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Lenovo Group (HKSE:00992) EBIT : HK$12,834 Mil (TTM As of Mar. 2024)


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What is Lenovo Group EBIT?

Lenovo Group's earnings before interest and taxes (EBIT) for the three months ended in Mar. 2024 was HK$190 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Mar. 2024 was HK$12,834 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Lenovo Group's annualized ROC % for the quarter that ended in Mar. 2024 was 6.42%. Lenovo Group's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2024 was 3.28%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. Lenovo Group's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Mar. 2024 was 9.84%.


Lenovo Group EBIT Historical Data

The historical data trend for Lenovo Group'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.

Lenovo Group EBIT Chart

Lenovo Group Annual Data
Trend Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
EBIT
Get a 7-Day Free Trial Premium Member Only Premium Member Only 9,934.74 15,850.22 23,674.01 19,245.79 12,834.86

Lenovo Group Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 -82.15 3,318.94 4,284.84 5,040.27 189.54

Competitive Comparison of Lenovo Group's EBIT

For the Computer Hardware subindustry, Lenovo Group'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.


Lenovo Group's EV-to-EBIT Distribution in the Hardware Industry

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

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



Lenovo Group 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. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was HK$12,834 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.


Lenovo Group  (HKSE:00992) EBIT Explanation

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

Lenovo Group's annualized ROC % for the quarter that ended in Mar. 2024 is calculated as:

ROC % (Q: Mar. 2024 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Dec. 2023 ) + Invested Capital (Q: Mar. 2024 ))/ count )
=15294.652 * ( 1 - 18.02% )/( (198630.088 + 192060.282)/ 2 )
=12538.5557096/195345.185
=6.42 %

where

Invested Capital(Q: Dec. 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))
=308520.971 - 137012.999 - ( 27590.5 - max(0, 208526.838 - 181404.722+27590.5))
=198630.088

Invested Capital(Q: Mar. 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))
=303148.713 - 137467.43 - ( 28361.395 - max(0, 203860.832 - 177481.833+28361.395))
=192060.282

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

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

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

ROC (Joel Greenblatt) %(Q: Mar. 2024 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Dec. 2023  Q: Mar. 2024
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=758.144/( ( (23424.206 + max(-75075.874, 0)) + (22836.362 + max(-72690.252, 0)) )/ 2 )
=758.144/( ( 23424.206 + 22836.362 )/ 2 )
=758.144/23130.284
=3.28 %

where Working Capital is:

Working Capital(Q: Dec. 2023 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(69532.25 + 48568.443 + 13974.786) - (137012.999 + 0 + 70138.354)
=-75075.874

Working Capital(Q: Mar. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(63606.443 + 52435.042 + 13939.913) - (137467.43 + 0 + 65204.22)
=-72690.252

When net working capital is negative, 0 is used.

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

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

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

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Mar. 2024 )
=12833.588/130485.408
=9.84 %

* 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.


Lenovo Group EBIT Related Terms

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Lenovo Group (HKSE:00992) Business Description

Traded in Other Exchanges
Address
979 King's Road, 23rd Floor, Lincoln House, Taikoo Place, Quarry Bay, Hong Kong, HKG
Lenovo is a global technology hardware company with a leading market share in personal computers. Its operations are divided into three main business segments: PC and smart devices, mobile, and data center, which we expect to account for 55%, 11%, and 19% of sales in the midterm, respectively. The firm has been actively growing its data center business, which primarily sells network servers to enterprise and hyperscale customers, as well as storage equipment through its mainland China joint venture with NetApp. Server-related revenue contribution has jumped to 16% of overall sales in fiscal 2022, from 6% in 2015.
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