WTTZF (Watts Co) EBIT: $11.6 Mil (TTM As of Feb. 2026)

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WTTZF Watts Co Ltd WTTZF
61 GF Score
Price $12.90
GF Value $13.37
! 4 Warning Signs
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What is Watts Co EBIT?

Watts Co WTTZF 61 EBIT is $11.6 Mil as of Feb. 2026. GuruFocus rates WTTZF with a GF Score™ of 61/100 and a GF Value™ of $13.37. The stock has 4 warning signs investors should review.

Watts Co's earnings before interest and taxes (EBIT) for the three months ended in Feb. 2026 was $3.6 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Feb. 2026 was $11.6 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Watts Co's annualized ROC % for the quarter that ended in Feb. 2026 was 7.43%. Watts Co's annualized ROC (Joel Greenblatt) % for the quarter that ended in Feb. 2026 was 26.88%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. Watts Co's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Feb. 2026 was 29.41%.

Watts Co  (OTCPK:WTTZF) EBIT Explanation

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

Watts Co's annualized ROC % for the quarter that ended in Feb. 2026 is calculated as:

ROC % (Q: Feb. 2026 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Nov. 2025 ) + Invested Capital (Q: Feb. 2026 ))/ count )
=15.112 * ( 1 - 45.26% )/( (112.084 + 110.665)/ 2 )
=8.2723088/111.3745
=7.43 %

where

Invested Capital(Q: Nov. 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))
=174.716 - 30.397 - ( 32.235 - max(0, 80.018 - 134.08+32.235))
=112.084

Invested Capital(Q: Feb. 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))
=168.714 - 26.84 - ( 31.209 - max(0, 72.161 - 128.624+31.209))
=110.665

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

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

Watts Co's annualized ROC (Joel Greenblatt) % for the quarter that ended in Feb. 2026 is calculated as:

ROC (Joel Greenblatt) %(Q: Feb. 2026 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Nov. 2025  Q: Feb. 2026
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=14.284/( ( (15.52 + max(37.029, 0)) + (14.911 + max(38.816, 0)) )/ 2 )
=14.284/( ( 52.549 + 53.727 )/ 2 )
=14.284/53.138
=26.88 %

where Working Capital is:

Working Capital(Q: Nov. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(22.644 + 77.469 + 1.732) - (30.397 + 0 + 34.419)
=37.029

Working Capital(Q: Feb. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(19.641 + 75.843 + 1.931) - (26.84 + 0 + 31.759)
=38.816

When net working capital is negative, 0 is used.

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

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

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

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Feb. 2026 )
=11.603/39.456
=29.41 %

* 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.

Watts Co EBIT Related Terms

Watts Co EBIT Historical Data

* Premium members only.

The historical data trend for Watts Co'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.

Watts Co EBIT Chart

Watts Co Annual Data
Trend Aug16 Aug17 Aug18 Aug19 Aug20 Aug21 Aug22 Aug23 Aug24 Aug25
EBIT
Get a 7-Day Free Trial Premium Member Only Premium Member Only 14.49 7.29 2.41 8.38 9.45

Watts Co Quarterly Data
Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24 May24 Aug24 Nov24 Feb25 May25 Aug25 Nov25 Feb26 May26
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 1.05 2.68 2.05 3.57 3.31

WTTZF vs KR: EBIT Comparison

For the Grocery Stores subindustry, Watts Co'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.

Watts Co EV-to-EBIT vs Retail - Defensive Industry

For the Retail - Defensive industry and Consumer Defensive sector, Watts Co's EV-to-EBIT distribution charts can be found below:

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


WTTZF
61GF Score
Watts Co Ltd WTTZF
EBIT is just one metric. See GF Score™, valuation, warning signs, and more.
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Watts Co 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 Feb. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $11.6 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 $11.6 Mil mean?
Watts Co (WTTZF) has a EBIT of $11.6 Mil as of Feb. 2026. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on Watts Co.
Is Watts Co's EBIT too high?
Watts Co's current EBIT is $11.6 Mil. Overall, Watts Co has a GF Score™ of 61/100, reflecting its overall financial health beyond just this single metric.
How does Watts Co's EBIT compare to KR?
Watts Co's EBIT of $11.6 Mil can be compared against companies in the Retail - Defensive 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 Retail - Defensive company?
A good EBIT depends on the Retail - Defensive 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 Watts Co. Watts Co's current EBIT is $11.6 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Watts Co stock overvalued right now?
Watts Co (WTTZF) has a current EBIT of $11.6 Mil. The stock's GF Value™ is $13.37, compared to a current price of $12.90 — trading 3.5% below its estimated fair value. The current EBIT is $11.6 Mil. Watts Co's overall GF Score™ is 61/100 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 Watts Co (WTTZF), the current EBIT is $11.6 Mil as of Feb. 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 Watts Co (WTTZF) Overvalued in 2026?

Based on GuruFocus' analysis, Watts Co stock appears to be undervalued. The current stock price of $12.90 is trading 3.5% below its estimated GF Value™ of $13.37.

Key valuation signals for WTTZF:

  • EBIT: $11.6 Mil
  • GF Value™: $13.37 vs. price of $12.90 (3.5% below fair value)
  • GF Score™: 61/100 with 4 warning signs

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

Watts Co Business Description

Other Exchanges 2735:Japan
Address Shiromi 1-4-70, Chuo-ku, Sumitomo Life Insurance OBP Plaza Building, 5th Floor, Osaka, JPN, 540-0001
Watts Co Ltd is engaged in the wholesale of daily necessities, grocery and food products, and other goods. The company's product profile includes Sanitary goods, Cleaning sheet, Water supply equipment, Lunch supplies, and other related products.
61GF Score

Get the complete analysis for WTTZF

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

$12.90
Price
$13.37
GF Value