Avanti Communications Group (LSE:AVN) EBIT: £-78.78 Mil (TTM As of Jun. 2020)


What is Avanti Communications Group EBIT?

Avanti Communications Group LSE:AVN -87.07% EBIT is £-78.78 Mil as of Jun. 2020. The stock has 7 warning signs investors should review.

Avanti Communications Group's earnings before interest and taxes (EBIT) for the six months ended in Jun. 2020 was £-26.29 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Jun. 2020 was £-78.78 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Avanti Communications Group's annualized ROC % for the quarter that ended in Jun. 2020 was -6.53%. Avanti Communications Group's annualized ROC (Joel Greenblatt) % for the quarter that ended in Jun. 2020 was -10.19%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. Avanti Communications Group's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Jun. 2020 was -19.48%.

Avanti Communications Group  (LSE:AVN) EBIT Explanation

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

Avanti Communications Group's annualized ROC % for the quarter that ended in Jun. 2020 is calculated as:

ROC % (Q: Jun. 2020 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Dec. 2019 ) + Invested Capital (Q: Jun. 2020 ))/ count )
=-45.224 * ( 1 - 0% )/( (690.363 + 694.092)/ 2 )
=-45.224/692.2275
=-6.53 %

where

Invested Capital(Q: Dec. 2019 )
=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))
=581.635 - 16.023 - ( 9.003 - max(0, 180.221 - 55.47+9.003))
=690.363

Invested Capital(Q: Jun. 2020 )
=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))
=575.12 - 16.459 - ( 17.738 - max(0, 191.121 - 55.69+17.738))
=694.092

Note: The Operating Income data used here is two times the semi-annual (Jun. 2020) data.

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

Avanti Communications Group's annualized ROC (Joel Greenblatt) % for the quarter that ended in Jun. 2020 is calculated as:

ROC (Joel Greenblatt) %(Q: Jun. 2020 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Dec. 2019  Q: Jun. 2020
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=-52.574/( ( (518.993 + max(-17.778, 0)) + (512.638 + max(-34.677, 0)) )/ 2 )
=-52.574/( ( 518.993 + 512.638 )/ 2 )
=-52.574/515.8155
=-10.19 %

where Working Capital is:

Working Capital(Q: Dec. 2019 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(12.895 + 15.794 + 17.778) - (16.023 + 0 + 48.222)
=-17.778

Working Capital(Q: Jun. 2020 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(9.188 + 15.421 + 13.343) - (16.459 + 0 + 56.17)
=-34.677

When net working capital is negative, 0 is used.

Note: The EBIT data used here is two times the semi-annual (Jun. 2020) EBIT data.

3. It is also linked to Joel Greenblatt's definition of Earnings Yield:

Avanti Communications Group's Earnings Yield (Joel Greenblatt) % for today is calculated as:

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Jun. 2020 )
=-78.781/404.405
=-19.48 %

* 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.

Avanti Communications Group EBIT Related Terms

Avanti Communications Group EBIT Historical Data

* Premium members only.

The historical data trend for Avanti Communications 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.

Avanti Communications Group EBIT Chart

Avanti Communications Group Annual Data
Trend Jun09 Jun10 Jun11 Jun12 Jun13 Jun14 Jun15 Jun16 Jun17 Dec19
EBIT
Get a 7-Day Free Trial Premium Member Only Premium Member Only -28.96 -21.70 -18.37 -5.23 -83.32

Avanti Communications Group Semi-Annual Data
Jun10 Dec10 Jun11 Dec11 Jun12 Dec12 Jun13 Dec13 Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Jun19 Dec19 Jun20
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 -24.02 218.08 -31.88 -52.49 -26.29

LSE:AVN vs FNGR, FTRCQ, SYTE: EBIT Comparison

For the Telecom Services subindustry, Avanti Communications 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.

Avanti Communications Group EV-to-EBIT vs Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, Avanti Communications Group's EV-to-EBIT distribution charts can be found below:

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


Avanti Communications 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 Jun. 2020 adds up the semi-annually data reported by the company within the most recent 12 months, which was £-78.78 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 £-78.78 Mil mean?
Avanti Communications Group (LSE:AVN) has a EBIT of £-78.78 Mil as of Jun. 2020. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on Avanti Communications Group.
Is Avanti Communications Group's EBIT too high?
Avanti Communications Group's current EBIT is £-78.78 Mil.
How does Avanti Communications Group's EBIT compare to FNGR and FTRCQ?
Avanti Communications Group's EBIT of £-78.78 Mil can be compared against companies in the Telecommunication 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 Telecommunication Services company?
A good EBIT depends on the Telecommunication 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 Avanti Communications Group. Avanti Communications Group's current EBIT is £-78.78 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Avanti Communications Group stock overvalued right now?
Avanti Communications Group (LSE:AVN) has a current EBIT of £-78.78 Mil. The current EBIT is £-78.78 Mil. 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 Avanti Communications Group (LSE:AVN), the current EBIT is £-78.78 Mil as of Jun. 2020. 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.

Avanti Communications Group Business Description

Address 20 Black Friars Lane, Cobham House, London, GBR, EC4V 6EB
Avanti Communications Group PLC sells managed satellite data communications products to service providers on a wholesale basis. It uses the high-frequency Ka-band spectrum. The company's operating segments include Bandwidth and services, and Equipment. Its network can provide download speeds of up to 380Mbps. The company generates its revenues from the utilisation of its space assets, namely its spectrum rights and satellites. These assets include its spectrum rights, satellites, intellectual property, and ground station assets. It serves customers across Europe, the Middle East, and Africa.