ReadCloud (ASX:RCL) EBIT: A$-0.18 Mil (TTM As of Mar. 2026)


What is ReadCloud EBIT?

ReadCloud ASX:RCL -2.90% EBIT is A$-0.18 Mil as of Mar. 2026. The stock has 3 warning signs investors should review.

ReadCloud's earnings before interest and taxes (EBIT) for the six months ended in Mar. 2026 was A$1.56 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Mar. 2026 was A$-0.18 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. ReadCloud's annualized ROC % for the quarter that ended in Mar. 2026 was 29.13%. ReadCloud's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 1,427.40%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. ReadCloud's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was -2.65%.

ReadCloud  (ASX:RCL) EBIT Explanation

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

ReadCloud's annualized ROC % for the quarter that ended in Mar. 2026 is calculated as:

ROC % (Q: Mar. 2026 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Sep. 2025 ) + Invested Capital (Q: Mar. 2026 ))/ count )
=2.852 * ( 1 - 0% )/( (9.928 + 9.65)/ 2 )
=2.852/9.789
=29.13 %

where

Invested Capital(Q: Sep. 2025 )
=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))
=11.583 - 1.066 - ( 1.92 - max(0, 2.28 - 2.869+1.92))
=9.928

Invested Capital(Q: Mar. 2026 )
=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))
=14.91 - 3.235 - ( 3.732 - max(0, 5.611 - 7.636+3.732))
=9.65

Note: The Operating Income data used here is two times the semi-annual (Mar. 2026) data.

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

ReadCloud's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 is calculated as:

ROC (Joel Greenblatt) %(Q: Mar. 2026 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Sep. 2025  Q: Mar. 2026
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=3.126/( ( (0.255 + max(-1.443, 0)) + (0.183 + max(-1.563, 0)) )/ 2 )
=3.126/( ( 0.255 + 0.183 )/ 2 )
=3.126/0.219
=1,427.40 %

where Working Capital is:

Working Capital(Q: Sep. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(0.552 + 0 + 0.147) - (1.066 + 0 + 1.076)
=-1.443

Working Capital(Q: Mar. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(3.903 + 0 + 0.0010000000000003) - (3.235 + 0 + 2.232)
=-1.563

When net working capital is negative, 0 is used.

Note: The EBIT data used here is two times the semi-annual (Mar. 2026) EBIT data.

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

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

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Mar. 2026 )
=-0.178/6.726
=-2.65 %

* 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.

ReadCloud EBIT Related Terms

ReadCloud EBIT Historical Data

* Premium members only.

The historical data trend for ReadCloud'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.

ReadCloud EBIT Chart

ReadCloud Annual Data
Trend Jun17 Jun18 Jun19 Jun20 Jun21 Sep22 Sep23 Sep24 Sep25
EBIT
Get a 7-Day Free Trial Premium Member Only -1.12 -1.62 -2.54 -1.00 -0.42

ReadCloud Semi-Annual Data
Jun17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25 Mar26
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 0.45 -1.45 1.32 -1.74 1.56

ASX:RCL vs CRM, SHOP, UBER: EBIT Comparison

For the Software - Application subindustry, ReadCloud'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.

ReadCloud EV-to-EBIT vs Software Industry

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

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


ReadCloud 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. 2026 adds up the semi-annually data reported by the company within the most recent 12 months, which was A$-0.18 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.

Frequently Asked Questions Learn more about EBIT →
What does a EBIT of A$-0.18 Mil mean?
ReadCloud (ASX:RCL) has a EBIT of A$-0.18 Mil as of Mar. 2026. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on ReadCloud.
Is ReadCloud's EBIT too high?
ReadCloud's current EBIT is A$-0.18 Mil.
How does ReadCloud's EBIT compare to CRM and SHOP?
ReadCloud's EBIT of A$-0.18 Mil can be compared against companies in the Software industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EBIT for a Software company?
A good EBIT depends on the Software industry context. However, EBIT should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EBIT mean?
A high EBIT can signal that a stock is expensive relative to its fundamentals. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on ReadCloud. ReadCloud's current EBIT is A$-0.18 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is ReadCloud stock overvalued right now?
Based on GuruFocus' analysis, ReadCloud (ASX:RCL) is currently considered Significantly Undervalued. The stock's GF Value™ is A$0.10, compared to a current price of A$0.07 — trading 33% below its estimated fair value. The current EBIT is A$-0.18 Mil. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EBIT calculated?
EBIT is calculated from a company's financial statements. For ReadCloud (ASX:RCL), the current EBIT is A$-0.18 Mil as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

ReadCloud Business Description

Address 126 Church Street, Level 1, Brighton, VIC, AUS, 3186
ReadCloud Ltd is an education technology company that offers digital e-learning solutions to secondary schools. The firm operates in two segments: eBook solutions, which is the key revenue driver, and Vocational Education and Training (VET). It provides software solutions, including eBooks, to schools within Australia. In addition, it also provides digital VET course materials and services to schools through its subsidiary Australian Institute of Education and Training Unit Trust, PKY Media Pty Ltd and Ripponlea Institute Pty Ltd, which offers over 40 VET courses and services to schools across Australia.