Wesfarmers (HAM:WF3) EBIT: €2,480 Mil (TTM As of Dec. 2025)


HAM:WF3 Wesfarmers Ltd HAM:WF3
85 GF Score
Price €52.43
GF Value €45.02
Valuation Modestly Overvalued
! 7 Warning Signs
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What is Wesfarmers EBIT?

Wesfarmers HAM:WF3 +0.90% 85 EBIT is €2,480 Mil as of Dec. 2025. GuruFocus rates HAM:WF3 with a GF Score™ of 85/100 and a GF Value™ of €45.02 (Modestly Overvalued). The stock has 7 warning signs investors should review.

Wesfarmers's earnings before interest and taxes (EBIT) for the six months ended in Dec. 2025 was €1,332 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Dec. 2025 was €2,480 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Wesfarmers's annualized ROC % for the quarter that ended in Dec. 2025 was 14.59%. Wesfarmers's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2025 was 36.64%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. Wesfarmers's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Dec. 2025 was 3.68%.


Wesfarmers  (HAM:WF3) EBIT Explanation

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

Wesfarmers'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 )
=2577.32 * ( 1 - 29.72% )/( (12363.217 + 12470.103)/ 2 )
=1811.340496/12416.66
=14.59 %

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))
=15793.963 - 3070.625 - ( 360.121 - max(0, 4700.766 - 5606.713+360.121))
=12363.217

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))
=16368.428 - 3484.66 - ( 413.665 - max(0, 5117.191 - 5630.726+413.665))
=12470.103

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:

Wesfarmers'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 )
=2663.572/( ( (6231.563 + max(666.055, 0)) + (6865.479 + max(777.963, 0)) )/ 2 )
=2663.572/( ( 6897.618 + 7643.442 )/ 2 )
=2663.572/7270.53
=36.64 %

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)
=(1158.258 + 3408.168 + 151.838) - (3070.625 + 104.988 + 876.596)
=666.055

Working Capital(Q: Dec. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(1234.753 + 3842.149 + 140.159) - (3484.66 + 109.516 + 844.922)
=777.963

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:

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

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Dec. 2025 )
=2479.884/67477.011
=3.68 %

* 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.


Wesfarmers EBIT Related Terms


Wesfarmers EBIT Historical Data

* Premium members only.

The historical data trend for Wesfarmers'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.

Wesfarmers EBIT Chart

Wesfarmers Annual Data
Trend Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24 Jun25
EBIT
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2,215.24 2,270.93 2,257.32 2,315.10 2,376.35

Wesfarmers 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 1,277.29 1,031.40 1,316.07 1,148.10 1,331.79

HAM:WF3 vs HD, LOW, FND: EBIT Comparison

For the Home Improvement Retail subindustry, Wesfarmers'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.


Wesfarmers EV-to-EBIT vs Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Wesfarmers's EV-to-EBIT distribution charts can be found below:

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


HAM:WF3
85GF Score
Wesfarmers Ltd HAM:WF3
EBIT is just one metric. See GF Score™, valuation, warning signs, and more.
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Wesfarmers 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 €2,480 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 €2,480 Mil mean?
Wesfarmers (HAM:WF3) has a EBIT of €2,480 Mil as of Dec. 2025. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on Wesfarmers.
Is Wesfarmers' EBIT too high?
Wesfarmers' current EBIT is €2,480 Mil. Overall, Wesfarmers has a GF Score™ of 85/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Wesfarmers' EBIT compare to HD and LOW?
Wesfarmers' EBIT of €2,480 Mil can be compared against companies in the Retail - Cyclical 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 Retail - Cyclical company?
A good EBIT depends on the Retail - Cyclical 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 Wesfarmers. Wesfarmers's current EBIT is €2,480 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Wesfarmers stock overvalued right now?
Based on GuruFocus' analysis, Wesfarmers (HAM:WF3) is currently considered Modestly Overvalued. The stock's GF Value™ is €45.02, compared to a current price of €52.43 — trading 16.5% above its estimated fair value. The current EBIT is €2,480 Mil. Wesfarmers' overall GF Score™ is 85/100 with 7 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 Wesfarmers (HAM:WF3), the current EBIT is €2,480 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 Wesfarmers (HAM:WF3) Overvalued in 2026?

Based on GuruFocus' analysis, Wesfarmers stock appears to be overvalued. The current stock price of €52.43 is trading 16.5% above its estimated GF Value™ of €45.02. GuruFocus considers Wesfarmers to be Modestly Overvalued.

Key valuation signals for HAM:WF3:

  • EBIT: €2,480 Mil
  • GF Value™: €45.02 vs. price of €52.43 (16.5% above fair value)
  • GF Score™: 85/100 with 7 warning signs

No single metric tells the full story. See the HAM:WF3 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Wesfarmers Business Description

Address 123 St Georges Terrace, Level 14, Brookfield Place Tower 2, Perth, WA, AUS, 6000
Wesfarmers is Australia's largest conglomerate. Its retail operations include the Bunnings hardware chain (number one in market share), discount department stores Kmart and Target (number one and three), and Officeworks in office supplies (number one). These activities account for the vast majority of group earnings before taxes. Other operations include chemicals and fertilizers, lithium mining, industrial and safety supplies, and health. Management is focused on generating cash and creating shareholder wealth in the long term.
85GF Score

Get the complete analysis for HAM:WF3

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

€52.43
Price
€45.02
GF Value