H World Group (FRA:CL4) EBIT: €929 Mil (TTM As of Mar. 2026)


FRA:CL4 H World Group Ltd FRA:CL4
83 GF Score
Price €3.62
GF Value €3.92
Valuation Fairly Valued
! 1 Warning Sign
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What is H World Group EBIT?

H World Group FRA:CL4 +1.69% 83 EBIT is €929 Mil as of Mar. 2026. GuruFocus rates FRA:CL4 with a GF Score™ of 83/100 and a GF Value™ of €3.92 (Fairly Valued). The stock has 1 warning sign investors should review.

H World Group's earnings before interest and taxes (EBIT) for the three months ended in Mar. 2026 was €171 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Mar. 2026 was €929 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. H World Group's annualized ROC % for the quarter that ended in Mar. 2026 was 6.69%. H World Group's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 17.22%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. H World Group's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 6.67%.


H World Group  (FRA:CL4) EBIT Explanation

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

H World Group'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 )
=747.012 * ( 1 - 37.34% )/( (7036.964 + 6963.198)/ 2 )
=468.0777192/7000.081
=6.69 %

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))
=7853.958 - 1022.152 - ( 1852.726 - max(0, 2319.181 - 2114.023+1852.726))
=7036.964

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))
=8052.842 - 1249.036 - ( 1966.679 - max(0, 2393.525 - 2234.133+1966.679))
=6963.198

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

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

H World Group'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 )
=684.76/( ( (3953.654 + max(-1025.425, 0)) + (3997.869 + max(-1252.801, 0)) )/ 2 )
=684.76/( ( 3953.654 + 3997.869 )/ 2 )
=684.76/3975.7615
=17.22 %

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)
=(87.665 + 6.911 + 123.192) - (1022.152 + 221.042 + -0.0010000000002037)
=-1025.425

Working Capital(Q: Mar. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(98.773 + 6.526 + 122.369) - (1249.036 + 231.433 + 0)
=-1252.801

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:

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

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Mar. 2026 )
=929.068/13924.392
=6.67 %

* 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.


H World Group EBIT Related Terms


H World Group EBIT Historical Data

* Premium members only.

The historical data trend for H World 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.

H World Group EBIT Chart

H World 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 -0.42 -162.08 736.41 671.98 926.24

H World Group 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 172.13 267.93 266.60 223.35 171.19

FRA:CL4 vs H, WH, CHH: EBIT Comparison

For the Lodging subindustry, H World 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.


H World Group EV-to-EBIT vs Travel & Leisure Industry

For the Travel & Leisure industry and Consumer Cyclical sector, H World Group's EV-to-EBIT distribution charts can be found below:

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


FRA:CL4
83GF Score
H World Group Ltd FRA:CL4
EBIT is just one metric. See GF Score™, valuation, warning signs, and more.
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H World 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 Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was €929 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 €929 Mil mean?
H World Group (FRA:CL4) has a EBIT of €929 Mil as of Mar. 2026. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on H World Group.
Is H World Group's EBIT too high?
H World Group's current EBIT is €929 Mil. Overall, H World Group has a GF Score™ of 83/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does H World Group's EBIT compare to H and WH?
H World Group's EBIT of €929 Mil can be compared against companies in the Travel & Leisure 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 Travel & Leisure company?
A good EBIT depends on the Travel & Leisure 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 H World Group. H World Group's current EBIT is €929 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is H World Group stock overvalued right now?
Based on GuruFocus' analysis, H World Group (FRA:CL4) is currently considered Fairly Valued. The stock's GF Value™ is €3.92, compared to a current price of €3.62 — trading 7.7% below its estimated fair value. The current EBIT is €929 Mil. H World Group's overall GF Score™ is 83/100 with 1 warning sign 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 H World Group (FRA:CL4), the current EBIT is €929 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 H World Group (FRA:CL4) Overvalued in 2026?

Based on GuruFocus' analysis, H World Group stock appears to be undervalued. The current stock price of €3.62 is trading 7.7% below its estimated GF Value™ of €3.92. GuruFocus considers H World Group to be Fairly Valued.

Key valuation signals for FRA:CL4:

  • EBIT: €929 Mil
  • GF Value™: €3.92 vs. price of €3.62 (7.7% below fair value)
  • GF Score™: 83/100 with 1 warning sign

No single metric tells the full story. See the FRA:CL4 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


H World Group Business Description

Address No. 1299 Fenghua Road, Jiading District, Shanghai, CHN, 201803
H World Group Ltd a foremost, fast-growing multi-brand hotel group with international operations. The principal business activities of the Company are to develop and operate leased and owned, manachised and franchised hotels mainly in the PRC or PRC Mainland. The Group has two operating segments which are legacy Huazhu and legacy DH according to the way management intends to evaluate results and allocate resources within the Group. The majority of revenue comes from legacy Huazhu. The company has presence in Greater China and also Outside Greater China.
83GF Score

Get the complete analysis for FRA:CL4

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

€3.62
Price
€3.92
GF Value