Digital Arts (TSE:2326) EBIT: 円4,792 Mil (TTM As of Mar. 2026)


TSE:2326 Digital Arts Inc TSE:2326
79 GF Score
Price 円3,705.00
GF Value 円6,219.31
Valuation Significantly Undervalued
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What is Digital Arts EBIT?

Digital Arts TSE:2326 +0.27% 79 EBIT is 円4,792 Mil as of Mar. 2026. GuruFocus rates TSE:2326 with a GF Score™ of 79/100 and a GF Value™ of 円6,219.31 (Significantly Undervalued).

Digital Arts's earnings before interest and taxes (EBIT) for the three months ended in Mar. 2026 was 円1,449 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Mar. 2026 was 円4,792 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Digital Arts's annualized ROC % for the quarter that ended in Mar. 2026 was 43.67%. Digital Arts's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 2,341.82%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. Digital Arts's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 18.00%.

Digital Arts  (TSE:2326) EBIT Explanation

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

Digital Arts'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 )
=5796 * ( 1 - 24.93% )/( (8623 + 11304)/ 2 )
=4351.0572/9963.5
=43.67 %

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))
=23876 - 440 - ( 19308 - max(0, 6359 - 21172+19308))
=8623

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))
=27865 - 839 - ( 23083 - max(0, 9358 - 25080+23083))
=11304

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

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

Digital Arts'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 )
=5796/( ( (230 + max(-4495, 0)) + (265 + max(-7361, 0)) )/ 2 )
=5796/( ( 230 + 265 )/ 2 )
=5796/247.5
=2,341.82 %

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)
=(1528 + 1 + 335) - (440 + 0 + 5919)
=-4495

Working Capital(Q: Mar. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(1548 + 0 + 449) - (839 + 0 + 8519)
=-7361

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:

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

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Mar. 2026 )
=4792/26615.444
=18.00 %

* 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.

Digital Arts EBIT Related Terms

Digital Arts EBIT Historical Data

* Premium members only.

The historical data trend for Digital Arts'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.

Digital Arts EBIT Chart

Digital Arts Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
EBIT
Get a 7-Day Free Trial Premium Member Only Premium Member Only 4,126.00 4,413.00 4,428.00 4,559.00 4,792.00

Digital Arts 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 1,436.00 796.00 1,226.00 1,321.00 1,449.00

TSE:2326 vs MSFT, ORCL, PLTR: EBIT Comparison

For the Software - Infrastructure subindustry, Digital Arts'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.

Digital Arts EV-to-EBIT vs Software Industry

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

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


TSE:2326
79GF Score
Digital Arts Inc TSE:2326
EBIT is just one metric. See GF Score™, valuation, warning signs, and more.
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Digital Arts 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 円4,792 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 円4,792 Mil mean?
Digital Arts (TSE:2326) has a EBIT of 円4,792 Mil as of Mar. 2026. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on Digital Arts.
Is Digital Arts' EBIT too high?
Digital Arts' current EBIT is 円4,792 Mil. Overall, Digital Arts has a GF Score™ of 79/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Digital Arts' EBIT compare to MSFT and ORCL?
Digital Arts' EBIT of 円4,792 Mil can be compared against companies in the Software 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 Software company?
A good EBIT depends on the Software 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 Digital Arts. Digital Arts's current EBIT is 円4,792 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Digital Arts stock overvalued right now?
Based on GuruFocus' analysis, Digital Arts (TSE:2326) is currently considered Significantly Undervalued. The stock's GF Value™ is 円6,219.31, compared to a current price of 円3,705.00 — trading 40.4% below its estimated fair value. The current EBIT is 円4,792 Mil. Digital Arts' overall GF Score™ is 79/100. 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 Digital Arts (TSE:2326), the current EBIT is 円4,792 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 Digital Arts (TSE:2326) Overvalued in 2026?

Based on GuruFocus' analysis, Digital Arts stock appears to be undervalued. The current stock price of 円3,705.00 is trading 40.4% below its estimated GF Value™ of 円6,219.31. GuruFocus considers Digital Arts to be Significantly Undervalued.

Key valuation signals for TSE:2326:

  • EBIT: 円4,792 Mil
  • GF Value™: 円6,219.31 vs. price of 円3,705.00 (40.4% below fair value)
  • GF Score™: 79/100

No single metric tells the full story. See the TSE:2326 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Digital Arts Business Description

Address Otemachi First Square, West tower 14 Floor, 1-5-1,Otemachi, Chiyoda, JPN, 100-0014
Digital Arts Inc develops Internet filtering software for business, private, and educational use. Its products protect users and networks from harmful Internet content and prevent inappropriate usage. Its software products are supplied to the corporate, public-sector (government ministries and agencies and schools), and consumer markets.
79GF Score

Get the complete analysis for TSE:2326

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

円3,705.00
Price
円6,219.31
GF Value