Fonterra Co-operative Group (NZSE:FCG) EBIT: NZ$1,641 Mil (TTM As of Jan. 2026)


NZSE:FCG Fonterra Co-operative Group Ltd NZSE:FCG
65 GF Score
Price NZ$4.21
GF Value NZ$2.96
Valuation Significantly Overvalued
! 3 Warning Signs
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What is Fonterra Co-operative Group EBIT?

Fonterra Co-operative Group NZSE:FCG -1.17% 65 EBIT is NZ$1,641 Mil as of Jan. 2026. GuruFocus rates NZSE:FCG with a GF Score™ of 65/100 and a GF Value™ of NZ$2.96 (Significantly Overvalued). The stock has 3 warning signs investors should review.

Fonterra Co-operative Group's earnings before interest and taxes (EBIT) for the six months ended in Jan. 2026 was NZ$1,050 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Jan. 2026 was NZ$1,641 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Fonterra Co-operative Group's annualized ROC % for the quarter that ended in Jan. 2026 was 10.67%. Fonterra Co-operative Group's annualized ROC (Joel Greenblatt) % for the quarter that ended in Jan. 2026 was 18.91%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. Fonterra Co-operative Group's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Jan. 2026 was 10.64%.


Fonterra Co-operative Group  (NZSE:FCG) EBIT Explanation

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

Fonterra Co-operative Group's annualized ROC % for the quarter that ended in Jan. 2026 is calculated as:

ROC % (Q: Jan. 2026 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Jul. 2025 ) + Invested Capital (Q: Jan. 2026 ))/ count )
=2092 * ( 1 - 27.31% )/( (12923 + 15587)/ 2 )
=1520.6748/14255
=10.67 %

where

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

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

Fonterra Co-operative Group's annualized ROC (Joel Greenblatt) % for the quarter that ended in Jan. 2026 is calculated as:

ROC (Joel Greenblatt) %(Q: Jan. 2026 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Jul. 2025  Q: Jan. 2026
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=2100/( ( (5595 + max(3933, 0)) + (5661 + max(7026, 0)) )/ 2 )
=2100/( ( 9528 + 12687 )/ 2 )
=2100/11107.5
=18.91 %

where Working Capital is:

Working Capital(Q: Jul. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(1316 + 4204 + 4272) - (4294 + 0 + 1565)
=3933

Working Capital(Q: Jan. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(1912 + 6682 + 5049) - (5379 + 0 + 1238)
=7026

When net working capital is negative, 0 is used.

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

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

Fonterra Co-operative Group's Earnings Yield (Joel Greenblatt) % for today is calculated as:

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Jan. 2026 )
=1641/15417.463
=10.64 %

* 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.


Fonterra Co-operative Group EBIT Related Terms


Fonterra Co-operative Group EBIT Historical Data

* Premium members only.

The historical data trend for Fonterra Co-operative 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.

Fonterra Co-operative Group EBIT Chart

Fonterra Co-operative Group Annual Data
Trend Jul16 Jul17 Jul18 Jul19 Jul20 Jul21 Jul22 Jul23 Jul24 Jul25
EBIT
Get a 7-Day Free Trial Premium Member Only Premium Member Only 934.00 1,011.00 1,800.00 1,380.00 1,574.00

Fonterra Co-operative Group Semi-Annual Data
Jul16 Jan17 Jul17 Jan18 Jul18 Jan19 Jul19 Jan20 Jul20 Jan21 Jul21 Jan22 Jul22 Jan23 Jul23 Jan24 Jul24 Jan25 Jul25 Jan26
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 986.00 394.00 983.00 591.00 1,050.00

NZSE:FCG vs KHC, GIS, HRL: EBIT Comparison

For the Packaged Foods subindustry, Fonterra Co-operative 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.


Fonterra Co-operative Group EV-to-EBIT vs Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Fonterra Co-operative Group's EV-to-EBIT distribution charts can be found below:

* The bar in red indicates where Fonterra Co-operative Group's EV-to-EBIT falls into.


NZSE:FCG
65GF Score
Fonterra Co-operative Group Ltd NZSE:FCG
EBIT is just one metric. See GF Score™, valuation, warning signs, and more.
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Fonterra Co-operative 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 Jan. 2026 adds up the semi-annually data reported by the company within the most recent 12 months, which was NZ$1,641 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 NZ$1,641 Mil mean?
Fonterra Co-operative Group (NZSE:FCG) has a EBIT of NZ$1,641 Mil as of Jan. 2026. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on Fonterra Co-operative Group.
Is Fonterra Co-operative Group's EBIT too high?
Fonterra Co-operative Group's current EBIT is NZ$1,641 Mil. Overall, Fonterra Co-operative Group has a GF Score™ of 65/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Fonterra Co-operative Group's EBIT compare to KHC and GIS?
Fonterra Co-operative Group's EBIT of NZ$1,641 Mil can be compared against companies in the Consumer Packaged Goods 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 a Consumer Packaged Goods company?
A good EBIT depends on the Consumer Packaged Goods 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 Fonterra Co-operative Group. Fonterra Co-operative Group's current EBIT is NZ$1,641 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Fonterra Co-operative Group stock overvalued right now?
Based on GuruFocus' analysis, Fonterra Co-operative Group (NZSE:FCG) is currently considered Significantly Overvalued. The stock's GF Value™ is NZ$2.96, compared to a current price of NZ$4.21 — trading 42.2% above its estimated fair value. The current EBIT is NZ$1,641 Mil. Fonterra Co-operative Group's overall GF Score™ is 65/100 with 3 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 Fonterra Co-operative Group (NZSE:FCG), the current EBIT is NZ$1,641 Mil as of Jan. 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.

Is Fonterra Co-operative Group (NZSE:FCG) Overvalued in 2026?

Based on GuruFocus' analysis, Fonterra Co-operative Group stock appears to be overvalued. The current stock price of NZ$4.21 is trading 42.2% above its estimated GF Value™ of NZ$2.96. GuruFocus considers Fonterra Co-operative Group to be Significantly Overvalued.

Key valuation signals for NZSE:FCG:

  • EBIT: NZ$1,641 Mil
  • GF Value™: NZ$2.96 vs. price of NZ$4.21 (42.2% above fair value)
  • GF Score™: 65/100 with 3 warning signs

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


Fonterra Co-operative Group Business Description

Address 109 Fanshawe Street, Auckland Central, Auckland, NTL, NZL, 1010
Fonterra Co-operative Group Ltd operates predominantly in the international dairy industry. The company is involved in the collection, manufacture, and sale of milk and milk-derived products through its ingredients, Consumer and Foodservice channels. The company's reportable segments are Global Markets, Greater China, and Core Operations and the majority of the revenue is generated from its core operations segment. Its primary geographic markets is Asia, China, Australia, New Zealand, the United States, and the Rest of the world.
65GF Score

Get the complete analysis for NZSE:FCG

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

NZ$4.21
Price
NZ$2.96
GF Value