DRXGY (Drax Group) EBIT: $358 Mil (TTM As of Dec. 2025)


DRXGY Drax Group PLC DRXGY
63 GF Score
Price $22.66
GF Value $14.39
Valuation Significantly Overvalued
! 3 Warning Signs
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What is Drax Group EBIT?

Drax Group DRXGY 63 EBIT is $358 Mil as of Dec. 2025. GuruFocus rates DRXGY with a GF Score™ of 63/100 and a GF Value™ of $14.39 (Significantly Overvalued). The stock has 3 warning signs investors should review.

Drax Group's earnings before interest and taxes (EBIT) for the six months ended in Dec. 2025 was $-80 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Dec. 2025 was $358 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Drax Group's annualized ROC % for the quarter that ended in Dec. 2025 was 15.43%. Drax Group's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2025 was -4.42%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. Drax Group's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Dec. 2025 was 7.39%.

Drax Group  (OTCPK:DRXGY) EBIT Explanation

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

Drax Group's annualized ROC % for the quarter that ended in Dec. 2025 is calculated as:

ROC % (Q: Dec. 2025 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Jun. 2025 ) + Invested Capital (Q: Dec. 2025 ))/ count )
=826.506 * ( 1 - 0% )/( (5286.567 + 5425.033)/ 2 )
=826.506/5355.8
=15.43 %

where

Invested Capital(Q: Jun. 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))
=7149.118 - 1819.132 - ( 374.491 - max(0, 2541.791 - 2585.21+374.491))
=5286.567

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))
=6017.938 - 455.957 - ( 404.418 - max(0, 1836.948 - 1973.896+404.418))
=5425.033

Note: The Operating Income data used here is two times the semi-annual (Dec. 2025) data.

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

Drax Group's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2025 is calculated as:

ROC (Joel Greenblatt) %(Q: Dec. 2025 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Jun. 2025  Q: Dec. 2025
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=-159.572/( ( (3778.019 + max(95.658, 0)) + (3342.436 + max(-533.6, 0)) )/ 2 )
=-159.572/( ( 3873.677 + 3342.436 )/ 2 )
=-159.572/3608.0565
=-4.42 %

where Working Capital is:

Working Capital(Q: Jun. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(467.164 + 365.4 + 1378.155) - (1819.132 + 0 + 295.929)
=95.658

Working Capital(Q: Dec. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(36.011 + 299.598 + 847.926) - (455.957 + 0 + 1261.178)
=-533.6

When net working capital is negative, 0 is used.

Note: The EBIT data used here is two times the semi-annual (Dec. 2025) EBIT data.

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

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

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Dec. 2025 )
=358.477/4849.668
=7.39 %

* 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.

Drax Group EBIT Related Terms

Drax Group EBIT Historical Data

* Premium members only.

The historical data trend for Drax Group'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.

Drax Group EBIT Chart

Drax Group Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
EBIT
Get a 7-Day Free Trial Premium Member Only Premium Member Only 247.61 188.31 1,153.80 1,087.61 352.61

Drax Group Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
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 657.09 658.27 433.50 438.26 -79.79

Drax Group EBIT Competitor Comparison

For the Utilities - Renewable subindustry, Drax Group'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.

Drax Group EV-to-EBIT vs Utilities - Independent Power Producers Industry

For the Utilities - Independent Power Producers industry and Utilities sector, Drax Group's EV-to-EBIT distribution charts can be found below:

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


DRXGY
63GF Score
Drax Group PLC DRXGY
EBIT is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Drax Group 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 Dec. 2025 adds up the semi-annually data reported by the company within the most recent 12 months, which was $358 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 $358 Mil mean?
Drax Group (DRXGY) has a EBIT of $358 Mil as of Dec. 2025. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on Drax Group.
Is Drax Group's EBIT too high?
Drax Group's current EBIT is $358 Mil. Overall, Drax Group has a GF Score™ of 63/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Drax Group's EBIT compare to competitors?
Drax Group's EBIT of $358 Mil can be compared against companies in the Utilities - Independent Power Producers 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 an Utilities - Independent Power Producers company?
A good EBIT depends on the Utilities - Independent Power Producers 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 Drax Group. Drax Group's current EBIT is $358 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Drax Group stock overvalued right now?
Based on GuruFocus' analysis, Drax Group (DRXGY) is currently considered Significantly Overvalued. The stock's GF Value™ is $14.39, compared to a current price of $22.66 — trading 57.5% above its estimated fair value. The current EBIT is $358 Mil. Drax Group's overall GF Score™ is 63/100 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 Drax Group (DRXGY), the current EBIT is $358 Mil as of Dec. 2025. 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 Drax Group (DRXGY) Overvalued in 2026?

Based on GuruFocus' analysis, Drax Group stock appears to be overvalued. The current stock price of $22.66 is trading 57.5% above its estimated GF Value™ of $14.39. GuruFocus considers Drax Group to be Significantly Overvalued.

Key valuation signals for DRXGY:

  • EBIT: $358 Mil
  • GF Value™: $14.39 vs. price of $22.66 (57.5% above fair value)
  • GF Score™: 63/100 with 3 warning signs

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

Drax Group Business Description

Address Drax Power Station, Selby, North Yorkshire, GBR, YO8 8PH
Drax Group PLC is a UK-based renewable energy company engaged in renewable power generation, the production of sustainable biomass and the sale of renewable electricity to businesses. It operates a generation portfolio of sustainable biomass, hydro-electric, and pumped hydro storage assets across four sites in England and Scotland. The company also operates a bioenergy supply business with manufacturing facilities in the United States and Canada, producing compressed wood pellets for its own use and for customers in Europe and Asia. Its segments include Pellet Production, Generation, and Customers. The majority of its revenue is generated from the Customers segment which sells renewable electricity to industrial and commercial customers in the United Kingdom.
63GF Score

Get the complete analysis for DRXGY

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

$22.66
Price
$14.39
GF Value