Rackspace Technology (Rackspace Technology) EBIT : $-668 Mil (TTM As of Mar. 2024)

View and export this data going back to 2020. Start your Free Trial

What is Rackspace Technology EBIT?

Rackspace Technology's earnings before interest and taxes (EBIT) for the three months ended in Mar. 2024 was $-602 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Mar. 2024 was $-668 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Rackspace Technology's annualized ROC % for the quarter that ended in Mar. 2024 was -7.00%. Rackspace Technology's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2024 was -326.98%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. Rackspace Technology's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Mar. 2024 was -18.35%.

Rackspace Technology EBIT Historical Data

The historical data trend for Rackspace Technology'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.

Rackspace Technology EBIT Chart

Rackspace Technology Annual Data

Trend

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

EBIT

Get a 7-Day Free Trial

207.60

-43.60

-44.00

-689.20

-632.80

Rackspace Technology 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															-566.00	31.40	-186.60	88.40	-601.60

Competitive Comparison of Rackspace Technology's EBIT

For the Software - Infrastructure subindustry, Rackspace Technology'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.

Rackspace Technology's EV-to-EBIT Distribution in the Software Industry

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

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

Rackspace Technology 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 $-668 Mil.

Rackspace Technology (NAS:RXT) EBIT Explanation

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

Rackspace Technology'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 )
=	-238.4 * ( 1 - 0.73% )	/	( (3704.4	+	3058.1)	/ 2 )
=	-236.65968	/	3381.25
=	-7.00 %

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	))
=	4096.2	-	453.2	-	( 196.8	-	max(0, 799.5	-	738.1	+	196.8	))
=	3704.4

	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	))
=	3516	-	423.5	-	( 282.6	-	max(0, 753.9	-	788.3	+	282.6	))
=	3058.1

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

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

Rackspace Technology'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 )
=	-2406.4	/	( ( (735.1 + max(-99.4, 0))	+	(736.8 + max(-101.5, 0)) )	/	2 )
=	-2406.4	/	( ( 735.1	+	736.8 )	/	2 )
=	-2406.4	/	735.95
=	-326.98 %

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)
=	(339.7	+	0	+	201.6)	-	(453.2	+	78.8	+	108.7)
=	-99.4

	Working Capital		(Q: Mar. 2024 )
=	(Accounts Receivable	+	Total Inventories	+	Other Current Assets)	-	(Accounts Payable & Accrued Expense	+	Defer. Rev.	+	Other Current Liabilities)
=	(303.3	+	0	+	202.4)	-	(423.5	+	78.7	+	105)
=	-101.5

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:

Rackspace Technology's Earnings Yield (Joel Greenblatt) % for today is calculated as:

Earnings Yield (Joel Greenblatt) %	=	EBIT (TTM)	/	Enterprise Value (Q: Mar. 2024 )
	=	-668.4	/	3642.347
	=	-18.35 %

Rackspace Technology EBIT Related Terms

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

Rackspace Technology (Rackspace Technology) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Technology » Software » Rackspace Technology Inc (NAS:RXT) » Definitions » EBIT

Comparable Companies

Traded in Other Exchanges

N/A

Address

1 Fanatical Place, City of Windcrest, San Antonio, TX, USA, 78218

Website

https://www.rackspace.com

Rackspace Technology Inc is an end-to-end multi cloud technology services company. It designs, builds and operates its customers' cloud environments across all technology platforms, irrespective of technology stack or deployment model. The company's solutions include Application Services; Data; Colocation; Managed Cloud; Managed Hosting; Professional Services; and Security & Compliance. It operates in three reportable segments Multicloud Services; Apps & Cross-Platform; and OpenStack Public Cloud. It generates revenue through the sale of consumption-based contracts for its services offerings and from the sale of professional services related to designing and building custom solutions.

Executives

Srini Koushik	officer: Chief Technology Officer	1 FANATICAL PLACE, CITY OF WINDCREST, SAN ANTONIO TX 78218
Dharmendra Kumar Sinha	officer: EVP, President, Public Cloud	C/O COGNIZANT TECHNOLOGY SOLUTIONS CORP, 300 FRANK W. BURR BLVD., STE. 36, 6 FL., TEANECK NJ 07666
Amar Maletira	officer: President & CFO	C/O VIAVI SOLUTIONS INC., 430 NORTH MCCARTHY BOULEVARD, MILPITAS CA 95035
Mark A. Marino	other: Vice President & CAO	1 FANATICAL PLACE, CITY OF WINDCREST, SAN ANTONIO TX 78218
Casey L. Shilling	officer: SVP - Chief Marketing Officer	1 FANATICAL PLACE, CITY OF WINDCREST, SAN ANTONIO TX 78218
Rackspace Technology, Inc.	director	1 FANATICAL PLACE, CITY OF WINDCREST, SAN ANTONIO TX 78218
Anthony C. Roberts	director	1 FANATICAL PLACE, SAN ANTONIO TX 78218
Betsy S Atkins	director
Anthony Scott	director	25501 WEST VALLEY PARKWAY, OLATHE KS 66061
Kellie Teal-guess	officer: Chief Human Resources Officer	1 FANATICAL PLACE, C/O RACKSPACE TECHNOLOGY, INC., SAN ANTONIO TX 78218
Brian Lillie	officer: EVP, President Private Cloud	1485 BROOKMILL ROAD, LOS ALTOS CA 94024
Naushaza Molu	officer: EVP, Chief Financial Officer	1 FANATICAL PLACE, SAN ANTONIO TX 78218
Shashank Samant	director	6600 NORTH MILITARY TRAIL, LEGAL DEPARTMENT, BOCA RATON FL 33496
Gregory S. Hrncir	officer: SVP - Chief Operations Officer	1 FANATICAL PLACE, CITY OF WINDCREST, SAN ANTONIO TX 78218
Timothy Campos	director	C/O JDS UNIPHASE CORPORATION, 430 N MCCARTHY BOULEVARD, MILPITAS CA 95035