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Pepco Group NV (FRA:8UX) Operating Income : €277 Mil (TTM As of Mar. 2024)


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What is Pepco Group NV Operating Income?

Pepco Group NV's Operating Income for the six months ended in Mar. 2024 was €195 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2024 was €277 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Pepco Group NV's Operating Income for the six months ended in Mar. 2024 was €195 Mil. Pepco Group NV's Revenue for the six months ended in Mar. 2024 was €3,200 Mil. Therefore, Pepco Group NV's Operating Margin % for the quarter that ended in Mar. 2024 was 6.10%.

Warning Sign:

Pepco Group NV operating margin has been in a 5-year decline. The average rate of decline per year is -8.8%.

Pepco Group NV's 5-Year average Growth Rate for Operating Margin % was -8.80% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Pepco Group NV's annualized ROC % for the quarter that ended in Mar. 2024 was 7.59%. Pepco Group NV's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2024 was 20.83%.


Pepco Group NV Operating Income Historical Data

The historical data trend for Pepco Group NV'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.

Pepco Group NV Operating Income Chart

Pepco Group NV Annual Data
Trend Sep18 Sep19 Sep20 Sep21 Sep22 Sep23
Operating Income
Get a 7-Day Free Trial 260.11 120.01 253.09 278.23 228.49

Pepco Group NV Semi-Annual Data
Sep18 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24
Operating Income Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only 141.77 136.46 146.96 81.52 195.34

Pepco Group NV 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 semi-annually data reported by the company within the most recent 12 months, which was €277 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.


Pepco Group NV  (FRA:8UX) Operating Income Explanation

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

Pepco Group NV'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: Sep. 2023 ) + Invested Capital (Q: Mar. 2024 ))/ count )
=390.688 * ( 1 - 27.79% )/( (3750.191 + 3684.925)/ 2 )
=282.1158048/3717.558
=7.59 %

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))
=4590.817 - 972.18 - ( 330.417 - max(0, 1783.082 - 1651.528+330.417))
=3750.191

Invested Capital(Q: Mar. 2024 )
=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))
=4379.789 - 798.889 - ( 221.186 - max(0, 1485.136 - 1381.111+221.186))
=3684.925

Note: The Operating Income data used here is two times the semi-annual (Mar. 2024) data.

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

Pepco Group NV'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: Sep. 2023  Q: Mar. 2024
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=416.446/( ( (1972.12 + max(-68.837, 0)) + (2027.008 + max(-11.937, 0)) )/ 2 )
=416.446/( ( 1972.12 + 2027.008 )/ 2 )
=416.446/1999.564
=20.83 %

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)
=(2.624 + 1134.618 + 153.415) - (972.18 + 0 + 387.314)
=-68.837

Working Capital(Q: Mar. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(1.678 + 982.487 + 154.947) - (798.889 + 0 + 352.16)
=-11.937

When net working capital is negative, 0 is used.

Note: The EBIT data used here is two times the semi-annual (Mar. 2024) EBIT data.

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

Pepco Group NV'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 )
=195.344/3199.889
=6.10 %

* 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.


Pepco Group NV Operating Income Related Terms

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Pepco Group NV (FRA:8UX) Business Description

Traded in Other Exchanges
Address
25 Chapel Street, 14th Floor, Capital House, London, GBR, NW1 5DH
Pepco Group NV is a pan-European, multi-format discount chain of multi-branch stores under the Pepco, Dealz, and Poundland brands. The group's stores offer clothing, home furnishings, including toys and seasonal products, as well as FMCG products. The revenue is derived from geographical segments namely United Kingdom, Poland, and Rest of Europe.

Pepco Group NV (FRA:8UX) Headlines

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