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Omnicom Group (Omnicom Group) EBIT

: $2,332 Mil (TTM As of Mar. 2024)
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Omnicom Group's earnings before interest and taxes (EBIT) for the three months ended in Mar. 2024 was $506 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Mar. 2024 was $2,332 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Omnicom Group's annualized ROC % for the quarter that ended in Mar. 2024 was 8.24%. Omnicom Group's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2024 was 106.43%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. Omnicom Group's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Mar. 2024 was 10.68%.


Omnicom Group EBIT Historical Data

The historical data trend for Omnicom Group'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.

Omnicom Group Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
EBIT
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 2,177.20 1,625.90 2,191.40 2,145.90 2,208.50

Omnicom Group Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 382.10 580.80 576.00 669.60 505.90

Competitive Comparison

For the Advertising Agencies subindustry, Omnicom Group'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.


Omnicom Group EV-to-EBIT Distribution

For the Media - Diversified industry and Communication Services sector, Omnicom Group's EV-to-EBIT distribution charts can be found below:

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



Omnicom Group 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 Mar. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was $2,332 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.


Omnicom Group  (NYSE:OMC) EBIT Explanation

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

Omnicom Group'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 )
=1915.6 * ( 1 - 25.66% )/( (16920.8 + 17644.4)/ 2 )
=1424.05704/17282.6
=8.24 %

where

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))
=27275.6 - 10718.7 - ( 3172.8 - max(0, 14953.8 - 13866.3+3172.8))
=17644.4

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

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

Omnicom Group'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 )
=2023.6/( ( (1921.3 + max(-4532.4, 0)) + (1881.3 + max(-3498.8, 0)) )/ 2 )
=2023.6/( ( 1921.3 + 1881.3 )/ 2 )
=2023.6/1901.3
=106.43 %

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)
=(8659.8 + 1342.5 + 949.9) - (11985.6 + 1356.2 + 2142.8)
=-4532.4

Working Capital(Q: Mar. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(7905.8 + 1711.6 + 1076.1) - (10718.7 + 1238.2 + 2235.4)
=-3498.8

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

Omnicom Group's Earnings Yield (Joel Greenblatt) % for today is calculated as:

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Mar. 2024 )
=2332.3/21835.681
=10.68 %

* 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.


Omnicom Group EBIT Related Terms

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Omnicom Group (Omnicom Group) Business Description

Traded in Other Exchanges
Address
280 Park Avenue, New York, NY, USA, 10017
Omnicom is the world's second-largest ad holding company, based on annual revenue. The firm's services, which include traditional and digital advertising and public relations, are provided worldwide, with over 80% of its revenue coming from more developed regions such as North America and Europe.
Executives
Linda Johnson Rice director
Andrew Castellaneta officer: SVP, Chief Accounting Officer C/O OMNICOM GROUP INC., 437 MADISON AVENUE, NEW YORK NY 10022
Mark D Gerstein director C/O OMNICOM GROUP INC., 280 PARK AVENUE, NEW YORK NY 10017
Rochelle M. Tarlowe officer: Senior VP and Treasurer C/O OMNICOM GROUP INC., 437 MADISON AVENUE, NEW YORK NY 10022
Jonathan B. Nelson officer: CEO, Omnicom Digital C/O OMNICOM GROUP INC., 437 MADISON AVENUE, NEW YORK NY 10022
John Wren director, officer: President and CEO
Louis F Januzzi officer: Senior VP, Gen. Counsel & Sec. C/O OMNICOMGROUP, 280 PARK AVENUE, NEW YORK NY 10017
Michael J Obrien officer: Senior VP, Gen. Counsel & Sec. C/O OMNICOM GROUP INC, 437 MADISON AVE, NEW YORK NY 10022
Patricia Salas Pineda director C/O LEVI STRAUSS & CO., 1155 BATTERY STREET, SAN FRANCISCO CA 94111
Coleman Leonard S Jr director C/O ELECTRONIC ARTS INC., 209 REDWOOD SHORES PARKWAY, REDWOOD CITY, CA 94065
Dennis E. Hewitt officer: Treasurer 437 MADISON AVENUE, NEW YORK NY 10022
Ronnie S. Hawkins director C/O OMNICOM GROUP INC., 437 MADISON AVENUE, NEW YORK NY 10022
Peter K. Sherman officer: Executive Vice President C/O OMNICOM GROUP INC., 437 MADISON AVENUE, NEW YORK NY 10022
Gracia C Martore director C/O OMNICOM GROUP INC., 437 MADISON AVENUE, NEW YORK NY 10022
Bruce Crawford director, officer: Chairman