that ended in Dec. 2023 was 8.31%. Coles Group's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2023 was 18.42%.

Coles Group Operating Income Historical Data

The historical data trend for Coles Group'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.

Coles Group Operating Income Chart

Coles Group Annual Data

Trend

Jun18

Jun19

Jun20

Jun21

Jun22

Jun23

Operating Income

Get a 7-Day Free Trial

1,076.00

1,619.00

1,764.00

1,393.00

1,590.00

Coles Group Semi-Annual Data
	Dec18	Jun19	Dec19	Jun20	Dec20	Jun21	Dec21	Jun22	Dec22	Jun23	Dec23
Operating Income	Get a 7-Day Free Trial						746.00	647.00	991.00	599.00	992.00

Coles Group 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 semi-annually data reported by the company within the most recent 12 months, which was A$1,591 Mil.

Coles Group (ASX:COL) Operating Income Explanation

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

Coles Group'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: Jun. 2023 )	+	Invested Capital (Q: Dec. 2023 ))	/ count )
=	1984 * ( 1 - 30.2% )	/	( (16514	+	16834)	/ 2 )
=	1384.832	/	16674
=	8.31 %

where

	Invested Capital		(Q: Jun. 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	))
=	18292	-	4434	-	( 597	-	max(0, 6408	-	3752	+	597	))
=	16514

	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	))
=	19485	-	5020	-	( 1092	-	max(0, 7050	-	4681	+	1092	))
=	16834

Note: The Operating Income data used here is two times the semi-annual (Dec. 2023) data.

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

Coles Group'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: Jun. 2023		Q: Dec. 2023
=	EBIT	/	( ( (Property, Plant and Equipment + Net Working Capital)	+	(Property, Plant and Equipment + Net Working Capital) )	/	count )
=	2128	/	( ( (11492 + max(-2568, 0))	+	(11615 + max(-2646, 0)) )	/	2 )
=	2128	/	( ( 11492	+	11615 )	/	2 )
=	2128	/	11553.5
=	18.42 %

where Working Capital is:

	Working Capital		(Q: Jun. 2023 )
=	(Accounts Receivable	+	Total Inventories	+	Other Current Assets)	-	(Accounts Payable & Accrued Expense	+	Defer. Rev.	+	Other Current Liabilities)
=	(470	+	2323	+	227)	-	(4434	+	0	+	1154)
=	-2568

	Working Capital		(Q: Dec. 2023 )
=	(Accounts Receivable	+	Total Inventories	+	Other Current Assets)	-	(Accounts Payable & Accrued Expense	+	Defer. Rev.	+	Other Current Liabilities)
=	(553	+	2868	+	168)	-	(5020	+	52	+	1163)
=	-2646

When net working capital is negative, 0 is used.

Note: The EBIT data used here is two times the semi-annual (Dec. 2023) EBIT data.

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

Coles Group'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 )
	=	992	/	22274
	=	4.45 %

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.

Coles Group Operating Income Related Terms

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

Coles Group (ASX:COL) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Consumer Defensive » Retail - Defensive » Coles Group Ltd (ASX:COL) » Definitions » Operating Income

Comparable Companies

Traded in Other Exchanges

CLEGF:USA 2OF:Germany

Address

800-838 Toorak Road, Hawthorn East, Melbourne, VIC, AUS, 3123

Website

https://www.colesgroup.com.au

Coles Group Limited is one of Australia's largest retailers, operating the second-largest supermarket chain behind market leader Woolworths, and is the country's third-largest liquor retailer. The group has an extensive store network of about 2,500 store outlets and roughly 80% of Australian live within a 10-minute drive from their nearest Coles store. The retailer employs some 110,000 people, who process over 20 million individual customer transactions a week. This compares with Woolworths processing almost 30 million customer transactions per week from Australia's population of 25 million.