Morgan Advanced Materials (LSE:MGAM) EBIT: £48.1 Mil (TTM As of Dec. 2025)


LSE:MGAM Morgan Advanced Materials PLC LSE:MGAM
74 GF Score
Price £2.19
GF Value £2.41
Valuation Fairly Valued
! 9 Warning Signs
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What is Morgan Advanced Materials EBIT?

Morgan Advanced Materials LSE:MGAM -0.90% 74 EBIT is £48.1 Mil as of Dec. 2025. GuruFocus rates LSE:MGAM with a GF Score™ of 74/100 and a GF Value™ of £2.41 (Fairly Valued). The stock has 9 warning signs investors should review.

Morgan Advanced Materials's earnings before interest and taxes (EBIT) for the six months ended in Dec. 2025 was £5.2 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Dec. 2025 was £48.1 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Morgan Advanced Materials's annualized ROC % for the quarter that ended in Dec. 2025 was 9.78%. Morgan Advanced Materials's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2025 was 2.30%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. Morgan Advanced Materials's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Dec. 2025 was 5.52%.

Morgan Advanced Materials  (LSE:MGAM) EBIT Explanation

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

Morgan Advanced Materials'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 )
=71.8 * ( 1 - 0% )/( (706.9 + 761.9)/ 2 )
=71.8/734.4
=9.78 %

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))
=1020.4 - 228.9 - ( 84.6 - max(0, 249.7 - 435+84.6))
=706.9

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))
=984.8 - 144.3 - ( 126.5 - max(0, 337.7 - 416.3+126.5))
=761.9

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:

Morgan Advanced Materials'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 )
=10.4/( ( (377 + max(112.1, 0)) + (362.4 + max(51.8, 0)) )/ 2 )
=10.4/( ( 489.1 + 414.2 )/ 2 )
=10.4/451.65
=2.30 %

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)
=(186 + 158.9 + 5.5) - (228.9 + 0 + 9.4)
=112.1

Working Capital(Q: Dec. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(105.3 + 146.5 + 27.2) - (144.3 + 0 + 82.9)
=51.8

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:

Morgan Advanced Materials's Earnings Yield (Joel Greenblatt) % for today is calculated as:

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Dec. 2025 )
=48.1/871.448
=5.52 %

* 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.

Morgan Advanced Materials EBIT Related Terms

Morgan Advanced Materials EBIT Historical Data

* Premium members only.

The historical data trend for Morgan Advanced Materials'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.

Morgan Advanced Materials EBIT Chart

Morgan Advanced Materials 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 114.30 142.40 95.80 101.80 48.10

Morgan Advanced Materials 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 59.10 67.70 34.10 42.90 5.20

LSE:MGAM vs GEV, ETN, PH: EBIT Comparison

For the Specialty Industrial Machinery subindustry, Morgan Advanced Materials'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.

Morgan Advanced Materials EV-to-EBIT vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, Morgan Advanced Materials's EV-to-EBIT distribution charts can be found below:

* The bar in red indicates where Morgan Advanced Materials's EV-to-EBIT falls into.


LSE:MGAM
74GF Score
Morgan Advanced Materials PLC LSE:MGAM
EBIT is just one metric. See GF Score™, valuation, warning signs, and more.
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Morgan Advanced Materials 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 £48.1 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 £48.1 Mil mean?
Morgan Advanced Materials (LSE:MGAM) has a EBIT of £48.1 Mil as of Dec. 2025. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on Morgan Advanced Materials.
Is Morgan Advanced Materials' EBIT too high?
Morgan Advanced Materials' current EBIT is £48.1 Mil. Overall, Morgan Advanced Materials has a GF Score™ of 74/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Morgan Advanced Materials' EBIT compare to GEV and ETN?
Morgan Advanced Materials' EBIT of £48.1 Mil can be compared against companies in the Industrial Products 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 Industrial Products company?
A good EBIT depends on the Industrial Products 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 Morgan Advanced Materials. Morgan Advanced Materials's current EBIT is £48.1 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Morgan Advanced Materials stock overvalued right now?
Based on GuruFocus' analysis, Morgan Advanced Materials (LSE:MGAM) is currently considered Fairly Valued. The stock's GF Value™ is £2.41, compared to a current price of £2.19 — trading 9.1% below its estimated fair value. The current EBIT is £48.1 Mil. Morgan Advanced Materials' overall GF Score™ is 74/100 with 9 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 Morgan Advanced Materials (LSE:MGAM), the current EBIT is £48.1 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 Morgan Advanced Materials (LSE:MGAM) Overvalued in 2026?

Based on GuruFocus' analysis, Morgan Advanced Materials stock appears to be undervalued. The current stock price of £2.19 is trading 9.1% below its estimated GF Value™ of £2.41. GuruFocus considers Morgan Advanced Materials to be Fairly Valued.

Key valuation signals for LSE:MGAM:

  • EBIT: £48.1 Mil
  • GF Value™: £2.41 vs. price of £2.19 (9.1% below fair value)
  • GF Score™: 74/100 with 9 warning signs

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

Morgan Advanced Materials Business Description

Address Sheet Street, York House, Windsor, GBR, SL4 1DD
Morgan Advanced Materials PLC is an advanced materials company that co-designs and manufactures mission-critical solutions using material science and application expertise. The Company's products and solutions include semiconductor consumables, collector strips and carbon brushes, graphite powders, face seals, sliding bearings, rotary seals, rotary vane pump components, structural ceramic components, engineered coatings, ceramic cores, ceramic-to-metal assemblies, braze alloys, ceramic tubes and rollers, extruded products, laser products, and MACOR machinable glass ceramic. The Group operates through three segments: Thermal Products generates maximum revenue, Performance Carbon, and Technical Ceramics. Geographically, it generates the majority of its revenue from the USA.
74GF Score

Get the complete analysis for LSE:MGAM

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

£2.19
Price
£2.41
GF Value