GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Retail - Cyclical » Amazon.com Inc (NAS:AMZN) » Definitions » EBIT

Amazon.com (AMZN) EBIT : $40,739 Mil (TTM As of Dec. 2023)


View and export this data going back to 1997. Start your Free Trial

What is Amazon.com EBIT?

Amazon.com's earnings before interest and taxes (EBIT) for the three months ended in Dec. 2023 was $14,399 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Dec. 2023 was $40,739 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Amazon.com's annualized ROC % for the quarter that ended in Dec. 2023 was 11.25%. Amazon.com's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2023 was 21.18%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. Amazon.com's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Dec. 2023 was 2.20%.


Amazon.com EBIT Historical Data

The historical data trend for Amazon.com'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.

Amazon.com EBIT Chart

Amazon.com Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
EBIT
Get a 7-Day Free Trial Premium Member Only Premium Member Only 15,576.00 25,825.00 39,960.00 -3,569.00 40,739.00

Amazon.com Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
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 -268.00 4,942.00 8,403.00 12,995.00 14,399.00

Competitive Comparison of Amazon.com's EBIT

For the Internet Retail subindustry, Amazon.com'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.


Amazon.com's EV-to-EBIT Distribution in the Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Amazon.com's EV-to-EBIT distribution charts can be found below:

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



Amazon.com 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 Dec. 2023 adds up the quarterly data reported by the company within the most recent 12 months, which was $40,739 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.


Amazon.com  (NAS:AMZN) EBIT Explanation

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

Amazon.com's annualized ROC % for the quarter that ended in Dec. 2023 is calculated as:

ROC % (Q: Dec. 2023 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Sep. 2023 ) + Invested Capital (Q: Dec. 2023 ))/ count )
=52836 * ( 1 - 22.37% )/( (358286 + 370730)/ 2 )
=41016.5868/364508
=11.25 %

where

Note: The Operating Income data used here is four times the quarterly (Dec. 2023) data.

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

Amazon.com's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2023 is calculated as:

ROC (Joel Greenblatt) %(Q: Dec. 2023 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Sep. 2023  Q: Dec. 2023
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=57596/( ( (267226 + max(-68888, 0)) + (276690 + max(-79346, 0)) )/ 2 )
=57596/( ( 267226 + 276690 )/ 2 )
=57596/271958
=21.18 %

where Working Capital is:

Working Capital(Q: Sep. 2023 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(35600 + 35406 + 5320) - (130816 + 14398 + 0)
=-68888

Working Capital(Q: Dec. 2023 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(52253 + 33318 + 0) - (149690 + 15227 + 0)
=-79346

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Dec. 2023) EBIT data.

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

Amazon.com's Earnings Yield (Joel Greenblatt) % for today is calculated as:

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Dec. 2023 )
=40739/1855475.557
=2.20 %

* 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.


Amazon.com EBIT Related Terms

Thank you for viewing the detailed overview of Amazon.com's EBIT provided by GuruFocus.com. Please click on the following links to see related term pages.


Amazon.com (AMZN) Business Description

Address
410 Terry Avenue North, Seattle, WA, USA, 98109-5210
Amazon is a leading online retailer and one of the highest-grossing e-commerce aggregators, with $386 billion in net sales and approximately $578 billion in estimated physical/digital online gross merchandise volume in 2021. Retail-related revenue represents approximately 80% of the total, followed by Amazon Web Services' cloud computing, storage, database, and other offerings (10%-15%), advertising services (5%), and other. International segments constitute 25%-30% of Amazon's non-AWS sales, led by Germany, the United Kingdom, and Japan.
Executives
Adam Selipsky officer: CEO Amazon Web Services PO BOX 81226, SEATTLE WA 98108
Douglas J Herrington officer: CEO Worldwide Amazon Stores PO BOX 81226, SEATTLE WA 98108
David Zapolsky officer: Senior Vice President PO BOX 81226, SEATTLE WA 98108
Andrew R Jassy director, officer: President and CEO PO BOX 81226, SEATTLE WA 98108-1226
Shelley Reynolds officer: Vice President PO BOX 81226, SEATTLE WA 98108
Brian T Olsavsky officer: Senior Vice President and CFO PO BOX 81226, SEATTLE WA 98108
Daniel P Huttenlocher director ONE RIVERFRONT PLAZA, CORNING NY 14831
Brad D Smith director 1040 13TH AVE, HUNTINGTON WV 25701
Jeffrey P Bezos director, 10 percent owner, officer: Chairman, CEO and President PO BOX 81226, SEATTLE WA 98108-1226
David H Clark officer: Senior Vice President PO BOX 81226, SEATTLE WA 98108
Jonathan Rubinstein director APPLE COMPUTER INC, 1 INFINITE LOOP, CUPERTINO CA 95014
Edith W Cooper director C/O ETSY, INC., 117 ADAMS STREET, BROOKLYN NY 11249
Judith A Mcgrath director PO BOX 81226, SEATTLE WA 98108
Jeffrey A Wilke officer: CEO Worldwide Consumer PO BOX 81226, SEATTLE WA 98108-1226
Patricia Q Stonesifer director PO BOX 81226, SEATTLE WA 98108-1226

Amazon.com (AMZN) Headlines