Temenos AG (FRA:TE8N) EBIT: €317.2 Mil (TTM As of Mar. 2026)


FRA:TE8N Temenos AG FRA:TE8N
70 GF Score
Price €69.40
GF Value €76.94
Valuation Modestly Undervalued
! 2 Warning Signs
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What is Temenos AG EBIT?

Temenos AG FRA:TE8N -1.98% 70 EBIT is €317.2 Mil as of Mar. 2026. GuruFocus rates FRA:TE8N with a GF Score™ of 70/100 and a GF Value™ of €76.94 (Modestly Undervalued). The stock has 2 warning signs investors should review.

Temenos AG's earnings before interest and taxes (EBIT) for the three months ended in Mar. 2026 was €48.5 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Mar. 2026 was €317.2 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Temenos AG's annualized ROC % for the quarter that ended in Mar. 2026 was 7.36%. Temenos AG's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 494.59%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. Temenos AG's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 5.98%.


Temenos AG  (FRA:TE8N) EBIT Explanation

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

Temenos AG'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 )
=195.936 * ( 1 - 24.87% )/( (2061.551 + 1939.335)/ 2 )
=147.2067168/2000.443
=7.36 %

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))
=1920.862 - 163.563 - ( 210.16 - max(0, 726.23 - 421.978+210.16))
=2061.551

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))
=1894.007 - 351.646 - ( 118.223 - max(0, 769.36 - 372.386+118.223))
=1939.335

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

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

Temenos AG'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 )
=194.052/( ( (39.307 + max(-500.01, 0)) + (39.163 + max(-596.766, 0)) )/ 2 )
=194.052/( ( 39.307 + 39.163 )/ 2 )
=194.052/39.235
=494.59 %

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)
=(211.818 + 0 + 0) - (163.563 + 0 + 548.265)
=-500.01

Working Capital(Q: Mar. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(155.093 + 0 + 0) - (351.646 + 0 + 400.213)
=-596.766

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:

Temenos AG's Earnings Yield (Joel Greenblatt) % for today is calculated as:

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Mar. 2026 )
=317.151/5303.624
=5.98 %

* 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.


Temenos AG EBIT Related Terms


Temenos AG EBIT Historical Data

* Premium members only.

The historical data trend for Temenos AG'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.

Temenos AG EBIT Chart

Temenos AG 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 206.23 158.36 181.76 219.42 299.48

Temenos AG 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 36.31 186.99 49.69 31.96 48.51

FRA:TE8N vs CRM, SHOP, UBER: EBIT Comparison

For the Software - Application subindustry, Temenos AG'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.


Temenos AG EV-to-EBIT vs Software Industry

For the Software industry and Technology sector, Temenos AG's EV-to-EBIT distribution charts can be found below:

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


FRA:TE8N
70GF Score
Temenos AG FRA:TE8N
EBIT is just one metric. See GF Score™, valuation, warning signs, and more.
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Temenos AG 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 €317.2 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 €317.2 Mil mean?
Temenos AG (FRA:TE8N) has a EBIT of €317.2 Mil as of Mar. 2026. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on Temenos AG.
Is Temenos AG's EBIT too high?
Temenos AG's current EBIT is €317.2 Mil. Overall, Temenos AG has a GF Score™ of 70/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Temenos AG's EBIT compare to CRM and SHOP?
Temenos AG's EBIT of €317.2 Mil can be compared against companies in the Software 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 Software company?
A good EBIT depends on the Software 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 Temenos AG. Temenos AG's current EBIT is €317.2 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Temenos AG stock overvalued right now?
Based on GuruFocus' analysis, Temenos AG (FRA:TE8N) is currently considered Modestly Undervalued. The stock's GF Value™ is €76.94, compared to a current price of €69.40 — trading 9.8% below its estimated fair value. The current EBIT is €317.2 Mil. Temenos AG's overall GF Score™ is 70/100 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 Temenos AG (FRA:TE8N), the current EBIT is €317.2 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 Temenos AG (FRA:TE8N) Overvalued in 2026?

Based on GuruFocus' analysis, Temenos AG stock appears to be undervalued. The current stock price of €69.40 is trading 9.8% below its estimated GF Value™ of €76.94. GuruFocus considers Temenos AG to be Modestly Undervalued.

Key valuation signals for FRA:TE8N:

  • EBIT: €317.2 Mil
  • GF Value™: €76.94 vs. price of €69.40 (9.8% below fair value)
  • GF Score™: 70/100 with 2 warning signs

No single metric tells the full story. See the FRA:TE8N stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Temenos AG Business Description

Address Esplanade de Pont-Rouge 9C, Geneva, CHE, 1212
Temenos is a Swiss company that provides banking software to financial institutions around the world. Its main product is core banking software that helps banks manage accounts, customer information, transaction processing, loans, security, and financial reporting. Besides core banking software, Temenos offers products for digital banking, payments, wealth management, compliance, and analytics to help banks improve customer experience and meet regulatory requirements.
70GF Score

Get the complete analysis for FRA:TE8N

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

€69.40
Price
€76.94
GF Value