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Lam Research (Lam Research) EBIT

: $4,101 Mil (TTM As of Dec. 2023)
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Lam Research's earnings before interest and taxes (EBIT) for the three months ended in Dec. 2023 was $1,133 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Dec. 2023 was $4,101 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Lam Research's annualized ROC % for the quarter that ended in Dec. 2023 was 30.88%. Lam Research's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2023 was 82.43%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. Lam Research's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Dec. 2023 was 3.54%.


Lam Research EBIT Historical Data

The historical data trend for Lam Research's EBIT 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.

Lam Research Annual Data
Trend Jun14 Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23
EBIT
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2,563.83 2,752.42 4,579.40 5,377.87 5,295.67

Lam Research Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
EBIT 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 1,698.59 986.14 910.15 1,070.96 1,133.36

Competitive Comparison

For the Semiconductor Equipment & Materials subindustry, Lam Research's EV-to-EBIT, along with its competitors' market caps and EV-to-EBIT data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Lam Research EV-to-EBIT Distribution

For the Semiconductors industry and Technology sector, Lam Research's EV-to-EBIT distribution charts can be found below:

* The bar in red indicates where Lam Research's EV-to-EBIT falls into.



Lam Research EBIT Calculation

EBIT, sometimes also called Earnings Before Interest and Taxes, is a measure of a firm's profit that includes all expenses except interest and income tax expenses. It is the difference between operating revenues and operating expenses. When a firm does not have non-operating income, then Operating Income is sometimes used as a synonym for EBIT and operating profit.

EBIT for the trailing twelve months (TTM) ended in Dec. 2023 adds up the quarterly data reported by the company within the most recent 12 months, which was $4,101 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.


Lam Research  (NAS:LRCX) EBIT Explanation

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

Lam Research'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: Sep. 2023 ) + Invested Capital (Q: Dec. 2023 ))/ count )
=4235.6 * ( 1 - 12.22% )/( (12001.137 + 12075.965)/ 2 )
=3718.00968/12038.551
=30.88 %

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))
=18538.457 - 1380.613 - ( 5156.707 - max(0, 4247.177 - 12993.562+5156.707))
=12001.137

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))
=18783.852 - 1069.878 - ( 5638.009 - max(0, 4272.383 - 13054.612+5638.009))
=12075.965

Note: The Operating Income data used here is four times the quarterly (Dec. 2023) data.

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

Lam Research'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: Sep. 2023  Q: Dec. 2023
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=4533.456/( ( (2110.511 + max(3593.539, 0)) + (2147.482 + max(3147.999, 0)) )/ 2 )
=4533.456/( ( 5704.05 + 5295.481 )/ 2 )
=4533.456/5499.7655
=82.43 %

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)
=(2810.953 + 4747.781 + 278.121) - (1380.613 + 1595.098 + 1267.605)
=3593.539

Working Capital(Q: Dec. 2023 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(2707.458 + 4429.906 + 279.239) - (1069.878 + 1792.955 + 1405.771)
=3147.999

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Dec. 2023) EBIT data.

3. It is also linked to Joel Greenblatt's definition of Earnings Yield:

Lam Research's Earnings Yield (Joel Greenblatt) % for today is calculated as:

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Dec. 2023 )
=4100.611/115689.199
=3.54 %

* 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.


Lam Research EBIT Related Terms

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


Lam Research (Lam Research) Business Description

Address
4650 Cushing Parkway, Fremont, CA, USA, 94538
Lam Research is one of the largest semiconductor wafer fabrication equipment, or WFE, manufacturers in the world. It specializes in the market segments of deposition and etch, which entail the buildup of layers on a semiconductor and the subsequent selective removal of patterns from each layer. Lam holds the top market share in etch and holds the clear cut second share in deposition. It is more exposed to memory chipmakers for DRAM and NAND chips. It counts as top customers the largest chipmakers in the world, including TSMC, Samsung, Intel, and Micron.
Executives
Timothy Archer officer: Chief Operating Officer 4650 CUSHING PARKWAY, FREMONT CA 94538
Ava Hahn officer: Chief Legal Officer & SVP 4650 CUSHING PARKWAY, C/O LAM RESEARCH, FREMONT CA 94538
Abhijit Y Talwalkar director ONE AMD PLACE, PO BOX 3453, SUNNYVALE CA 94088
Christina Corrreia officer: CVP , Chief Accounting Officer 4650 CUSHING PKWY, FREMONT CA 94538
Patrick J Lord officer: Group Vice President C/O LAM RESEARCH CORP, 4650 CUSHING PARKWAY, FREMONT CA 94538
John M. Dineen director MERRIMACK PHARMACEUTICALS, INC., ONE KENDALL SQUARE, SUITE B7201, CAMBRIDGE MA 02139
Douglas R Bettinger officer: EVP, Chief Financial Officer C/O LAM RESEARCH CORPORATION, 4650 CUSHING PARKWAY, FREMONT CA 94538
Vahid Vahedi officer: Group Vice President LAM RESEARCH CORPORATION, 4650 CUSHING PARKWAY, FREMONT CA 94538
Neil J Fernandes officer: Senior Vice President 4650 CUSHING PKWY, FREMONT CA 94538
Ho Kyu Kang director 4650 CUSHING PKWY, FREMONT CA 94538
Richard A Gottscho officer: Executive Vice President 4650 CUSHING PARKWAY, FREMONT CA 94538
Sohail U Ahmed director 4650 CUSHING PARKWAY, FREMONT CA 94538
Scott Gerald Meikle officer: Senior Vice President 1007 N. 17TH STREET, BOISE ID 83702
Catherine P Lego director C/O GUIDEWIRE SOFTWARE, INC., 970 PARK PL, SUITE 200, SAN MATEO CA 94403
Seshasayee Varadarajan officer: Group Vice President LAM RESEARCH CORPORATION, 4650 CUSHING PARKWAY, FREMONT CA 94538