Axita Cotton (BOM:542285) EBIT: ₹-7 Mil (TTM As of Mar. 2026)


BOM:542285 Axita Cotton Ltd BOM:542285
66 GF Score
Price ₹7.57
GF Value ₹4.89
Valuation Significantly Overvalued
! 2 Warning Signs
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What is Axita Cotton EBIT?

Axita Cotton BOM:542285 66 EBIT is ₹-7 Mil as of Mar. 2026. GuruFocus rates BOM:542285 with a GF Score™ of 66/100 and a GF Value™ of ₹4.89 (Significantly Overvalued). The stock has 2 warning signs investors should review.

Axita Cotton's earnings before interest and taxes (EBIT) for the three months ended in Mar. 2026 was ₹-31 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Mar. 2026 was ₹-7 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Axita Cotton's annualized ROC % for the quarter that ended in Mar. 2026 was -16.35%. Axita Cotton's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was -28.53%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. Axita Cotton's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was -0.25%.


Axita Cotton  (BOM:542285) EBIT Explanation

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

Axita Cotton'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 )
=-172.256 * ( 1 - 34.27% )/( (792.367 + 592.694)/ 2 )
=-113.2238688/692.5305
=-16.35 %

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))
=985.028 - 92.172 - ( 100.489 - max(0, 316.028 - 817.998+100.489))
=792.367

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))
=857.356 - 11.981 - ( 252.681 - max(0, 196.556 - 663.451+252.681))
=592.694

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

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

Axita Cotton'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 )
=-125.956/( ( (42.723 + max(479.768, 0)) + (40.26 + max(320.225, 0)) )/ 2 )
=-125.956/( ( 522.491 + 360.485 )/ 2 )
=-125.956/441.488
=-28.53 %

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)
=(205.513 + 128.584 + 247.497) - (92.172 + 0 + 9.654)
=479.768

Working Capital(Q: Mar. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(174.771 + 15.391 + 154.507) - (11.981 + 0 + 12.463)
=320.225

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:

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

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Mar. 2026 )
=-7.076/2825.013
=-0.25 %

* 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.


Axita Cotton EBIT Related Terms


Axita Cotton EBIT Historical Data

* Premium members only.

The historical data trend for Axita Cotton'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.

Axita Cotton EBIT Chart

Axita Cotton 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 219.40 233.56 277.86 24.94 46.36

Axita Cotton Quarterly Data
Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 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 Premium Member Only Premium Member Only Premium Member Only -13.72 -23.24 19.01 5.40 -31.49

Axita Cotton EBIT Competitor Comparison

For the Textile Manufacturing subindustry, Axita Cotton'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.


Axita Cotton EV-to-EBIT vs Manufacturing - Apparel & Accessories Industry

For the Manufacturing - Apparel & Accessories industry and Consumer Cyclical sector, Axita Cotton's EV-to-EBIT distribution charts can be found below:

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


BOM:542285
66GF Score
Axita Cotton Ltd BOM:542285
EBIT is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Axita Cotton 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 ₹-7 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 ₹-7 Mil mean?
Axita Cotton (BOM:542285) has a EBIT of ₹-7 Mil as of Mar. 2026. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on Axita Cotton.
Is Axita Cotton's EBIT too high?
Axita Cotton's current EBIT is ₹-7 Mil. Overall, Axita Cotton has a GF Score™ of 66/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Axita Cotton's EBIT compare to competitors?
Axita Cotton's EBIT of ₹-7 Mil can be compared against companies in the Manufacturing - Apparel & Accessories 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 Manufacturing - Apparel & Accessories company?
A good EBIT depends on the Manufacturing - Apparel & Accessories 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 Axita Cotton. Axita Cotton's current EBIT is ₹-7 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Axita Cotton stock overvalued right now?
Based on GuruFocus' analysis, Axita Cotton (BOM:542285) is currently considered Significantly Overvalued. The stock's GF Value™ is ₹4.89, compared to a current price of ₹7.57 — trading 54.8% above its estimated fair value. The current EBIT is ₹-7 Mil. Axita Cotton's overall GF Score™ is 66/100 with 2 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 Axita Cotton (BOM:542285), the current EBIT is ₹-7 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 Axita Cotton (BOM:542285) Overvalued in 2026?

Based on GuruFocus' analysis, Axita Cotton stock appears to be overvalued. The current stock price of ₹7.57 is trading 54.8% above its estimated GF Value™ of ₹4.89. GuruFocus considers Axita Cotton to be Significantly Overvalued.

Key valuation signals for BOM:542285:

  • EBIT: ₹-7 Mil
  • GF Value™: ₹4.89 vs. price of ₹7.57 (54.8% above fair value)
  • GF Score™: 66/100 with 2 warning signs

No single metric tells the full story. See the BOM:542285 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Axita Cotton Business Description

Other Exchanges AXITA:India
Address Rannade House, First Floor, Opposite Sankalp Grace 3, Near Ishan Bunglows, Shilaj, Ahemdabad, GJ, IND, 380059
Axita Cotton Ltd is an India-based company engaged in the manufacturing, processing, and finishing of Kapas, cotton bales, and cotton seeds. It earns revenue from bales sales domestically, bales sales exports, and Shankar Kapasia.
66GF Score

Get the complete analysis for BOM:542285

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

₹7.57
Price
₹4.89
GF Value