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Legg Mason (Legg Mason) EBITDA : $580 Mil (TTM As of Jun. 2020)


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What is Legg Mason EBITDA?

Legg Mason's EBITDA for the three months ended in Jun. 2020 was $117 Mil. Its EBITDA for the trailing twelve months (TTM) ended in Jun. 2020 was $580 Mil.

During the past 12 months, the average EBITDA Growth Rate of Legg Mason was 222.40% per year. During the past 3 years, the average EBITDA Growth Rate was 0.30% per year. During the past 5 years, the average EBITDA Growth Rate was 9.90% per year. 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 EBITDA Growth Rate using EBITDA data.

During the past 13 years, the highest 3-Year average EBITDA Growth Rate of Legg Mason was 59.40% per year. The lowest was -47.50% per year. And the median was 8.75% per year.

Legg Mason's EBITDA per Share for the three months ended in Jun. 2020 was $1.30. Its EBITDA per share for the trailing twelve months (TTM) ended in Jun. 2020 was $6.59.

During the past 12 months, the average EBITDA per Share Growth Rate of Legg Mason was 215.80% per year. During the past 3 years, the average EBITDA per Share Growth Rate was 5.20% per year. During the past 5 years, the average EBITDA per Share Growth Rate was 16.70% per year. 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 EBITDA per share growth rate using EBITDA per Share data.

During the past 13 years, the highest 3-Year average EBITDA per Share Growth Rate of Legg Mason was 48.00% per year. The lowest was -50.10% per year. And the median was 7.35% per year.


Legg Mason EBITDA Historical Data

The historical data trend for Legg Mason's EBITDA 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.

Legg Mason EBITDA Chart

Legg Mason Annual Data
Trend Mar11 Mar12 Mar13 Mar14 Mar15 Mar16 Mar17 Mar18 Mar19 Mar20
EBITDA
Get a 7-Day Free Trial Premium Member Only Premium Member Only 83.54 564.26 424.70 218.63 587.78

Legg Mason Quarterly Data
Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20
EBITDA 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 124.60 148.87 169.95 144.37 117.03

Competitive Comparison of Legg Mason's EBITDA

For the Asset Management subindustry, Legg Mason's EV-to-EBITDA, along with its competitors' market caps and EV-to-EBITDA 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.


Legg Mason's EV-to-EBITDA Distribution in the Asset Management Industry

For the Asset Management industry and Financial Services sector, Legg Mason's EV-to-EBITDA distribution charts can be found below:

* The bar in red indicates where Legg Mason's EV-to-EBITDA falls into.


Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) is what the company earns before it expenses interest, taxes, depreciation and amortization.

Legg Mason's EBITDA for the fiscal year that ended in Mar. 2020 is calculated as

Legg Mason's EBITDA was directly provided by GuruFocus' data source Morningstar. For the fiscal year ended in Mar. 2020, Legg Mason's EBITDA was $588 Mil.

Legg Mason's EBITDA for the quarter that ended in Jun. 2020 is calculated as

Legg Mason's EBITDA was directly provided by GuruFocus' data source Morningstar. For the quarter ended in Jun. 2020, Legg Mason's EBITDA was $117 Mil.

EBITDA for the trailing twelve months (TTM) ended in Jun. 2020 adds up the quarterly data reported by the company within the most recent 12 months, which was $580 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.

Sometimes companies may have already deducted Depreciation and Amortization from Gross Profit. In this case Depreciation and Amortization needs to be added back when calculating EBITDA.

Legg Mason  (NYSE:LM) EBITDA Explanation

EBITDA is a cash flow measure that ignores changes in working capital. EBITDA minus Depreciation, and Amortization (DA) equals Operating Income. Operating Income is profit before interest and taxes. Of course, Interest and taxes need to be paid.

While depreciation and amortization expenses do not need to be paid in cash, assets - especially tangible assets - do need to be replaced over time. EBITDA is not a measure of profit in any sense. EBITDA is a measure of cash generation by a business where the uses of that cash may be more or less discretionary depending on the nature of the business.

The EBITDA of a TV station is largely discretionary. Owners may use much of the EBITDA generated by a TV station as they see fit. The EBITDA of a railroad is largely non-discretionary. Owners must use much of the EBITDA generated by a railroad to replace the physical assets of the railroad or the business will literally fall apart over time.

EBITDA can be thought of as the cash a business generates that is available to:

Add more inventory
Add more receivables
Replace property, plant, and equipment
Add more property, plant, and equipment
Pay interest
Pay taxes
And finally: pay owners

EBITDA is widely used in financial analysis because Depreciation and Amortization are not present day cash expenses.. Depreciation and amortization are the spreading out of the costs of assets over the time in which those assets provide benefits. Today's depreciation and amortization expenses relate to assets bought in the past. The assets being expensed may or may not need to be replaced in the future. And the cost to replace the assets may be more or less than it was in the past. For this reason, the depreciation and amortization expenses a company records in the present year may have no relationship to the actual cash costs needed to maintain its assets in future years.

A company's depreciation expense depends on both its expectations about the assets it owns and its choice of accounting methods. Two companies owning identical assets may have different depreciation expenses because they have different expectations about the useful lives of those assets and because they make different accounting choices.

Analysts use EBITDA to remove this element of personal choice from a company's accounting statements. The use of EBITDA is an attempt to make the results of different companies more comparable and uniform.


Be Aware

Although depreciation is not a cash cost it is a real business cost because the company has to pay for the fixed assets when they purchase them. Both Warren Buffett and Charlie Munger hate the idea of EBITDA because in this calculation, depreciation is not counted as an expense.

EBITDA over Revenue is a good metric for comparing the operating efficiencies between companies because EBITDA is less vulnerable to companies' accounting choices. For this reason, EBITDA is used in ranking the Predictability of Companies. Also Price-to-EBITDA is sometimes used in valuations.


Legg Mason EBITDA Related Terms

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Legg Mason (Legg Mason) Business Description

Traded in Other Exchanges
N/A
Address
100 International Drive, Baltimore, MD, USA, 21202-1099
Legg Mason provides investment management services for institutional and individual investors. The firm had $783.4 billion in managed assets at the end of June, spread among its equity (25% of total AUM), fixed-income (57%), alternatives (9%), and money market (9%) investment platforms. Legg Mason uses a multiaffiliate business model, with its single- largest affiliate, Western Asset Management, accounting for more than 60% of managed assets. Other major affiliates include ClearBridge Investments (more than 15% of AUM), Brandywine (less than 10%), and Clarion Partners (less than 10%). The remaining affiliates--Martin Currie, Royce & Associates, EnTrustPermal, QS Investors, and RARE Infrastructure--each account for 2% or less of Legg Mason's managed assets.

Legg Mason (Legg Mason) Headlines

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