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ServiceNow (LTS:0L5N) EBIT : $1,761 Mil (TTM As of Dec. 2024)


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What is ServiceNow EBIT?

ServiceNow's earnings before interest and taxes (EBIT) for the three months ended in Dec. 2024 was $468 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Dec. 2024 was $1,761 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. ServiceNow's annualized ROC % for the quarter that ended in Dec. 2024 was 7.11%. ServiceNow's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2024 was 77.44%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. ServiceNow's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Dec. 2024 was 1.02%.


ServiceNow EBIT Historical Data

The historical data trend for ServiceNow'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.

ServiceNow EBIT Chart

ServiceNow Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
EBIT
Get a 7-Day Free Trial Premium Member Only Premium Member Only 183.00 257.00 355.00 1,032.00 1,761.00

ServiceNow Quarterly Data
Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24
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 353.00 431.00 340.00 522.00 468.00

Competitive Comparison of ServiceNow's EBIT

For the Software - Application subindustry, ServiceNow'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.


ServiceNow's EV-to-EBIT Distribution in the Software Industry

For the Software industry and Technology sector, ServiceNow's EV-to-EBIT distribution charts can be found below:

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



ServiceNow 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. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was $1,761 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.


ServiceNow  (LTS:0L5N) EBIT Explanation

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

ServiceNow's annualized ROC % for the quarter that ended in Dec. 2024 is calculated as:

ROC % (Q: Dec. 2024 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Sep. 2024 ) + Invested Capital (Q: Dec. 2024 ))/ count )
=1496 * ( 1 - 17.06% )/( (16301 + 18624)/ 2 )
=1240.7824/17462.5
=7.11 %

where

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

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

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

ROC (Joel Greenblatt) %(Q: Dec. 2024 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Sep. 2024  Q: Dec. 2024
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=1872/( ( (2379 + max(-4279, 0)) + (2456 + max(-4831, 0)) )/ 2 )
=1872/( ( 2379 + 2456 )/ 2 )
=1872/2417.5
=77.44 %

where Working Capital is:

Working Capital(Q: Sep. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(1308 + 0 + 1093) - (1223 + 5457 + 0)
=-4279

Working Capital(Q: Dec. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(2240 + 0 + 1185) - (930 + 6819 + 507)
=-4831

When net working capital is negative, 0 is used.

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

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

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

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Dec. 2024 )
=1761/171974.199
=1.02 %

* 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.


ServiceNow EBIT Related Terms

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ServiceNow Business Description

Address
2225 Lawson Lane, Santa Clara, CA, USA, 95054
ServiceNow Inc provides software solutions to structure and automate various business processes via a SaaS delivery model. The company primarily focuses on the IT function for enterprise customers. ServiceNow began with IT service management, expanded within the IT function, and more recently directed its workflow automation logic to functional areas beyond IT, notably customer service, HR service delivery, and security operations. ServiceNow also offers an application development platform as a service.

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