Royal Arc Electrodes (NSE:ROYALARC) EBIT: ₹79.3 Mil (TTM As of Mar. 2026)


NSE:ROYALARC Royal Arc Electrodes Ltd NSE:ROYALARC
19 GF Score
Price ₹146.05
! 4 Warning Signs
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What is Royal Arc Electrodes EBIT?

Royal Arc Electrodes NSE:ROYALARC 19 EBIT is ₹79.3 Mil as of Mar. 2026. GuruFocus rates NSE:ROYALARC with a GF Score™ of 19/100. The stock has 4 warning signs investors should review.

Royal Arc Electrodes's earnings before interest and taxes (EBIT) for the six months ended in Mar. 2026 was ₹79.3 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Mar. 2026 was ₹79.3 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Royal Arc Electrodes's annualized ROC % for the quarter that ended in Mar. 2026 was 14.73%. Royal Arc Electrodes's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 28.09%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. Royal Arc Electrodes's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 5.37%.

Royal Arc Electrodes  (NSE:ROYALARC) EBIT Explanation

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

Royal Arc Electrodes's annualized ROC % for the quarter that ended in Mar. 2026 is calculated as:

ROC % (Q: Mar. 2026 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Mar. 2025 ) + Invested Capital (Q: Mar. 2026 ))/ count )
=133.176 * ( 1 - 27.01% )/( (568.079 + 752.137)/ 2 )
=97.2051624/660.108
=14.73 %

where

Invested Capital(Q: Mar. 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))
=808.528 - 47.787 - ( 192.662 - max(0, 76.505 - 565.539+192.662))
=568.079

Invested Capital(Q: Mar. 2026 )
=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))
=912.312 - 15.274 - ( 144.901 - max(0, 86.275 - 586.484+144.901))
=752.137

Note: The Operating Income data used here is two times the semi-annual (Mar. 2026) data.

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

Royal Arc Electrodes's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 is calculated as:

ROC (Joel Greenblatt) %(Q: Mar. 2026 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Mar. 2025  Q: Mar. 2026
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=158.624/( ( (220.459 + max(302.753, 0)) + (299.386 + max(306.984, 0)) )/ 2 )
=158.624/( ( 523.212 + 606.37 )/ 2 )
=158.624/564.791
=28.09 %

where Working Capital is:

Working Capital(Q: Mar. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(209.331 + 142.818 + 18.961) - (47.787 + 0 + 20.57)
=302.753

Working Capital(Q: Mar. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(257.5 + 131.826 + 1.8950000000001) - (15.274 + 0 + 68.963)
=306.984

When net working capital is negative, 0 is used.

Note: The EBIT data used here is two times the semi-annual (Mar. 2026) EBIT data.

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

Royal Arc Electrodes's Earnings Yield (Joel Greenblatt) % for today is calculated as:

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Mar. 2026 )
=79.312/1478.321
=5.37 %

* 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.

Royal Arc Electrodes EBIT Related Terms

Royal Arc Electrodes EBIT Historical Data

* Premium members only.

The historical data trend for Royal Arc Electrodes'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.

Royal Arc Electrodes EBIT Chart

Royal Arc Electrodes Annual Data
Trend Mar22 Mar23 Mar24 Mar25 Mar26
EBIT
37.30 135.81 163.61 122.53 138.56

Royal Arc Electrodes Semi-Annual Data
Mar22 Mar23 Mar24 Sep24 Mar25 Mar26
EBIT Get a 7-Day Free Trial 0.00 0.00 42.97 79.25 79.31

NSE:ROYALARC vs VRT, BE: EBIT Comparison

For the Electrical Equipment & Parts subindustry, Royal Arc Electrodes'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.

Royal Arc Electrodes EV-to-EBIT vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, Royal Arc Electrodes's EV-to-EBIT distribution charts can be found below:

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


NSE:ROYALARC
19GF Score
Royal Arc Electrodes Ltd NSE:ROYALARC
EBIT is just one metric. See GF Score™, valuation, warning signs, and more.
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Royal Arc Electrodes 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 Mar. 2026 adds up the semi-annually data reported by the company within the most recent 12 months, which was ₹79.3 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 ₹79.3 Mil mean?
Royal Arc Electrodes (NSE:ROYALARC) has a EBIT of ₹79.3 Mil as of Mar. 2026. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on Royal Arc Electrodes.
Is Royal Arc Electrodes' EBIT too high?
Royal Arc Electrodes' current EBIT is ₹79.3 Mil. Overall, Royal Arc Electrodes has a GF Score™ of 19/100, reflecting its overall financial health beyond just this single metric.
How does Royal Arc Electrodes' EBIT compare to VRT and BE?
Royal Arc Electrodes' EBIT of ₹79.3 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 Royal Arc Electrodes. Royal Arc Electrodes's current EBIT is ₹79.3 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Royal Arc Electrodes stock overvalued right now?
Royal Arc Electrodes (NSE:ROYALARC) has a current EBIT of ₹79.3 Mil. The current EBIT is ₹79.3 Mil. Royal Arc Electrodes' overall GF Score™ is 19/100 with 4 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 Royal Arc Electrodes (NSE:ROYALARC), the current EBIT is ₹79.3 Mil as of Mar. 2026. 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.

Royal Arc Electrodes Business Description

Address S.V. Road, 72 B, Bombay Talkies Compound, Malad West, Mumbai, MH, IND, 400064
Royal Arc Electrodes Ltd is engaged in the business of manufacturing welding consumables such as welding electrodes, flux cored wire, MIG/TIG wires, which finds its application in the welding of tanks, boilers, heavy structures, beams, pipes, cylinders, pressure vessels, etc. which are used in industries like railways, roadways, airport infrastructure, refineries, shipyards, mines, sugar industries, telecom industries, thermal power stations, PEB sectors, etc. Further, the Company is also engaged in the business of trading ancillary/incidental products like wheels, electro slag, welding flux cored wire, electro slag strip cladding, saw flux, and TIG /MIG wires. It manufactures its products from copper coated wire, MS Strips, MS wire, SS strip, SS wire, nickel wire, ferro alloy powder, etc.
19GF Score

Get the complete analysis for NSE:ROYALARC

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

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