Shanghai Gench Education Group (HKSE:01525) EBIT: HK$366 Mil (TTM As of Dec. 2025)

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HKSE:01525 Shanghai Gench Education Group Ltd HKSE:01525
80 GF Score
Price HK$2.48
GF Value HK$3.48
Valuation Modestly Undervalued
! 4 Warning Signs
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What is Shanghai Gench Education Group EBIT?

Shanghai Gench Education Group HKSE:01525 +2.90% 80 EBIT is HK$366 Mil as of Dec. 2025. GuruFocus rates HKSE:01525 with a GF Score™ of 80/100 and a GF Value™ of HK$3.48 (Modestly Undervalued). The stock has 4 warning signs investors should review.

Shanghai Gench Education Group's earnings before interest and taxes (EBIT) for the six months ended in Dec. 2025 was HK$120 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Dec. 2025 was HK$366 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Shanghai Gench Education Group's annualized ROC % for the quarter that ended in Dec. 2025 was 3.86%. Shanghai Gench Education Group's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2025 was 7.35%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. Shanghai Gench Education Group's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Dec. 2025 was 45.28%.


Shanghai Gench Education Group  (HKSE:01525) EBIT Explanation

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

Shanghai Gench Education Group'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 )
=206.146 * ( 1 - 24.26% )/( (3792.008 + 4300.647)/ 2 )
=156.1349804/4046.3275
=3.86 %

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))
=3971.928 - 257.01 - ( 471.044 - max(0, 561.605 - 484.515+471.044))
=3792.008

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))
=4039.203 - 226.391 - ( 493.936 - max(0, 1001.148 - 513.313+493.936))
=4300.647

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:

Shanghai Gench Education Group'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 )
=240.24/( ( (3248.626 + max(-376.485, 0)) + (3285.584 + max(-954.987, 0)) )/ 2 )
=240.24/( ( 3248.626 + 3285.584 )/ 2 )
=240.24/3267.105
=7.35 %

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)
=(5.858 + 0 + 0) - (257.01 + 0 + 125.333)
=-376.485

Working Capital(Q: Dec. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(9.986 + 0 + 2.064) - (226.391 + 0 + 740.646)
=-954.987

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:

Shanghai Gench Education Group's Earnings Yield (Joel Greenblatt) % for today is calculated as:

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Dec. 2025 )
=366.455/809.261
=45.28 %

* 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.


Shanghai Gench Education Group EBIT Related Terms


Shanghai Gench Education Group EBIT Historical Data

* Premium members only.

The historical data trend for Shanghai Gench Education Group'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.

Shanghai Gench Education Group EBIT Chart

Shanghai Gench Education Group 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 354.26 368.94 442.04 347.48 369.08

Shanghai Gench Education Group Semi-Annual Data
Dec16 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 159.64 275.00 74.75 246.34 120.12

HKSE:01525 vs EDU, TAL, LAUR: EBIT Comparison

For the Education & Training Services subindustry, Shanghai Gench Education Group'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.


Shanghai Gench Education Group EV-to-EBIT vs Education Industry

For the Education industry and Consumer Defensive sector, Shanghai Gench Education Group's EV-to-EBIT distribution charts can be found below:

* The bar in red indicates where Shanghai Gench Education Group's EV-to-EBIT falls into.


HKSE:01525
80GF Score
Shanghai Gench Education Group Ltd HKSE:01525
EBIT is just one metric. See GF Score™, valuation, warning signs, and more.
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Shanghai Gench Education Group 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$366 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$366 Mil mean?
Shanghai Gench Education Group (HKSE:01525) has a EBIT of HK$366 Mil as of Dec. 2025. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on Shanghai Gench Education Group.
Is Shanghai Gench Education Group's EBIT too high?
Shanghai Gench Education Group's current EBIT is HK$366 Mil. Overall, Shanghai Gench Education Group has a GF Score™ of 80/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Shanghai Gench Education Group's EBIT compare to EDU and TAL?
Shanghai Gench Education Group's EBIT of HK$366 Mil can be compared against companies in the Education 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 an Education company?
A good EBIT depends on the Education 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 Shanghai Gench Education Group. Shanghai Gench Education Group's current EBIT is HK$366 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Shanghai Gench Education Group stock overvalued right now?
Based on GuruFocus' analysis, Shanghai Gench Education Group (HKSE:01525) is currently considered Modestly Undervalued. The stock's GF Value™ is HK$3.48, compared to a current price of HK$2.48 — trading 28.7% below its estimated fair value. The current EBIT is HK$366 Mil. Shanghai Gench Education Group's overall GF Score™ is 80/100 with 4 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 Shanghai Gench Education Group (HKSE:01525), the current EBIT is HK$366 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 Shanghai Gench Education Group (HKSE:01525) Overvalued in 2026?

Based on GuruFocus' analysis, Shanghai Gench Education Group stock appears to be undervalued. The current stock price of HK$2.48 is trading 28.7% below its estimated GF Value™ of HK$3.48. GuruFocus considers Shanghai Gench Education Group to be Modestly Undervalued.

Key valuation signals for HKSE:01525:

  • EBIT: HK$366 Mil
  • GF Value™: HK$3.48 vs. price of HK$2.48 (28.7% below fair value)
  • GF Score™: 80/100 with 4 warning signs

No single metric tells the full story. See the HKSE:01525 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Shanghai Gench Education Group Business Description

Address No. 1111, Huchenghuan Road, Pudong New Area, Shanghai, CHN
Shanghai Gench Education Group Ltd and its subsidiaries are engaged in providing undergraduate education and junior college educations. The group generates its revenue from tuition fees, boarding fees, and other education-related services. Geographically, the company generates all of its revenue from the People's Republic of China.
80GF Score

Get the complete analysis for HKSE:01525

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

HK$2.48
Price
HK$3.48
GF Value