ZEK (Zekelman Industries) EBIT: $233.69 Mil (TTM As of Jun. 2018)


What is Zekelman Industries EBIT?

Zekelman Industries ZEK EBIT is $233.69 Mil as of Jun. 2018.

Zekelman Industries's earnings before interest and taxes (EBIT) for the three months ended in Jun. 2018 was $156.56 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Jun. 2018 was $233.69 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Zekelman Industries's annualized ROC % for the quarter that ended in Jun. 2018 was 22.89%. Zekelman Industries's annualized ROC (Joel Greenblatt) % for the quarter that ended in Jun. 2018 was 68.60%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield.

Zekelman Industries  (NYSE:ZEK) EBIT Explanation

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

Zekelman Industries's annualized ROC % for the quarter that ended in Jun. 2018 is calculated as:

ROC % (Q: Jun. 2018 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Sep. 2017 ) + Invested Capital (Q: Jun. 2018 ))/ count )
=639.28 * ( 1 - 24.92% )/( (2014.87 + 2179.515)/ 2 )
=479.971424/2097.1925
=22.89 %

where

Invested Capital(Q: Sep. 2017 )
=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))
=2284.805 - 240.734 - ( 29.201 - max(0, 281.82 - 683.07+29.201))
=2014.87

Invested Capital(Q: Jun. 2018 )
=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))
=2455.493 - 239.361 - ( 36.617 - max(0, 276.8 - 851.049+36.617))
=2179.515

Note: The Operating Income data used here is four times the quarterly (Jun. 2018) data.

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

Zekelman Industries's annualized ROC (Joel Greenblatt) % for the quarter that ended in Jun. 2018 is calculated as:

ROC (Joel Greenblatt) %(Q: Jun. 2018 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Sep. 2017  Q: Jun. 2018
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=626.228/( ( (452.301 + max(369.588, 0)) + (467.762 + max(536.17, 0)) )/ 2 )
=626.228/( ( 821.889 + 1003.932 )/ 2 )
=626.228/912.9105
=68.60 %

where Working Capital is:

Working Capital(Q: Sep. 2017 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(266.174 + 342.6 + 32.316) - (240.734 + 0 + 30.768)
=369.588

Working Capital(Q: Jun. 2018 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(323.68 + 449.042 + 31.028) - (239.361 + 0 + 28.219)
=536.17

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Jun. 2018) EBIT data.

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

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

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Jun. 2018 )
=233.685/0.000
= %

* 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.

Zekelman Industries EBIT Related Terms

Zekelman Industries EBIT Historical Data

* Premium members only.

The historical data trend for Zekelman Industries'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.

Zekelman Industries EBIT Chart

Zekelman Industries Annual Data
Trend Sep15 Sep16 Sep17
EBIT
99.63 197.02 290.78

Zekelman Industries Quarterly Data
Sep15 Sep16 Jun17 Sep17 Jun18
EBIT 0.00 0.00 80.41 77.13 156.56

ZEK vs : EBIT Comparison

For the Steel subindustry, Zekelman Industries'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.

Zekelman Industries EV-to-EBIT vs Steel Industry

For the Steel industry and Basic Materials sector, Zekelman Industries's EV-to-EBIT distribution charts can be found below:

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


Zekelman Industries 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 Jun. 2018 adds up the quarterly data reported by the company within the most recent 12 months, which was $233.69 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 $233.69 Mil mean?
Zekelman Industries (ZEK) has a EBIT of $233.69 Mil as of Jun. 2018. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on Zekelman Industries.
Is Zekelman Industries' EBIT too high?
Zekelman Industries' current EBIT is $233.69 Mil.
How does Zekelman Industries' EBIT compare to ?
Zekelman Industries' EBIT of $233.69 Mil can be compared against companies in the Steel 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 Steel company?
A good EBIT depends on the Steel 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 Zekelman Industries. Zekelman Industries's current EBIT is $233.69 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Zekelman Industries stock overvalued right now?
Zekelman Industries (ZEK) has a current EBIT of $233.69 Mil. The current EBIT is $233.69 Mil. 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 Zekelman Industries (ZEK), the current EBIT is $233.69 Mil as of Jun. 2018. 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.

Zekelman Industries Business Description

Comparable Companies
Address 227 West Monroe Street, Suite 2600, Chicago, IL, USA, 60606