Resources Connection (FRA:RCO) EBIT: €-11.6 Mil (TTM As of Feb. 2026)


FRA:RCO Resources Connection Inc FRA:RCO
60 GF Score
Price €3.52
GF Value €5.75
! 5 Warning Signs
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What is Resources Connection EBIT?

Resources Connection FRA:RCO -1.68% 60 EBIT is €-11.6 Mil as of Feb. 2026. GuruFocus rates FRA:RCO with a GF Score™ of 60/100 and a GF Value™ of €5.75. The stock has 5 warning signs investors should review.

Resources Connection's earnings before interest and taxes (EBIT) for the three months ended in Feb. 2026 was €-7.1 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Feb. 2026 was €-11.6 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Resources Connection's annualized ROC % for the quarter that ended in Feb. 2026 was -22.30%. Resources Connection's annualized ROC (Joel Greenblatt) % for the quarter that ended in Feb. 2026 was -61.92%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. Resources Connection's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Feb. 2026 was -16.25%.


Resources Connection  (FRA:RCO) EBIT Explanation

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

Resources Connection's annualized ROC % for the quarter that ended in Feb. 2026 is calculated as:

ROC % (Q: Feb. 2026 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Nov. 2025 ) + Invested Capital (Q: Feb. 2026 ))/ count )
=-28.236 * ( 1 - 0% )/( (128.761 + 124.479)/ 2 )
=-28.236/126.62
=-22.30 %

where

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

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

Resources Connection's annualized ROC (Joel Greenblatt) % for the quarter that ended in Feb. 2026 is calculated as:

ROC (Joel Greenblatt) %(Q: Feb. 2026 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Nov. 2025  Q: Feb. 2026
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=-28.236/( ( (22.211 + max(23.811, 0)) + (20.303 + max(24.872, 0)) )/ 2 )
=-28.236/( ( 46.022 + 45.175 )/ 2 )
=-28.236/45.5985
=-61.92 %

where Working Capital is:

Working Capital(Q: Nov. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(74.815 + 0 + 8.05) - (43.774 + 0 + 15.28)
=23.811

Working Capital(Q: Feb. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(67.116 + 0 + 9.621) - (37.403 + 0 + 14.462)
=24.872

When net working capital is negative, 0 is used.

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

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

Resources Connection's Earnings Yield (Joel Greenblatt) % for today is calculated as:

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Feb. 2026 )
=-11.634/71.573
=-16.25 %

* 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.


Resources Connection EBIT Related Terms


Resources Connection EBIT Historical Data

* Premium members only.

The historical data trend for Resources Connection'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.

Resources Connection EBIT Chart

Resources Connection Annual Data
Trend May16 May17 May18 May19 May20 May21 May22 May23 May24 May25
EBIT
Get a 7-Day Free Trial Premium Member Only Premium Member Only 19.99 78.93 70.05 30.41 2.44

Resources Connection Quarterly Data
May21 Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24 May24 Aug24 Nov24 Feb25 May25 Aug25 Nov25 Feb26
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 -7.38 7.66 -1.71 -10.53 -7.06

FRA:RCO vs FORR, EGG, GLAI: EBIT Comparison

For the Consulting Services subindustry, Resources Connection'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.


Resources Connection EV-to-EBIT vs Business Services Industry

For the Business Services industry and Industrials sector, Resources Connection's EV-to-EBIT distribution charts can be found below:

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


FRA:RCO
60GF Score
Resources Connection Inc FRA:RCO
EBIT is just one metric. See GF Score™, valuation, warning signs, and more.
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Resources Connection 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 Feb. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was €-11.6 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 €-11.6 Mil mean?
Resources Connection (FRA:RCO) has a EBIT of €-11.6 Mil as of Feb. 2026. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on Resources Connection.
Is Resources Connection's EBIT too high?
Resources Connection's current EBIT is €-11.6 Mil. Overall, Resources Connection has a GF Score™ of 60/100, reflecting its overall financial health beyond just this single metric.
How does Resources Connection's EBIT compare to FORR and EGG?
Resources Connection's EBIT of €-11.6 Mil can be compared against companies in the Business Services 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 Business Services company?
A good EBIT depends on the Business Services 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 Resources Connection. Resources Connection's current EBIT is €-11.6 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Resources Connection stock overvalued right now?
Resources Connection (FRA:RCO) has a current EBIT of €-11.6 Mil. The stock's GF Value™ is €5.75, compared to a current price of €3.52 — trading 38.8% below its estimated fair value. The current EBIT is €-11.6 Mil. Resources Connection's overall GF Score™ is 60/100 with 5 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 Resources Connection (FRA:RCO), the current EBIT is €-11.6 Mil as of Feb. 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 Resources Connection (FRA:RCO) Overvalued in 2026?

Based on GuruFocus' analysis, Resources Connection stock appears to be undervalued. The current stock price of €3.52 is trading 38.8% below its estimated GF Value™ of €5.75.

Key valuation signals for FRA:RCO:

  • EBIT: €-11.6 Mil
  • GF Value™: €5.75 vs. price of €3.52 (38.8% below fair value)
  • GF Score™: 60/100 with 5 warning signs

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


Resources Connection Business Description

Other Exchanges RGP:USARCO:Germany
Address 15950 North Dallas Parkway, Suite 330, Dallas, TX, USA, 75248
Resources Connection Inc provides consulting and business initiative support services predominantly through its operative subsidiary, Resources Global Professionals. It has two segments RGP ( Resources Global Professionals.) and Sitrick. The RGP segment is focused on delivering consulting services catering to its client's operational needs and change initiatives utilizing a combination of bench and on-demand, talent. The Sitrick segment provides corporate, financial, transactional, and crisis communication and management services. The company generates a majority of its revenue from the RGP segment. Geographically, it derives its key revenue from North America and the rest from Europe and the Asia Pacific region.
60GF Score

Get the complete analysis for FRA:RCO

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

€3.52
Price
€5.75
GF Value