Derwent London (FRA:DVK) EBIT: €240.8 Mil (TTM As of Dec. 2025)


FRA:DVK Derwent London PLC FRA:DVK
70 GF Score
Price €21.80
GF Value €26.78
Valuation Modestly Undervalued
! 10 Warning Signs
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What is Derwent London EBIT?

Derwent London FRA:DVK -0.91% 70 EBIT is €240.8 Mil as of Dec. 2025. GuruFocus rates FRA:DVK with a GF Score™ of 70/100 and a GF Value™ of €26.78 (Modestly Undervalued). The stock has 10 warning signs investors should review.

Derwent London's earnings before interest and taxes (EBIT) for the six months ended in Dec. 2025 was €103.3 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Dec. 2025 was €240.8 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Derwent London's annualized ROC % for the quarter that ended in Dec. 2025 was 2.96%. Derwent London's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2025 was 199.80%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. Derwent London's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Dec. 2025 was 5.73%.


Derwent London  (FRA:DVK) EBIT Explanation

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

Derwent London'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 )
=189.32 * ( 1 - 1.33% )/( (6387.92 + 6249.404)/ 2 )
=186.802044/6318.662
=2.96 %

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))
=6272.516 - 54.349 - ( 35.998 - max(0, 496.437 - 326.684+35.998))
=6387.92

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))
=6074.832 - 40.585 - ( 88.258 - max(0, 457.524 - 242.367+88.258))
=6249.404

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:

Derwent London'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 )
=206.698/( ( (72.701 + max(56.35, 0)) + (77.855 + max(-70.652, 0)) )/ 2 )
=206.698/( ( 129.051 + 77.855 )/ 2 )
=206.698/103.453
=199.80 %

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)
=(17.411 + 149.755 + 88.229) - (54.349 + 0 + 144.696)
=56.35

Working Capital(Q: Dec. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(5.03 + 37.613 + 78.883) - (40.585 + 0 + 151.593)
=-70.652

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:

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

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Dec. 2025 )
=240.751/4201.151
=5.73 %

* 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.


Derwent London EBIT Related Terms


Derwent London EBIT Historical Data

* Premium members only.

The historical data trend for Derwent London'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.

Derwent London EBIT Chart

Derwent London 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 326.11 -279.87 -509.69 184.24 236.88

Derwent London 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 -365.18 -8.75 193.17 137.40 103.35

FRA:DVK vs BXP, ARE, VNO: EBIT Comparison

For the REIT - Office subindustry, Derwent London'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.


Derwent London EV-to-EBIT vs REITs Industry

For the REITs industry and Real Estate sector, Derwent London's EV-to-EBIT distribution charts can be found below:

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


FRA:DVK
70GF Score
Derwent London PLC FRA:DVK
EBIT is just one metric. See GF Score™, valuation, warning signs, and more.
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Derwent London 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 €240.8 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 €240.8 Mil mean?
Derwent London (FRA:DVK) has a EBIT of €240.8 Mil as of Dec. 2025. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on Derwent London.
Is Derwent London's EBIT too high?
Derwent London's current EBIT is €240.8 Mil. Overall, Derwent London has a GF Score™ of 70/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Derwent London's EBIT compare to BXP and ARE?
Derwent London's EBIT of €240.8 Mil can be compared against companies in the REITs 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 REITs company?
A good EBIT depends on the REITs 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 Derwent London. Derwent London's current EBIT is €240.8 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Derwent London stock overvalued right now?
Based on GuruFocus' analysis, Derwent London (FRA:DVK) is currently considered Modestly Undervalued. The stock's GF Value™ is €26.78, compared to a current price of €21.80 — trading 18.6% below its estimated fair value. The current EBIT is €240.8 Mil. Derwent London's overall GF Score™ is 70/100 with 10 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 Derwent London (FRA:DVK), the current EBIT is €240.8 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 Derwent London (FRA:DVK) Overvalued in 2026?

Based on GuruFocus' analysis, Derwent London stock appears to be undervalued. The current stock price of €21.80 is trading 18.6% below its estimated GF Value™ of €26.78. GuruFocus considers Derwent London to be Modestly Undervalued.

Key valuation signals for FRA:DVK:

  • EBIT: €240.8 Mil
  • GF Value™: €26.78 vs. price of €21.80 (18.6% below fair value)
  • GF Score™: 70/100 with 10 warning signs

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


Derwent London Business Description

Industry Real EstateREITs
Address 25 Savile Row, London, GBR, W1S 2ER
Derwent London PLC is London's inventive office specialist property regenerators and investors and is well known for its design-led philosophy and creative management approach to development. Its appealing designs attract a range of tenants, including those from creative industries. The group has been a Real Estate Investment Trust (REIT) principally property investors with tax-exempt property rental businesses, but remain subject to corporation tax on nonexempt income and gains The Group owns and manages an investment portfolio of approximately 5.4 million sq ft, of which 98% is located in central London, with a specific focus on the West End and the areas bordering the City of London.
70GF Score

Get the complete analysis for FRA:DVK

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

€21.80
Price
€26.78
GF Value