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Argan's earnings before interest and taxes (EBIT) for the three months ended in Oct. 2024 was $30.3 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Oct. 2024 was $67.3 Mil.
EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Argan's annualized ROC % for the quarter that ended in Oct. 2024 was 27.22%. Argan's annualized ROC (Joel Greenblatt) % for the quarter that ended in Oct. 2024 was 600.04%.
EBIT is also linked to Joel Greenblatt's definition of earnings yield. Argan's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Oct. 2024 was 4.46%.
The historical data trend for Argan'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.
Argan Annual Data | |||||||||||||||||||||
Trend | Jan15 | Jan16 | Jan17 | Jan18 | Jan19 | Jan20 | Jan21 | Jan22 | Jan23 | Jan24 | |||||||||||
EBIT | Get a 7-Day Free Trial | -50.95 | 23.03 | 52.41 | 41.67 | 36.46 |
Argan Quarterly Data | ||||||||||||||||||||
Jan20 | Apr20 | Jul20 | Oct20 | Jan21 | Apr21 | Jul21 | Oct21 | Jan22 | Apr22 | Jul22 | Oct22 | Jan23 | Apr23 | Jul23 | Oct23 | Jan24 | Apr24 | Jul24 | Oct24 | |
EBIT | Get a 7-Day Free Trial | 7.86 | 11.72 | 6.52 | 18.68 | 30.33 |
For the Engineering & Construction subindustry, Argan'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.
For the Construction industry and Industrials sector, Argan's EV-to-EBIT distribution charts can be found below:
* The bar in red indicates where Argan's EV-to-EBIT falls into.
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 Oct. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was $67.3 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.
Argan (NYSE:AGX) EBIT Explanation
1. EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition.
Argan's annualized ROC % for the quarter that ended in Oct. 2024 is calculated as:
ROC % (Q: Oct. 2024 ) | ||||||
= | NOPAT | / | Average Invested Capital | |||
= | Operating Income * ( 1 - Tax Rate % ) | / | ( (Invested Capital (Q: Jul. 2024 ) | + | Invested Capital (Q: Oct. 2024 )) | / count ) |
= | 121.328 * ( 1 - 24.25% ) | / | ( (327.067 | + | 348.196) | / 2 ) |
= | 91.90596 | / | 337.6315 | |||
= | 27.22 % |
where
Invested Capital | (Q: Jul. 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 | )) |
= | 726.574 | - | 139.68 | - | ( 484.682 | - | max(0, 415.127 | - | 674.954 | + | 484.682 | )) |
= | 327.067 |
Invested Capital | (Q: Oct. 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 | )) |
= | 768.864 | - | 139.691 | - | ( 506.282 | - | max(0, 436.164 | - | 717.141 | + | 506.282 | )) |
= | 348.196 |
Note: The Operating Income data used here is four times the quarterly (Oct. 2024) data.
2. Joel Greenblatt's definition of Return on Capital:
Argan's annualized ROC (Joel Greenblatt) % for the quarter that ended in Oct. 2024 is calculated as:
ROC (Joel Greenblatt) % | (Q: Oct. 2024 ) | ||||||
= | EBIT | / | Average of (Net fixed Assets | + | Net Working Capital) | ||
= | EBIT | / | Average of (Property, Plant and Equipment | + | Net Working Capital) | ||
Q: Jul. 2024 | Q: Oct. 2024 | ||||||
= | EBIT | / | ( ( (Property, Plant and Equipment + Net Working Capital) | + | (Property, Plant and Equipment + Net Working Capital) ) | / | count ) |
= | 121.328 | / | ( ( (19.928 + max(-285.533, 0)) | + | (20.512 + max(-286.203, 0)) ) | / | 2 ) |
= | 121.328 | / | ( ( 19.928 | + | 20.512 ) | / | 2 ) |
= | 121.328 | / | 20.22 | ||||
= | 600.04 % |
where Working Capital is:
Working Capital | (Q: Jul. 2024 ) | ||||||||||
= | (Accounts Receivable | + | Total Inventories | + | Other Current Assets) | - | (Accounts Payable & Accrued Expense | + | Defer. Rev. | + | Other Current Liabilities) |
= | (95.315 | + | 8.214 | + | 22.369) | - | (139.68 | + | 253.736 | + | 18.015) |
= | -285.533 |
Working Capital | (Q: Oct. 2024 ) | ||||||||||
= | (Accounts Receivable | + | Total Inventories | + | Other Current Assets) | - | (Accounts Payable & Accrued Expense | + | Defer. Rev. | + | Other Current Liabilities) |
= | (131.66 | + | 3.438 | + | 12.215) | - | (139.691 | + | 270.686 | + | 23.139) |
= | -286.203 |
When net working capital is negative, 0 is used.
Note: The EBIT data used here is four times the quarterly (Oct. 2024) EBIT data.
3. It is also linked to Joel Greenblatt's definition of Earnings Yield:
Argan's Earnings Yield (Joel Greenblatt) % for today is calculated as:
Earnings Yield (Joel Greenblatt) % | = | EBIT (TTM) | / | Enterprise Value (Q: Oct. 2024 ) |
= | 67.252 | / | 1507.655 | |
= | 4.46 % |
* 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.
Thank you for viewing the detailed overview of Argan's EBIT provided by GuruFocus.com. Please click on the following links to see related term pages.
Griffin William F Jr | director, officer: VC/CEO of Gemma Power Systems | C/O GEMMA POWER SYSTEMS, LLC, 769 HEBRON AVENUE, GLASTONBURY CT 06033 |
Rainer H Bosselmann | director, officer: Chairman of the Board and CEO | PUROFLOW INCORPORATED, ONE CHURCH STREET SUITE 302, ROCKVILLE MD 20850 |
Cynthia Flanders | director, officer: SVP & CFO | 10006 WILDWOOD ROAD, KENSINGTON MD 20895 |
William F. Leimkuhler | director | 43 SALEM STRAITS RD, DARIEN CT 06820 |
James W Quinn | director | PUROFLOW INCORPORATED, ONE CHURCH STREET SUITE 302, ROCKVILLE MD 20850 |
Mano S Koilpillai | director | 7380 IRA SEARS ROAD, ADAMSTOWN MD 21710 |
David Hibbert Watson | officer: SVP and CFO | C/O ARGAN, INC., ONE CHURCH STREET, SUITE 201, ROCKVILLE MD 20850 |
Peter W Getsinger | director | 35 SNOW?S POINT, EDGARTOWN MA 02539 |
Mitchell W G Champion | director | NETWORK SOLUTIONS, INC., 3009 RIVER LANE, NEW BERN NC 28562 |
Richard H Deily | officer: Vice President | C/O ARGAN, INC., ONE CHURCH STREET, SUITE 201, ROCKVILLE MD 20850 |
Jeffrey John Ronald Jr. | director | 55 GRANDVIEW CIRCLE, MANHASSET NY 11030 |
Trebilcock Terrance Colin | officer: Co-President, Gemma Power Sys. | 64 SADDLE RIDGE ROAD, GLASTONBURY CT 06033 |
Collins Charles Edwin Iv | officer: Co-President, Gemma Power Sys. | 68 HICKORY DRIVE, SOUTH GLASTONBURY CT 06073 |
James E Quinn | director | C/O TIFFANY & CO LEGAL DEPT, 727 FIFTH AVE, NEW YORK NY 10022 |
Henry A Crumpton | director | 2101 WILSON BLVD., SUITE 500, ARLINGTON VA 20005 |
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