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Extreme Networks (Extreme Networks) EBIT

: $118 Mil (TTM As of Dec. 2023)
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Extreme Networks's earnings before interest and taxes (EBIT) for the three months ended in Dec. 2023 was $11 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Dec. 2023 was $118 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Extreme Networks's annualized ROC % for the quarter that ended in Dec. 2023 was 4.65%. Extreme Networks's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2023 was 48.98%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. Extreme Networks's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Dec. 2023 was 8.39%.


Extreme Networks EBIT Historical Data

The historical data trend for Extreme Networks'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.

Extreme Networks Annual Data
Trend Jun14 Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23
EBIT
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -13.28 -96.74 33.04 64.98 111.49

Extreme Networks Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
EBIT 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 Premium Member Only Premium Member Only Premium Member Only 24.46 29.99 38.88 37.56 11.33

Competitive Comparison

For the Communication Equipment subindustry, Extreme Networks'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.


Extreme Networks EV-to-EBIT Distribution

For the Hardware industry and Technology sector, Extreme Networks's EV-to-EBIT distribution charts can be found below:

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



Extreme Networks 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 $118 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.


Extreme Networks  (NAS:EXTR) EBIT Explanation

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

Extreme Networks'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 )
=77.96 * ( 1 - 43.49% )/( (939.088 + 955.687)/ 2 )
=44.055196/947.3875
=4.65 %

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))
=1106.514 - 163.688 - ( 224.434 - max(0, 528.718 - 532.456+224.434))
=939.088

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))
=1142.658 - 177.694 - ( 221.403 - max(0, 548.966 - 558.243+221.403))
=955.687

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

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

Extreme Networks'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 )
=45.304/( ( (90.278 + max(-200.588, 0)) + (94.722 + max(-192.115, 0)) )/ 2 )
=45.304/( ( 90.278 + 94.722 )/ 2 )
=45.304/92.5
=48.98 %

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)
=(131.511 + 100.823 + 75.688) - (163.688 + 292.925 + 51.997)
=-200.588

Working Capital(Q: Dec. 2023 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(112.047 + 152.521 + 72.272) - (177.694 + 300.399 + 50.862)
=-192.115

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:

Extreme Networks's Earnings Yield (Joel Greenblatt) % for today is calculated as:

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Dec. 2023 )
=117.754/1404.093
=8.39 %

* 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.


Extreme Networks EBIT Related Terms

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Extreme Networks (Extreme Networks) Business Description

Traded in Other Exchanges
Address
2121 RDU Center Drive, Suite 300, Morrisville, NC, USA, 27560
Extreme Networks Inc provides software-driven networking services for enterprise customers. Its products include wired and wireless network infrastructure equipment and software for network management, policy, analytics, and access controls. It offers high-density Wi-Fi, centralized management, cloud-based network management, and application analytics capabilities. The company operates in a single segment which develops and markets network infrastructure equipment. Roughly half of the firm's revenue is generated in the Americas, with the rest coming from Europe, the Middle East, Africa, and Asia-Pacific.
Executives
Edward Meyercord director, officer: President and CEO C/O TALK AMERICA HOLDINGS INC, 12020 SUNRISE VALLEY DR, STE. 1500, RESTON VA 20191
Joseph A Vitalone officer: Chief Revenue Officer CO SHORETEL INC, 960 STEWART DRIVE, SUNNYVALE CA 94085
Raj Khanna director 145 RIO ROBLES, SAN JOSE CA 94134
Kevin R Rhodes officer: EVP Chief Financial Officer 20 HARVARD MILLS SQUARE, WAKEFIELD MA 01880
Edward H Kennedy director C/O TELLABS OPERATIONS INC, 1415 W DIEHL ROAD, NAPERVILLE IL 60563
Cristina Camahort Tate officer: Interim CFO C/O EXTREME NETWORKS, INC., 2121 RDU CENTER DRIVE SUITE 300, MORRISVILLE NC 27560
Remi Thomas officer: EVP Chief Financial Officer 6480 VIA DEL ORO, SAN JOSE CA 95119
Ingrid Burton director 1011 MCCARTHY BOULEVARD --, MILPITAS CA 95035
Kathleen M Holmgren director C/O EXTREME NETWORKS, INC, 145 RIO ROBLES, SAN JOSE CA 95134
Charles Carinalli director
John C Shoemaker director 1143 BORREGAS AVENUE, SUNNYVALE CA 94089
Robert J Gault officer: EVP Global Sales, Channel, Svc C/O EXTREME NETWORKS, INC, 145 RIO ROBLES, SAN JOSE CA 95134
Matthew Howard Cleaver officer: Interim CFO 6480 VIA DEL ORO, SAN JOSE CA 95119
Maryam Alexandrian-adams director 516 WELLS COURT, SAN RAMON CA 94582
John H Kispert director