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Roku (ROKU) EBIT : $-699 Mil (TTM As of Dec. 2023)


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What is Roku EBIT?

Roku's earnings before interest and taxes (EBIT) for the three months ended in Dec. 2023 was $-77 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Dec. 2023 was $-699 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Roku's annualized ROC % for the quarter that ended in Dec. 2023 was -31.10%. Roku's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2023 was -46.18%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. Roku's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Dec. 2023 was -9.14%.


Roku EBIT Historical Data

The historical data trend for Roku'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.

Roku EBIT Chart

Roku Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
EBIT
Get a 7-Day Free Trial Premium Member Only -58.55 -15.02 239.57 -487.12 -698.70

Roku 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 -236.28 -189.36 -105.96 -326.88 -76.50

Competitive Comparison of Roku's EBIT

For the Entertainment subindustry, Roku'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.


Roku's EV-to-EBIT Distribution in the Media - Diversified Industry

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

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



Roku 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 $-699 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.


Roku  (NAS:ROKU) EBIT Explanation

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

Roku'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 )
=-416.672 * ( 1 - -2.29% )/( (1381.852 + 1359.106)/ 2 )
=-426.2137888/1370.479
=-31.10 %

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))
=4190.779 - 1045.67 - ( 2003.408 - max(0, 1207.744 - 2971.001+2003.408))
=1381.852

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))
=4261.792 - 1105.271 - ( 2025.891 - max(0, 1275.527 - 3072.942+2025.891))
=1359.106

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

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

Roku'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 )
=-306.012/( ( (689.308 + max(-176.313, 0)) + (636 + max(-160.377, 0)) )/ 2 )
=-306.012/( ( 689.308 + 636 )/ 2 )
=-306.012/662.654
=-46.18 %

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)
=(720.398 + 105.374 + 141.821) - (1045.67 + 98.236 + -2.2737367544323E-13)
=-176.313

Working Capital(Q: Dec. 2023 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(816.337 + 92.129 + 138.585) - (1105.271 + 102.157 + 2.2737367544323E-13)
=-160.377

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:

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

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Dec. 2023 )
=-698.7/7642.995
=-9.14 %

* 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.


Roku EBIT Related Terms

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Roku (ROKU) Business Description

Traded in Other Exchanges
Address
1155 Coleman Avenue, San Jose, CA, USA, 95110
Roku is the leading streaming platform in the U.S. by hours watched with 87.4 billion hours of content streamed in 2022. The firm's namesake operating system is used not only in Roku's own hardware but in cobranded TVs and soundbars from manufacturers like TCL, Onn, and Hisense. Roku generates revenue from advertising, distribution fees, hardware sales, OS licensing, and subscription sales.
Executives
Anthony J. Wood director, 10 percent owner, officer: CEO and Chairman BOD C/O ROKU, INC., 150 WINCHESTER CIRCLE, LOS GATOS CA 95032
Matthew C. Banks officer: VP, Corp Controller & CAO 1155 COLEMAN AVE, SAN JOSE CA 95110
Mustafa Ozgen officer: President, Devices 150 WINCHESTER CIRCLE, LOS GATOS CA 95032
Charles Collier officer: President, Roku Media 1155 COLEMAN AVE, SAN JOSE CA 95110
Gilbert Fuchsberg officer: SVP, Corporate Development 1155 COLEMAN AVE, SAN JOSE CA 95110
Stephen H Kay officer: SVP General Counsel, Secretary 6922 HOLLYWOOD BLVD., 12TH FLOOR, LOS ANGELES CA 90028
Gidon Katz officer: President, Consumer Experience 1155 COLEMAN AVE, SAN JOSE CA 95110
Dan Jedda officer: CFO C/O STITCH FIX, INC., 1 MONTGOMERY STREET, SUITE 1500, SAN FRANCISCO CA 94104
Mai Fyfield director C/O ROKU, INC., 150 WINCHESTER CIRCLE, LOS GATOS CA 95032
Ray A. Rothrock director 3340 HILLVIEW AVENUE, PALO ALTO CA 94304
Ravi Ahuja director C/O TWENTY-FIRST CENTURY FOX, INC., 1211 AVENUE OF THE AMERICAS, NEW YORK NY 10036
Jeffrey M Blackburn director PO BOX 81226, SEATTLE WA 98108-1226
Gina Luna director 24955 INTERSTATE 45 N, THE WOODLANDS TX 77380
Laurie Simon Hodrick director C/O 655 BROAD STREET, NEWARK NJ 07102
Jeff Hastings director AVID TECHNOLOGY, INC., ONE PARK WEST, TEWKSBURY MA 01876