GURUFOCUS.COM » STOCK LIST » Financial Services » Insurance » Direct Line Insurance Group PLC (LSE:DLG) » Definitions » EBIT

Direct Line Insurance Group (LSE:DLG) EBIT : £292 Mil (TTM As of Dec. 2023)


View and export this data going back to 2012. Start your Free Trial

What is Direct Line Insurance Group EBIT?

Direct Line Insurance Group's earnings before interest and taxes (EBIT) for the six months ended in Dec. 2023 was £361 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Dec. 2023 was £292 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Direct Line Insurance Group's annualized ROC % for the quarter that ended in Dec. 2023 was 8.94%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. Direct Line Insurance Group's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Dec. 2023 was 26.32%.


Direct Line Insurance Group EBIT Historical Data

The historical data trend for Direct Line Insurance 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.

* Premium members only.

Direct Line Insurance Group EBIT Chart

Direct Line Insurance Group Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
EBIT
Get a 7-Day Free Trial Premium Member Only Premium Member Only 539.50 486.50 482.80 -280.80 291.70

Direct Line Insurance Group Semi-Annual Data
Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23
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 203.30 3.00 -283.80 -69.20 360.90

Competitive Comparison of Direct Line Insurance Group's EBIT

For the Insurance - Property & Casualty subindustry, Direct Line Insurance 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.


Direct Line Insurance Group's EV-to-EBIT Distribution in the Insurance Industry

For the Insurance industry and Financial Services sector, Direct Line Insurance Group's EV-to-EBIT distribution charts can be found below:

* The bar in red indicates where Direct Line Insurance Group's EV-to-EBIT falls into.



Direct Line Insurance 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. 2023 adds up the semi-annually data reported by the company within the most recent 12 months, which was £292 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.


Direct Line Insurance Group  (LSE:DLG) EBIT Explanation

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

Direct Line Insurance Group's annualized ROC % for the quarter that ended in Dec. 2023 is calculated as:

ROC % (Q: Dec. 2023 )
=NOPAT/Average Invested Capital
=EBIT * ( 1 - Tax Rate % )/( (Invested Capital (Q: Jun. 2023 ) + Invested Capital (Q: Dec. 2023 ))/ count )
=721.8 * ( 1 - 22.31% )/( (5803.275 + 6743.62)/ 2 )
=560.76642/6273.4475
=8.94 %

where

Invested Capital(Q: Jun. 2023 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Balance Sheet Cash And Cash Equivalents - 5% * Revenue )
=7488.8 - 163.3 - ( 1600.9 - 5% * 1573.5 )
=5803.275

Invested Capital(Q: Dec. 2023 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Balance Sheet Cash And Cash Equivalents - 5% * Revenue )
=8417.2 - 15.6 - ( 1772.2 - 5% * 2284.4 )
=6743.62

Note: The EBIT data used here is two times the semi-annual (Dec. 2023) data.

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

ROC (Joel Greenblatt) % does not apply to banks and insurance companies.

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

Direct Line Insurance Group's Earnings Yield (Joel Greenblatt) % for today is calculated as:

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Dec. 2023 )
=291.7/1108.286
=26.32 %

* 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.


Direct Line Insurance Group EBIT Related Terms

Thank you for viewing the detailed overview of Direct Line Insurance Group's EBIT provided by GuruFocus.com. Please click on the following links to see related term pages.


Direct Line Insurance Group (LSE:DLG) Business Description

Address
Westmoreland Road, Churchill Court, Bromley, Kent, GBR, BR1 1DP
While Direct Line is one of the more focused personal lines insurers that we cover in Europe, it is still quite diversified. The business sells insurance under four divisions and those are personal lines motor, personal lines home, rescue and other personal lines, and commercial. Rescue and other personal lines include rescue, travel and pet insurance, and commercial insurance is sold to small and medium sized enterprises. Direct Line only sells insurance in United Kingdom. Direct Lines personal motor insurance division typically accounts for around 50% of total group gross written premium and the personal home insurance unit typically sells around 20%. Rescue and other personal lines account for around 10% and commercial insurance accounts for around 20%.

Direct Line Insurance Group (LSE:DLG) Headlines

No Headlines