China Leon Inspection Holding (HKSE:01586) EBIT: HK$100 Mil (TTM As of Dec. 2025)

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HKSE:01586 China Leon Inspection Holding Ltd HKSE:01586
88 GF Score
Price HK$1.72
GF Value HK$2.22
Valuation Modestly Undervalued
! 6 Warning Signs
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What is China Leon Inspection Holding EBIT?

China Leon Inspection Holding HKSE:01586 88 EBIT is HK$100 Mil as of Dec. 2025. GuruFocus rates HKSE:01586 with a GF Score™ of 88/100 and a GF Value™ of HK$2.22 (Modestly Undervalued). The stock has 6 warning signs investors should review.

China Leon Inspection Holding's earnings before interest and taxes (EBIT) for the six months ended in Dec. 2025 was HK$28 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Dec. 2025 was HK$100 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. China Leon Inspection Holding's annualized ROC % for the quarter that ended in Dec. 2025 was 10.72%. China Leon Inspection Holding's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2025 was 12.88%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. China Leon Inspection Holding's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Dec. 2025 was 8.94%.


China Leon Inspection Holding  (HKSE:01586) EBIT Explanation

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

China Leon Inspection Holding'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 )
=135.508 * ( 1 - 53.49% )/( (564.09 + 611.8)/ 2 )
=63.0247708/587.945
=10.72 %

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))
=966.668 - 164.112 - ( 238.466 - max(0, 273.553 - 589.927+238.466))
=564.09

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))
=1021.863 - 180.017 - ( 230.046 - max(0, 328.79 - 626.207+230.046))
=611.8

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:

China Leon Inspection Holding'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 )
=56.768/( ( (318.189 + max(99.22, 0)) + (335.631 + max(128.546, 0)) )/ 2 )
=56.768/( ( 417.409 + 464.177 )/ 2 )
=56.768/440.793
=12.88 %

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)
=(258.654 + 8.351 + 4.8149999999999) - (164.112 + 0 + 8.488)
=99.22

Working Capital(Q: Dec. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(297.245 + 0.678 + 19.251) - (180.017 + 0 + 8.611)
=128.546

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:

China Leon Inspection Holding's Earnings Yield (Joel Greenblatt) % for today is calculated as:

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Dec. 2025 )
=99.633/1114.110
=8.94 %

* 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.


China Leon Inspection Holding EBIT Related Terms


China Leon Inspection Holding EBIT Historical Data

* Premium members only.

The historical data trend for China Leon Inspection Holding'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.

China Leon Inspection Holding EBIT Chart

China Leon Inspection Holding 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 115.95 141.16 162.68 167.80 99.63

China Leon Inspection Holding 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 78.73 99.69 68.11 71.25 28.38

HKSE:01586 vs CTAS, CPRT, GPN: EBIT Comparison

For the Specialty Business Services subindustry, China Leon Inspection Holding'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.


China Leon Inspection Holding EV-to-EBIT vs Business Services Industry

For the Business Services industry and Industrials sector, China Leon Inspection Holding's EV-to-EBIT distribution charts can be found below:

* The bar in red indicates where China Leon Inspection Holding's EV-to-EBIT falls into.


HKSE:01586
88GF Score
China Leon Inspection Holding Ltd HKSE:01586
EBIT is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

China Leon Inspection Holding 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$100 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$100 Mil mean?
China Leon Inspection Holding (HKSE:01586) has a EBIT of HK$100 Mil as of Dec. 2025. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on China Leon Inspection Holding.
Is China Leon Inspection Holding's EBIT too high?
China Leon Inspection Holding's current EBIT is HK$100 Mil. Overall, China Leon Inspection Holding has a GF Score™ of 88/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does China Leon Inspection Holding's EBIT compare to CTAS and CPRT?
China Leon Inspection Holding's EBIT of HK$100 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 China Leon Inspection Holding. China Leon Inspection Holding's current EBIT is HK$100 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is China Leon Inspection Holding stock overvalued right now?
Based on GuruFocus' analysis, China Leon Inspection Holding (HKSE:01586) is currently considered Modestly Undervalued. The stock's GF Value™ is HK$2.22, compared to a current price of HK$1.72 — trading 22.5% below its estimated fair value. The current EBIT is HK$100 Mil. China Leon Inspection Holding's overall GF Score™ is 88/100 with 6 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 China Leon Inspection Holding (HKSE:01586), the current EBIT is HK$100 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 China Leon Inspection Holding (HKSE:01586) Overvalued in 2026?

Based on GuruFocus' analysis, China Leon Inspection Holding stock appears to be undervalued. The current stock price of HK$1.72 is trading 22.5% below its estimated GF Value™ of HK$2.22. GuruFocus considers China Leon Inspection Holding to be Modestly Undervalued.

Key valuation signals for HKSE:01586:

  • EBIT: HK$100 Mil
  • GF Value™: HK$2.22 vs. price of HK$1.72 (22.5% below fair value)
  • GF Score™: 88/100 with 6 warning signs

No single metric tells the full story. See the HKSE:01586 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


China Leon Inspection Holding Business Description

Address 5 Canton Road, Suite 1015, 10th floor, Ocean Centre, Tsim Sha Tsui, Kowloon, Harbour, HKG
China Leon Inspection Holding Ltd is a coal testing inspection services provider. The business scope of the company includes Testing services, Surveying services, and witnessing and Ancillary services. Testing services focus on the quality assurance of coal; Surveying services include a draft survey to determine or verify the coal quantity, and it also provide witnessing services by observing testing and inspection activities conducted by the counterparties of its customers to detect dishonesty or abnormality. Geographically, it generates the majority of its revenue from Greater China.
88GF Score

Get the complete analysis for HKSE:01586

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

HK$1.72
Price
HK$2.22
GF Value