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AKAM (Akamai Technologies) EBIT : $652 Mil (TTM As of Sep. 2024)


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What is Akamai Technologies EBIT?

Akamai Technologies's earnings before interest and taxes (EBIT) for the three months ended in Sep. 2024 was $79 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Sep. 2024 was $652 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Akamai Technologies's annualized ROC % for the quarter that ended in Sep. 2024 was 5.44%. Akamai Technologies's annualized ROC (Joel Greenblatt) % for the quarter that ended in Sep. 2024 was 10.17%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. Akamai Technologies's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Sep. 2024 was 3.63%.


Akamai Technologies EBIT Historical Data

The historical data trend for Akamai Technologies'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.

Akamai Technologies EBIT Chart

Akamai Technologies Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
EBIT
Get a 7-Day Free Trial Premium Member Only Premium Member Only 581.85 685.20 800.55 669.10 670.24

Akamai Technologies Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
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 182.85 206.99 195.08 171.72 78.59

Competitive Comparison of Akamai Technologies's EBIT

For the Software - Infrastructure subindustry, Akamai Technologies'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.


Akamai Technologies's EV-to-EBIT Distribution in the Software Industry

For the Software industry and Technology sector, Akamai Technologies's EV-to-EBIT distribution charts can be found below:

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



Akamai Technologies 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 Sep. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was $652 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.


Akamai Technologies  (NAS:AKAM) EBIT Explanation

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

Akamai Technologies's annualized ROC % for the quarter that ended in Sep. 2024 is calculated as:

ROC % (Q: Sep. 2024 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Jun. 2024 ) + Invested Capital (Q: Sep. 2024 ))/ count )
=630.744 * ( 1 - 21.54% )/( (9054.579 + 9143.802)/ 2 )
=494.8817424/9099.1905
=5.44 %

where

Invested Capital(Q: Jun. 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))
=10087.532 - 408.369 - ( 1637.274 - max(0, 1945.876 - 2570.46+1637.274))
=9054.579

Invested Capital(Q: Sep. 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))
=10190.457 - 395.248 - ( 1699.205 - max(0, 1983.023 - 2634.43+1699.205))
=9143.802

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

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

Akamai Technologies's annualized ROC (Joel Greenblatt) % for the quarter that ended in Sep. 2024 is calculated as:

ROC (Joel Greenblatt) %(Q: Sep. 2024 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Jun. 2024  Q: Sep. 2024
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=314.356/( ( (2899.533 + max(177.209, 0)) + (2954.931 + max(148.315, 0)) )/ 2 )
=314.356/( ( 3076.742 + 3103.246 )/ 2 )
=314.356/3089.994
=10.17 %

where Working Capital is:

Working Capital(Q: Jun. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(499.108 + 0 + 233.928) - (408.369 + 139.934 + 7.5239999999999)
=177.209

Working Capital(Q: Sep. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(492.539 + 0 + 238.732) - (395.248 + 138.929 + 48.779)
=148.315

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Sep. 2024) EBIT data.

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

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

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Sep. 2024 )
=652.371/17991.767
=3.63 %

* 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.


Akamai Technologies EBIT Related Terms

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Akamai Technologies Business Description

Address
145 Broadway, Cambridge, MA, USA, 02142
Akamai operates a content delivery network, which entails locating servers at the edges of networks so its customers, which store content on Akamai servers, can reach their own customers faster, more securely, and with better quality. Akamai has over 325,000 servers distributed over 4,100 points of presence in more than 1,000 cities worldwide. The firm also offers security and cloud computing for its customers, and those businesses have grown to be bigger than the legacy CDN.
Executives
William Raymond Wagner director C/O VOCUS, INC., 4296 FORBES BOULEVARD, LANHAM MD 20706
Paul C Joseph officer: EVP - Global Sales C/O AKAMAI TECHNOLOGIES, INC., 145 BROADWAY, CAMBRIDGE MA 02142
Robert Blumofe officer: EVP Platform C/O AKAMAI TECHNOLOGIES, INC., 8 CAMBRIDGE CENTER, CAMBRIDGE MA 02142
Anthony P Williams officer: EVP and CHRO C/O AKAMAI TECHNOLOGIES, INC., 145 BROADWAY, CAMBRIDGE MA 02142
F Thomson Leighton director, officer: Chief Scientist 500 TECHNOLOGY SQUARE, FIFTH FLOOR, CAMBRIDGE MA 02139
Adam Karon officer: EVP & GM Media Division C/O AKAMAI TECHNOLOGIES, INC., 150 BROADWAY, CAMBRIDGE MA 02142
Aaron Ahola officer: SVP & General Counsel C/O AKAMAI TECHNOLOGIES, INC., 150 BROADWAY, CAMBRIDGE MA 02142
Edward J Mcgowan officer: Chief Financial Officer C/O AKAMAI TECHNOLOGIES, INC., 150 BROADWAY, CAMBRIDGE MA 02142
Mani Sundaram officer: EVP GSS and CIO C/O AKAMAI TECHNOLOGIES, INC., 145 BROADWAY, CAMBRIDGE MA 02142
Kim Salem-jackson officer: EVP, Chief Marketing Officer C/O AKAMAI TECHNOLOGIES, INC., 145 BROADWAY, CAMBRIDGE MA 02142
Madhu Ranganathan director 760 MARKET STREET, 4TH FLOOR, SAN FRANCISCO CA 94102
Verwaayen Bernardus Johannes Maria director 55 GLENLAKE PARKWAY NE, ATLANTA GA 30328
Rick M Mcconnell officer: EVP - Products and Development LATITUDE, 2121 TASMAN DRIVE, SANTA CLARA CA 4089887256
Monte E Ford director C/O AKAMAI TECHNOLOGIES, INC., 8 CAMBRIDGE CENTER, CAMBRIDGE MA 02142
Laura Howell officer: VP, Chief Accounting Officer C/O AKAMAI TECHNOLOGIES, INC., 145 BROADWAY, CAMBRIDGE MA 02142