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Kimball Electronics (Kimball Electronics) Operating Income : $85 Mil (TTM As of Mar. 2024)


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What is Kimball Electronics Operating Income?

Kimball Electronics's Operating Income for the three months ended in Mar. 2024 was $18 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2024 was $85 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Kimball Electronics's Operating Income for the three months ended in Mar. 2024 was $18 Mil. Kimball Electronics's Revenue for the three months ended in Mar. 2024 was $425 Mil. Therefore, Kimball Electronics's Operating Margin % for the quarter that ended in Mar. 2024 was 4.13%.

Good Sign:

Kimball Electronics Inc operating margin is expanding. Margin expansion is usually a good sign.

Kimball Electronics's 5-Year average Growth Rate for Operating Margin % was 5.00% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Kimball Electronics's annualized ROC % for the quarter that ended in Mar. 2024 was 3.76%. Kimball Electronics's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2024 was -4.03%.


Kimball Electronics Operating Income Historical Data

The historical data trend for Kimball Electronics'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.

Kimball Electronics Operating Income Chart

Kimball Electronics Annual Data
Trend Jun14 Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23
Operating Income
Get a 7-Day Free Trial Premium Member Only Premium Member Only 42.06 39.92 65.70 52.55 87.73

Kimball Electronics 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 25.22 31.45 19.49 16.61 17.58

Kimball Electronics 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 $85 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.


Kimball Electronics  (NAS:KE) Operating Income Explanation

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

Kimball Electronics'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 )
=70.3 * ( 1 - 52.36% )/( (893.73 + 887.825)/ 2 )
=33.49092/890.7775
=3.76 %

where

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))
=1277.034 - 343.357 - ( 39.947 - max(0, 472.839 - 930.502+39.947))
=893.73

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))
=1260.828 - 307.795 - ( 65.208 - max(0, 437.881 - 888.011+65.208))
=887.825

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

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

Kimball Electronics'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 )
=-27.512/( ( (275.984 + max(422.59, 0)) + (273.823 + max(393.467, 0)) )/ 2 )
=-27.512/( ( 698.574 + 667.29 )/ 2 )
=-27.512/682.932
=-4.03 %

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)
=(309.702 + 455.736 + 43.226) - (343.357 + 42.717 + 0)
=422.59

Working Capital(Q: Mar. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(277.894 + 396.199 + 72.637) - (307.795 + 36.099 + 9.369)
=393.467

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 %:

Kimball Electronics'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 )
=17.575/425.036
=4.13 %

* 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.


Kimball Electronics Operating Income Related Terms

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Kimball Electronics (Kimball Electronics) Business Description

Traded in Other Exchanges
Address
1205 Kimball Boulevard, Jasper, IN, USA, 47546
Kimball Electronics Inc is a contract electronic manufacturing services company. The company is engaged in producing durable electronics for the automotive, medical, industrial, and public safety end markets. The company's engineering, manufacturing, and supply chain services utilize common production and support capabilities. It is also engaged in producing safety-critical electronic assemblies for its automotive customers. Geographically, it derives a majority of revenue from the United States.
Executives
Richard D Phillips officer: CEO 1205 KIMBALL BLVD., JASPER IN 47546
Tom George Vadaketh director 1727 JOCKEYS WAY, YARDLEY PA 19067
Isabel S Wells officer: CIO 1205 KIMBALL BLVD., JASPER IN 47546
Douglas Hass officer: CL&CO, Secretary 1205 KIMBALL BLVD., JASPER IN 47546
John H Kahle officer: VICE PRESIDENT 1205 KIMBALL BLVD., JASPER IN 47546
Adam M Baumann officer: Corporate Controller 1205 KIMBALL BLVD., JASPER IN 47546
Jana T Croom officer: Vice President, Finance 1205 KIMBALL BLVD., JASPER IN 47546
Leroy W Kemper officer: Vice President 1205 KIMBALL BLVD, JASPER IN 47546
Michele Holcomb director 7000 CARDINAL PLACE, DUBLIN OH 43017
Deursen Holly Van director 21211 NORDHOFF STREET, CHATSWORTH CA 91311
Robert J Phillippy director
Kathy R Thomson officer: Vice President 1205 KIMBALL BLVD, JASPER IN 47546
Desiree L. Castillejos officer: Vice President 1205 KIMBALL BLVD, JASPER IN 47546
Jessica L Delorenzo officer: Vice President 1205 KIMBALL BLVD, JASPER IN 47546
Repplier Colleen C director 1205 KIMBALL BLVD., JASPER IN 47546

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