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Gaotu Techedu (LTS:0A7G) EBIT : $-170.4 Mil (TTM As of Sep. 2024)


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What is Gaotu Techedu EBIT?

Gaotu Techedu's earnings before interest and taxes (EBIT) for the three months ended in Sep. 2024 was $-69.3 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Sep. 2024 was $-170.4 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Gaotu Techedu's annualized ROC % for the quarter that ended in Sep. 2024 was -56.27%. Gaotu Techedu's annualized ROC (Joel Greenblatt) % for the quarter that ended in Sep. 2024 was -178.18%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. Gaotu Techedu's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Sep. 2024 was -46.13%.


Gaotu Techedu EBIT Historical Data

The historical data trend for Gaotu Techedu'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.

Gaotu Techedu EBIT Chart

Gaotu Techedu Annual Data
Trend Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
EBIT
Get a 7-Day Free Trial 30.76 -268.38 -461.32 -16.93 -20.87

Gaotu Techedu Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
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 -13.64 -26.32 -10.79 -64.06 -69.26

Competitive Comparison of Gaotu Techedu's EBIT

For the Education & Training Services subindustry, Gaotu Techedu'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.


Gaotu Techedu's EV-to-EBIT Distribution in the Education Industry

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

* The bar in red indicates where Gaotu Techedu's EV-to-EBIT falls into.



Gaotu Techedu 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 Sep. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was $-170.4 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.


Gaotu Techedu  (LTS:0A7G) EBIT Explanation

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

Gaotu Techedu's annualized ROC % for the quarter that ended in Sep. 2024 is calculated as:

ROC % (Q: Sep. 2024 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Jun. 2024 ) + Invested Capital (Q: Sep. 2024 ))/ count )
=-277.052 * ( 1 - -1.46% )/( (484.481 + 514.615)/ 2 )
=-281.0969592/499.548
=-56.27 %

where

Invested Capital(Q: Jun. 2024 )
=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))
=805.802 - 152.264 - ( 440.423 - max(0, 358.95 - 528.007+440.423))
=484.481

Invested Capital(Q: Sep. 2024 )
=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))
=736.06 - 151.295 - ( 330.517 - max(0, 347.422 - 417.572+330.517))
=514.615

Note: The Operating Income data used here is four times the quarterly (Sep. 2024) data.

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

Gaotu Techedu's annualized ROC (Joel Greenblatt) % for the quarter that ended in Sep. 2024 is calculated as:

ROC (Joel Greenblatt) %(Q: Sep. 2024 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Jun. 2024  Q: Sep. 2024
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=-277.052/( ( (141.168 + max(-256.545, 0)) + (169.817 + max(-237.165, 0)) )/ 2 )
=-277.052/( ( 141.168 + 169.817 )/ 2 )
=-277.052/155.4925
=-178.18 %

where Working Capital is:

Working Capital(Q: Jun. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(0 + 5.292 + 82.292) - (152.264 + 191.865 + -5.6843418860808E-14)
=-256.545

Working Capital(Q: Sep. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(0 + 7.547 + 79.508) - (151.295 + 172.925 + 0)
=-237.165

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Sep. 2024) EBIT data.

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

Gaotu Techedu's Earnings Yield (Joel Greenblatt) % for today is calculated as:

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Sep. 2024 )
=-170.433/369.425
=-46.13 %

* 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.


Gaotu Techedu EBIT Related Terms

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Gaotu Techedu Business Description

Traded in Other Exchanges
Address
10 Xibeiwang East Road, 5th Floor, Gientech Building, 17 East Zone, Haidian District, Beijing, CHN, 100193
Gaotu Techedu Inc is a technology-driven education company that provides online live courses in a large-class setting backed by its proprietary technology infrastructure. The company's segment includes the provision of education services. The company offers courses in large-class format, which amplifies the benefits of online education and allows it to rapidly expand its student base. It operates solely in the PRC and all assets are located in the PRC. The learning services that the company offers include Traditional Learning Services, Non-Academic Tutoring Services, and College Student and Adult Education Services.

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