Zhejiang He Chuan Technology (SHSE:688320) EBIT: ¥-130 Mil (TTM As of Mar. 2026)

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SHSE:688320 Zhejiang He Chuan Technology Corp Ltd SHSE:688320
70 GF Score
Price ¥26.75
GF Value ¥42.41
Valuation Significantly Undervalued
! 4 Warning Signs
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What is Zhejiang He Chuan Technology EBIT?

Zhejiang He Chuan Technology SHSE:688320 -1.36% 70 EBIT is ¥-130 Mil as of Mar. 2026. GuruFocus rates SHSE:688320 with a GF Score™ of 70/100 and a GF Value™ of ¥42.41 (Significantly Undervalued). The stock has 4 warning signs investors should review.

Zhejiang He Chuan Technology's earnings before interest and taxes (EBIT) for the three months ended in Mar. 2026 was ¥-7 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Mar. 2026 was ¥-130 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Zhejiang He Chuan Technology's annualized ROC % for the quarter that ended in Mar. 2026 was -0.38%. Zhejiang He Chuan Technology's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was -2.61%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. Zhejiang He Chuan Technology's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was -3.02%.


Zhejiang He Chuan Technology  (SHSE:688320) EBIT Explanation

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

Zhejiang He Chuan Technology'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: Dec. 2025 ) + Invested Capital (Q: Mar. 2026 ))/ count )
=-5.696 * ( 1 - 0% )/( (1487.663 + 1493.225)/ 2 )
=-5.696/1490.444
=-0.38 %

where

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))
=1965.977 - 427.289 - ( 51.025 - max(0, 659.024 - 1206.958+51.025))
=1487.663

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))
=2072.246 - 506.408 - ( 72.613 - max(0, 768.695 - 1322.281+72.613))
=1493.225

Note: The Operating Income data used here is four times the quarterly (Mar. 2026) data.

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

Zhejiang He Chuan Technology'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: Dec. 2025  Q: Mar. 2026
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=-26.788/( ( (597.732 + max(397.456, 0)) + (586.409 + max(468.559, 0)) )/ 2 )
=-26.788/( ( 995.188 + 1054.968 )/ 2 )
=-26.788/1025.078
=-2.61 %

where Working Capital is:

Working Capital(Q: Dec. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(509.435 + 308.361 + 39.973) - (427.289 + 0 + 33.024)
=397.456

Working Capital(Q: Mar. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(594.926 + 385.673 + 39.982) - (506.408 + 0 + 45.614)
=468.559

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Mar. 2026) EBIT data.

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

Zhejiang He Chuan Technology's Earnings Yield (Joel Greenblatt) % for today is calculated as:

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Mar. 2026 )
=-129.654/4294.209
=-3.02 %

* 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.


Zhejiang He Chuan Technology EBIT Related Terms


Zhejiang He Chuan Technology EBIT Historical Data

* Premium members only.

The historical data trend for Zhejiang He Chuan Technology'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.

Zhejiang He Chuan Technology EBIT Chart

Zhejiang He Chuan Technology Annual Data
Trend Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
EBIT
Get a 7-Day Free Trial 113.51 89.28 54.07 -179.44 -143.98

Zhejiang He Chuan Technology Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
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 -21.03 -22.98 -59.38 -40.60 -6.70

SHSE:688320 vs SNDK, DELL, STX: EBIT Comparison

For the Computer Hardware subindustry, Zhejiang He Chuan Technology'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.


Zhejiang He Chuan Technology EV-to-EBIT vs Hardware Industry

For the Hardware industry and Technology sector, Zhejiang He Chuan Technology's EV-to-EBIT distribution charts can be found below:

* The bar in red indicates where Zhejiang He Chuan Technology's EV-to-EBIT falls into.


SHSE:688320
70GF Score
Zhejiang He Chuan Technology Corp Ltd SHSE:688320
EBIT is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Zhejiang He Chuan Technology 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 quarterly data reported by the company within the most recent 12 months, which was ¥-130 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 ¥-130 Mil mean?
Zhejiang He Chuan Technology (SHSE:688320) has a EBIT of ¥-130 Mil as of Mar. 2026. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on Zhejiang He Chuan Technology.
Is Zhejiang He Chuan Technology's EBIT too high?
Zhejiang He Chuan Technology's current EBIT is ¥-130 Mil. Overall, Zhejiang He Chuan Technology has a GF Score™ of 70/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Zhejiang He Chuan Technology's EBIT compare to SNDK and DELL?
Zhejiang He Chuan Technology's EBIT of ¥-130 Mil can be compared against companies in the Hardware 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 Hardware company?
A good EBIT depends on the Hardware 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 Zhejiang He Chuan Technology. Zhejiang He Chuan Technology's current EBIT is ¥-130 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Zhejiang He Chuan Technology stock overvalued right now?
Based on GuruFocus' analysis, Zhejiang He Chuan Technology (SHSE:688320) is currently considered Significantly Undervalued. The stock's GF Value™ is ¥42.41, compared to a current price of ¥26.75 — trading 36.9% below its estimated fair value. The current EBIT is ¥-130 Mil. Zhejiang He Chuan Technology's overall GF Score™ is 70/100 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 Zhejiang He Chuan Technology (SHSE:688320), the current EBIT is ¥-130 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.

Is Zhejiang He Chuan Technology (SHSE:688320) Overvalued in 2026?

Based on GuruFocus' analysis, Zhejiang He Chuan Technology stock appears to be undervalued. The current stock price of ¥26.75 is trading 36.9% below its estimated GF Value™ of ¥42.41. GuruFocus considers Zhejiang He Chuan Technology to be Significantly Undervalued.

Key valuation signals for SHSE:688320:

  • EBIT: ¥-130 Mil
  • GF Value™: ¥42.41 vs. price of ¥26.75 (36.9% below fair value)
  • GF Score™: 70/100 with 4 warning signs

No single metric tells the full story. See the SHSE:688320 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Zhejiang He Chuan Technology Business Description

Address No. 5, Qinshan Road, Longyou Economic Development Zone, Zhejiang Province, Quzhou, CHN, 324400
Zhejiang He Chuan Technology Corp Ltd is engaged in the research and development, production, sales and application integration of industrial automation products. The company provides information such as Programmable logic controllers (PLCs), Servo systems (servo drives and servo motors), Touch screens, frequency inverters, Control sensors and motion-control chips, CNC multi-axis controllers, robotic controllers, linear modules, and vision systems.
70GF Score

Get the complete analysis for SHSE:688320

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

¥26.75
Price
¥42.41
GF Value