SNN (Smith & Nephew) EBIT: $958 Mil (TTM As of Dec. 2025)


SNN Smith & Nephew PLC SNN
86 GF Score
Price $30.26
GF Value $31.44
Valuation Fairly Valued
! 3 Warning Signs
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What is Smith & Nephew EBIT?

Smith & Nephew SNN +2.20% 86 EBIT is $958 Mil as of Dec. 2025. GuruFocus rates SNN with a GF Score™ of 86/100 and a GF Value™ of $31.44 (Fairly Valued). The stock has 3 warning signs investors should review.

Smith & Nephew's earnings before interest and taxes (EBIT) for the six months ended in Dec. 2025 was $527 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Dec. 2025 was $958 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Smith & Nephew's annualized ROC % for the quarter that ended in Dec. 2025 was 7.91%. Smith & Nephew's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2025 was 27.72%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. Smith & Nephew's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Dec. 2025 was 6.15%.


Smith & Nephew  (NYSE:SNN) EBIT Explanation

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

Smith & Nephew's annualized ROC % for the quarter that ended in Dec. 2025 is calculated as:

ROC % (Q: Dec. 2025 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Jun. 2025 ) + Invested Capital (Q: Dec. 2025 ))/ count )
=856 * ( 1 - 20.38% )/( (8690 + 8540)/ 2 )
=681.5472/8615
=7.91 %

where

Note: The Operating Income data used here is two times the semi-annual (Dec. 2025) data.

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

Smith & Nephew's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2025 is calculated as:

ROC (Joel Greenblatt) %(Q: Dec. 2025 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Jun. 2025  Q: Dec. 2025
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=1054/( ( (1436 + max(2567, 0)) + (1638 + max(1963, 0)) )/ 2 )
=1054/( ( 4003 + 3601 )/ 2 )
=1054/3802
=27.72 %

where Working Capital is:

Working Capital(Q: Jun. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(1435 + 2467 + 49) - (1326 + 0 + 58)
=2567

Working Capital(Q: Dec. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(1156 + 2117 + 135) - (1360 + 0 + 85)
=1963

When net working capital is negative, 0 is used.

Note: The EBIT data used here is two times the semi-annual (Dec. 2025) EBIT data.

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

Smith & Nephew's Earnings Yield (Joel Greenblatt) % for today is calculated as:

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Dec. 2025 )
=958/15571.621
=6.15 %

* 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.


Smith & Nephew EBIT Related Terms


Smith & Nephew EBIT Historical Data

* Premium members only.

The historical data trend for Smith & Nephew'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.

Smith & Nephew EBIT Chart

Smith & Nephew Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
EBIT
Get a 7-Day Free Trial Premium Member Only Premium Member Only 679.00 326.00 429.00 666.00 958.00

Smith & Nephew Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
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 156.00 323.00 343.00 431.00 527.00

SNN vs ABT, SYK, MDT: EBIT Comparison

For the Medical Devices subindustry, Smith & Nephew'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.


Smith & Nephew EV-to-EBIT vs Medical Devices & Instruments Industry

For the Medical Devices & Instruments industry and Healthcare sector, Smith & Nephew's EV-to-EBIT distribution charts can be found below:

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


SNN
86GF Score
Smith & Nephew PLC SNN
EBIT is just one metric. See GF Score™, valuation, warning signs, and more.
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Smith & Nephew 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. 2025 adds up the semi-annually data reported by the company within the most recent 12 months, which was $958 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 $958 Mil mean?
Smith & Nephew (SNN) has a EBIT of $958 Mil as of Dec. 2025. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on Smith & Nephew.
Is Smith & Nephew's EBIT too high?
Smith & Nephew's current EBIT is $958 Mil. Overall, Smith & Nephew has a GF Score™ of 86/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Smith & Nephew's EBIT compare to ABT and SYK?
Smith & Nephew's EBIT of $958 Mil can be compared against companies in the Medical Devices & Instruments 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 Medical Devices & Instruments company?
A good EBIT depends on the Medical Devices & Instruments 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 Smith & Nephew. Smith & Nephew's current EBIT is $958 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Smith & Nephew stock overvalued right now?
Based on GuruFocus' analysis, Smith & Nephew (SNN) is currently considered Fairly Valued. The stock's GF Value™ is $31.44, compared to a current price of $30.26 — trading 3.8% below its estimated fair value. The current EBIT is $958 Mil. Smith & Nephew's overall GF Score™ is 86/100 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 Smith & Nephew (SNN), the current EBIT is $958 Mil as of Dec. 2025. 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 Smith & Nephew (SNN) Overvalued in 2026?

Based on GuruFocus' analysis, Smith & Nephew stock appears to be undervalued. The current stock price of $30.26 is trading 3.8% below its estimated GF Value™ of $31.44. GuruFocus considers Smith & Nephew to be Fairly Valued.

Key valuation signals for SNN:

  • EBIT: $958 Mil
  • GF Value™: $31.44 vs. price of $30.26 (3.8% below fair value)
  • GF Score™: 86/100 with 3 warning signs

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


Smith & Nephew Business Description

Address Hatters Lane, Building 5, Croxley Park, Watford, Hertfordshire, GBR, WD18 8YE
Smith & Nephew designs, manufactures, and markets orthopedic devices, sports medicine and arthroscopic technologies, and wound care solutions. Roughly 41% of the UK-based firm's revenue comes from orthopedic products, and another 30% is sports medicine and ENT. The remaining 29% of revenue is from the advanced wound therapy segment. Over half of Smith & Nephew's total revenue comes from the United States, just over 30% is from other developed markets, and emerging markets account for the remainder.
86GF Score

Get the complete analysis for SNN

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

$30.26
Price
$31.44
GF Value