Sofcom Systems (BOM:538923) EBIT: ₹6.96 Mil (TTM As of Mar. 2026)

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BOM:538923 Sofcom Systems Ltd BOM:538923
37 GF Score
Price ₹19.39
GF Value ₹8.66
Valuation Significantly Overvalued
! 3 Warning Signs
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What is Sofcom Systems EBIT?

Sofcom Systems BOM:538923 -3.34% 37 EBIT is ₹6.96 Mil as of Mar. 2026. GuruFocus rates BOM:538923 with a GF Score™ of 37/100 and a GF Value™ of ₹8.66 (Significantly Overvalued). The stock has 3 warning signs investors should review.

Sofcom Systems's earnings before interest and taxes (EBIT) for the three months ended in Mar. 2026 was ₹2.57 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Mar. 2026 was ₹6.96 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Sofcom Systems's annualized ROC % for the quarter that ended in Mar. 2026 was 0.71%. Sofcom Systems's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 34.58%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. Sofcom Systems's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 1.50%.

Sofcom Systems  (BOM:538923) EBIT Explanation

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

Sofcom Systems'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: Dec. 2025 ) + Invested Capital (Q: Mar. 2026 ))/ count )
=10.272 * ( 1 - 33.83% )/( (0 + 955.025)/ 1 )
=6.7969824/955.025
=0.71 %

where

Invested Capital(Q: Dec. 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))
=0 - 0 - ( 0 - max(0, 0 - 0+0))
=0

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))
=969.8 - 10.566 - ( 4.209 - max(0, 16.686 - 50.389+4.209))
=955.025

Note: The Operating Income data used here is four times the quarterly (Mar. 2026) data.

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

Sofcom Systems'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: Dec. 2025  Q: Mar. 2026
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=10.276/( ( (0 + max(0, 0)) + (0.223 + max(29.494, 0)) )/ 1 )
=10.276/( ( 0 + 29.717 )/ 1 )
=10.276/29.717
=34.58 %

where Working Capital is:

Working Capital(Q: Dec. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(0 + 0 + 0) - (0 + 0 + 0)
=0

Working Capital(Q: Mar. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(46.179 + 0 + 0.00099999999999767) - (10.566 + 0 + 6.12)
=29.494

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Mar. 2026) EBIT data.

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

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

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Mar. 2026 )
=6.964/465.109
=1.50 %

* 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.

Sofcom Systems EBIT Related Terms

Sofcom Systems EBIT Historical Data

* Premium members only.

The historical data trend for Sofcom Systems'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.

Sofcom Systems EBIT Chart

Sofcom Systems Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
EBIT
Get a 7-Day Free Trial Premium Member Only Premium Member Only -0.83 24.91 2.36 7.17 7.87

Sofcom Systems Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 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 Premium Member Only Premium Member Only Premium Member Only 4.63 -0.27 -0.46 5.13 2.57

BOM:538923 vs IBM, ACN, FISV: EBIT Comparison

For the Information Technology Services subindustry, Sofcom Systems'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.

Sofcom Systems EV-to-EBIT vs Software Industry

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

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


BOM:538923
37GF Score
Sofcom Systems Ltd BOM:538923
EBIT is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Sofcom Systems 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 quarterly data reported by the company within the most recent 12 months, which was ₹6.96 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 ₹6.96 Mil mean?
Sofcom Systems (BOM:538923) has a EBIT of ₹6.96 Mil as of Mar. 2026. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on Sofcom Systems.
Is Sofcom Systems' EBIT too high?
Sofcom Systems' current EBIT is ₹6.96 Mil. Overall, Sofcom Systems has a GF Score™ of 37/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Sofcom Systems' EBIT compare to IBM and ACN?
Sofcom Systems' EBIT of ₹6.96 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 Sofcom Systems. Sofcom Systems's current EBIT is ₹6.96 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sofcom Systems stock overvalued right now?
Based on GuruFocus' analysis, Sofcom Systems (BOM:538923) is currently considered Significantly Overvalued. The stock's GF Value™ is ₹8.66, compared to a current price of ₹19.39 — trading 123.9% above its estimated fair value. The current EBIT is ₹6.96 Mil. Sofcom Systems' overall GF Score™ is 37/100 with 3 warning signs to review. 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 Sofcom Systems (BOM:538923), the current EBIT is ₹6.96 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.

Is Sofcom Systems (BOM:538923) Overvalued in 2026?

Based on GuruFocus' analysis, Sofcom Systems stock appears to be overvalued. The current stock price of ₹19.39 is trading 123.9% above its estimated GF Value™ of ₹8.66. GuruFocus considers Sofcom Systems to be Significantly Overvalued.

Key valuation signals for BOM:538923:

  • EBIT: ₹6.96 Mil
  • GF Value™: ₹8.66 vs. price of ₹19.39 (123.9% above fair value)
  • GF Score™: 37/100 with 3 warning signs

No single metric tells the full story. See the BOM:538923 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Sofcom Systems Business Description

Address D-36, Subhash Marg, Flat No. 802 Sheel Mohar Apartment, C-Scheme, Jaipur, RJ, IND, 302001
Sofcom Systems Ltd provides consultancy for software development in the form of services, turnkey projects, and products for the domestic and export market. The software development is targeted towards the distribution, banking, telecommunication, and manufacturing sectors. It also offers software maintenance, reengineering, and downsizing of software applications in these market segments. The company is providing information technology solutions to both commercial and government clients. The Company is engaged in the trading of Software & other items and providing software consultancy in India. The Company derives revenues from sale of software and consultancy.
37GF Score

Get the complete analysis for BOM:538923

EBIT is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

₹19.39
Price
₹8.66
GF Value