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Synopsys (STU:SYP) EBIT : €1,373 Mil (TTM As of Jan. 2024)


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What is Synopsys EBIT?

Synopsys's earnings before interest and taxes (EBIT) for the three months ended in Jan. 2024 was €428 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Jan. 2024 was €1,373 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Synopsys's annualized ROC % for the quarter that ended in Jan. 2024 was 15.22%. Synopsys's annualized ROC (Joel Greenblatt) % for the quarter that ended in Jan. 2024 was 163.65%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. Synopsys's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Jan. 2024 was 1.75%.


Synopsys EBIT Historical Data

The historical data trend for Synopsys'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.

Synopsys EBIT Chart

Synopsys Annual Data
Trend Oct14 Oct15 Oct16 Oct17 Oct18 Oct19 Oct20 Oct21 Oct22 Oct23
EBIT
Get a 7-Day Free Trial Premium Member Only Premium Member Only 503.68 546.80 697.25 1,133.97 1,233.90

Synopsys Quarterly Data
Apr19 Jul19 Oct19 Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24
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 259.37 266.21 290.75 388.22 428.18

Competitive Comparison of Synopsys's EBIT

For the Software - Infrastructure subindustry, Synopsys'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.


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

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

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



Synopsys 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. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was €1,373 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.


Synopsys  (STU:SYP) EBIT Explanation

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

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

ROC % (Q: Jan. 2024 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Oct. 2023 ) + Invested Capital (Q: Jan. 2024 ))/ count )
=1320.524 * ( 1 - 4.06% )/( (8299.694 + 8349.544)/ 2 )
=1266.9107256/8324.619
=15.22 %

where

Invested Capital(Q: Oct. 2023 )
=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))
=9785.475 - 1064.202 - ( 1506.253 - max(0, 2827.222 - 3248.801+1506.253))
=8299.694

Invested Capital(Q: Jan. 2024 )
=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))
=9692.482 - 642.117 - ( 1169.012 - max(0, 2427.657 - 3128.478+1169.012))
=8349.544

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

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

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

ROC (Joel Greenblatt) %(Q: Jan. 2024 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Oct. 2023  Q: Jan. 2024
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=1712.724/( ( (1066.407 + max(-1019.904, 0)) + (1026.774 + max(-386.311, 0)) )/ 2 )
=1712.724/( ( 1066.407 + 1026.774 )/ 2 )
=1712.724/1046.5905
=163.65 %

where Working Capital is:

Working Capital(Q: Oct. 2023 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(880.4 + 308.334 + 537.436) - (1064.202 + 1681.872 + 4.5474735088646E-13)
=-1019.904

Working Capital(Q: Jan. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(976.876 + 351.343 + 631.247) - (642.117 + 1703.66 + 0)
=-386.311

When net working capital is negative, 0 is used.

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

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

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

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Jan. 2024 )
=1373.363/78536.561
=1.75 %

* 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.


Synopsys EBIT Related Terms

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Synopsys (STU:SYP) Business Description

Address
675 Almanor Avenue, Sunnyvale, CA, USA, 94085
Synopsys is a provider of electronic design automation software, intellectual property, and software integrity products. EDA software automates the chip design process, enhancing design accuracy, productivity, and complexity in a full-flow end-to-end solution. The firm's growing SI business allows customers to continuously manage and test the code base for security and quality. Synopsys' comprehensive portfolio is benefiting from a mutual convergence of semiconductor companies moving up-stack toward systems-like companies, and systems companies moving down-stack toward in-house chip design. The resulting expansion in EDA customers alongside secular digitalization of various end markets benefits EDA vendors like Synopsys.

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