Arts Optical International Holdings (HKSE:01120) EBIT: HK$78 Mil (TTM As of Dec. 2025)

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

HKSE:01120 Arts Optical International Holdings Ltd HKSE:01120
43 GF Score
Price HK$0.60
GF Value HK$0.99
Valuation Possible Value Trap
! 5 Warning Signs
View Full Analysis

What is Arts Optical International Holdings EBIT?

Arts Optical International Holdings HKSE:01120 -0.83% 43 EBIT is HK$78 Mil as of Dec. 2025. GuruFocus rates HKSE:01120 with a GF Score™ of 43/100 and a GF Value™ of HK$0.99 (Possible Value Trap). The stock has 5 warning signs investors should review.

Arts Optical International Holdings's earnings before interest and taxes (EBIT) for the six months ended in Dec. 2025 was HK$71 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Dec. 2025 was HK$78 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Arts Optical International Holdings's annualized ROC % for the quarter that ended in Dec. 2025 was 8.23%. Arts Optical International Holdings's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2025 was 24.38%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. Arts Optical International Holdings's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Dec. 2025 was 15.34%.


Arts Optical International Holdings  (HKSE:01120) EBIT Explanation

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

Arts Optical International Holdings'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 )
=112.532 * ( 1 - 33.88% )/( (848.011 + 959.313)/ 2 )
=74.4061584/903.662
=8.23 %

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))
=1448.996 - 498.317 - ( 154.84 - max(0, 671.101 - 773.769+154.84))
=848.011

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))
=1608.822 - 512.836 - ( 136.673 - max(0, 731.492 - 872.412+136.673))
=959.313

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:

Arts Optical International Holdings'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 )
=141.36/( ( (459.407 + max(14.823, 0)) + (522.527 + max(162.949, 0)) )/ 2 )
=141.36/( ( 474.23 + 685.476 )/ 2 )
=141.36/579.853
=24.38 %

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)
=(305.632 + 260.428 + 0.24099999999999) - (498.317 + 0 + 53.161)
=14.823

Working Capital(Q: Dec. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(414.932 + 276.755 + 0.28800000000001) - (512.836 + 0 + 16.19)
=162.949

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:

Arts Optical International Holdings's Earnings Yield (Joel Greenblatt) % for today is calculated as:

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Dec. 2025 )
=77.815/507.372
=15.34 %

* 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.


Arts Optical International Holdings EBIT Related Terms


Arts Optical International Holdings EBIT Historical Data

* Premium members only.

The historical data trend for Arts Optical International Holdings'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.

Arts Optical International Holdings EBIT Chart

Arts Optical International Holdings 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 33.86 128.63 57.54 33.51 74.21

Arts Optical International Holdings Semi-Annual Data
Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25 Jun26
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 12.08 21.43 3.53 70.68 7.14

HKSE:01120 vs ISRG, BDX, RMD: EBIT Comparison

For the Medical Instruments & Supplies subindustry, Arts Optical International Holdings'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.


Arts Optical International Holdings EV-to-EBIT vs Medical Devices & Instruments Industry

For the Medical Devices & Instruments industry and Healthcare sector, Arts Optical International Holdings's EV-to-EBIT distribution charts can be found below:

* The bar in red indicates where Arts Optical International Holdings's EV-to-EBIT falls into.


HKSE:01120
43GF Score
Arts Optical International Holdings Ltd HKSE:01120
EBIT is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Arts Optical International Holdings 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 HK$78 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 HK$78 Mil mean?
Arts Optical International Holdings (HKSE:01120) has a EBIT of HK$78 Mil as of Dec. 2025. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on Arts Optical International Holdings.
Is Arts Optical International Holdings' EBIT too high?
Arts Optical International Holdings' current EBIT is HK$78 Mil. Overall, Arts Optical International Holdings has a GF Score™ of 43/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Arts Optical International Holdings' EBIT compare to ISRG and BDX?
Arts Optical International Holdings' EBIT of HK$78 Mil can be compared against companies in the Medical Devices & Instruments 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 Medical Devices & Instruments company?
A good EBIT depends on the Medical Devices & Instruments 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 Arts Optical International Holdings. Arts Optical International Holdings's current EBIT is HK$78 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Arts Optical International Holdings stock overvalued right now?
Based on GuruFocus' analysis, Arts Optical International Holdings (HKSE:01120) is currently considered Possible Value Trap. The stock's GF Value™ is HK$0.99, compared to a current price of HK$0.60 — trading 39.4% below its estimated fair value. The current EBIT is HK$78 Mil. Arts Optical International Holdings' overall GF Score™ is 43/100 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 Arts Optical International Holdings (HKSE:01120), the current EBIT is HK$78 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 Arts Optical International Holdings (HKSE:01120) Overvalued in 2026?

Based on GuruFocus' analysis, Arts Optical International Holdings stock appears to be undervalued. The current stock price of HK$0.60 is trading 39.4% below its estimated GF Value™ of HK$0.99. GuruFocus considers Arts Optical International Holdings to be Possible Value Trap.

Key valuation signals for HKSE:01120:

  • EBIT: HK$78 Mil
  • GF Value™: HK$0.99 vs. price of HK$0.60 (39.4% below fair value)
  • GF Score™: 43/100 with 5 warning signs

No single metric tells the full story. See the HKSE:01120 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Arts Optical International Holdings Business Description

Address 55 King Yip Street, King Palace Plaza, Units A to G, 32nd Floor, Kwun Tong, Kowloon, Hong Kong, HKG
Arts Optical International Holdings Ltd is an investment holding company. Through its subsidiaries, it is engaged in the manufacturing and trading of prescription frames, sunglasses, and optical lenses as well as property holding. It operates in three divisions: Original design manufacturing, Distribution, and Lens division. The group is organized into four segments, which are sales of optical products to customers located in Europe, the United States, Asia, and other regions, of which the majority of the revenue is generated from Europe.
43GF Score

Get the complete analysis for HKSE:01120

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

HK$0.60
Price
HK$0.99
GF Value