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Investment AB Latour (OSTO:LATO B) Operating Income : kr3,552 Mil (TTM As of Mar. 2024)


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What is Investment AB Latour Operating Income?

Investment AB Latour's Operating Income for the three months ended in Mar. 2024 was kr818 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2024 was kr3,552 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Investment AB Latour's Operating Income for the three months ended in Mar. 2024 was kr818 Mil. Investment AB Latour's Revenue for the three months ended in Mar. 2024 was kr6,122 Mil. Therefore, Investment AB Latour's Operating Margin % for the quarter that ended in Mar. 2024 was 13.36%.

Good Sign:

Investment AB Latour operating margin is expanding. Margin expansion is usually a good sign.

Investment AB Latour's 5-Year average Growth Rate for Operating Margin % was 2.40% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Investment AB Latour's annualized ROC % for the quarter that ended in Mar. 2024 was 5.19%. Investment AB Latour's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2024 was 111.77%.


Investment AB Latour Operating Income Historical Data

The historical data trend for Investment AB Latour'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.

Investment AB Latour Operating Income Chart

Investment AB Latour 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 1,965.00 2,030.00 2,556.00 3,111.00 3,686.00

Investment AB Latour 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 952.00 969.00 796.00 969.00 818.00

Investment AB Latour 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 kr3,552 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.


Investment AB Latour  (OSTO:LATO B) Operating Income Explanation

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

Investment AB Latour'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 )
=3272 * ( 1 - 7.43% )/( (55914 + 60859)/ 2 )
=3028.8904/58386.5
=5.19 %

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:

Investment AB Latour'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 )
=9028/( ( (3469 + max(4038, 0)) + (3620 + max(5027, 0)) )/ 2 )
=9028/( ( 7507 + 8647 )/ 2 )
=9028/8077
=111.77 %

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)
=(4033 + 4519 + 362) - (2116 + 0 + 2760)
=4038

Working Capital(Q: Mar. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(5759 + 4759 + 0) - (0 + 0 + 5491)
=5027

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 %:

Investment AB Latour'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 )
=818/6122
=13.36 %

* 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.


Investment AB Latour Operating Income Related Terms

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Investment AB Latour (OSTO:LATO B) Business Description

Traded in Other Exchanges
Address
J A Wettergrens Gata 7, P.O. Box 336, Gothenburg, SWE, 401 25
Investment AB Latour is an investment holding company that makes investments in wholly owned industrial operations and a portfolio of securities. Latour has a long-term and activist orientation, with the vast majority of its total net asset value deriving from companies that have been in its portfolio for more than 20 years. The company measures its performance against its benchmark, the Stockholm Stock Exchange's total return index. Its criterion is to invest in companies that have their own products that meet growing international demand. Latour specifically evaluates four trends: demographic development, sustainability, globalization, and competition for limited resources.

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