Avid Technology (Avid Technology) EBIT : $18.7 Mil (TTM As of Sep. 2023)

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What is Avid Technology EBIT?

Avid Technology's earnings before interest and taxes (EBIT) for the three months ended in Sep. 2023 was $-1.8 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Sep. 2023 was $18.7 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Avid Technology's annualized ROC % for the quarter that ended in Sep. 2023 was -5.51%. Avid Technology's annualized ROC (Joel Greenblatt) % for the quarter that ended in Sep. 2023 was -14.62%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. Avid Technology's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Sep. 2023 was 1.33%.

Avid Technology EBIT Historical Data

The historical data trend for Avid 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.

Avid Technology EBIT Chart

Avid Technology Annual Data

Trend

Dec13

Dec14

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

EBIT

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14.07

29.24

32.51

51.11

54.73

Avid Technology Quarterly Data
	Dec18	Mar19	Jun19	Sep19	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23
EBIT	Get a 7-Day Free Trial															14.10	17.40	3.64	-0.51	-1.84

Competitive Comparison of Avid Technology's EBIT

For the Software - Application subindustry, Avid 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.

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

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

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

Avid 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 Sep. 2023 adds up the quarterly data reported by the company within the most recent 12 months, which was $18.7 Mil.

Avid Technology (NAS:AVID) EBIT Explanation

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

Avid Technology's annualized ROC % for the quarter that ended in Sep. 2023 is calculated as:

	ROC % (Q: Sep. 2023 )
=	NOPAT	/	Average Invested Capital
=	Operating Income * ( 1 - Tax Rate % )	/	( (Invested Capital (Q: Jun. 2023 )	+	Invested Capital (Q: Sep. 2023 ))	/ count )
=	-9.792 * ( 1 - -6.32% )	/	( (193.305	+	184.325)	/ 2 )
=	-10.4108544	/	188.815
=	-5.51 %

where

	Invested Capital		(Q: Jun. 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	))
=	293.817	-	91.097	-	( 33.502	-	max(0, 164.263	-	173.678	+	33.502	))
=	193.305

	Invested Capital		(Q: Sep. 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	))
=	273.739	-	78.685	-	( 20.963	-	max(0, 145.781	-	156.51	+	20.963	))
=	184.325

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

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

Avid Technology's annualized ROC (Joel Greenblatt) % for the quarter that ended in Sep. 2023 is calculated as:

	ROC (Joel Greenblatt) %		(Q: Sep. 2023 )
=	EBIT	/	Average of (Net fixed Assets	+	Net Working Capital)
=	EBIT	/	Average of (Property, Plant and Equipment	+	Net Working Capital)
			Q: Jun. 2023		Q: Sep. 2023
=	EBIT	/	( ( (Property, Plant and Equipment + Net Working Capital)	+	(Property, Plant and Equipment + Net Working Capital) )	/	count )
=	-7.352	/	( ( (50.369 + max(-51.662, 0))	+	(50.207 + max(-32.71, 0)) )	/	2 )
=	-7.352	/	( ( 50.369	+	50.207 )	/	2 )
=	-7.352	/	50.288
=	-14.62 %

where Working Capital is:

	Working Capital		(Q: Jun. 2023 )
=	(Accounts Receivable	+	Total Inventories	+	Other Current Assets)	-	(Accounts Payable & Accrued Expense	+	Defer. Rev.	+	Other Current Liabilities)
=	(58.679	+	28.028	+	14.982)	-	(91.097	+	42.114	+	20.14)
=	-51.662

	Working Capital		(Q: Sep. 2023 )
=	(Accounts Receivable	+	Total Inventories	+	Other Current Assets)	-	(Accounts Payable & Accrued Expense	+	Defer. Rev.	+	Other Current Liabilities)
=	(56.354	+	28.591	+	13.884)	-	(78.685	+	35.863	+	16.991)
=	-32.71

When net working capital is negative, 0 is used.

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

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

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

Earnings Yield (Joel Greenblatt) %	=	EBIT (TTM)	/	Enterprise Value (Q: Sep. 2023 )
	=	18.7	/	1408.087
	=	1.33 %

Avid Technology EBIT Related Terms

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Avid Technology (Avid Technology) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Technology » Software » Avid Technology Inc (NAS:AVID) » Definitions » EBIT

Comparable Companies

Traded in Other Exchanges

N/A

Address

75 Blue Sky Drive, Burlington, MA, USA, 01803

Website

https://www.avid.com

Avid Technology Inc develops and sells software and hardware for digital media production and management. Its products are used in production, film studios, cable television stations, recording studios, and other agencies. The company has operations in the U.S.; the Americas; Europe, Middle East, and Africa; and Asia-Pacific. Most of its revenue is split fairly evenly between the U.S. and EMEA. The company's products are organized into suites, including Artist Suite, which includes video editing and digital audio workstations; Media Suite, which provides newsroom management solutions; Studio Suite, which provides tools for on-air programming; and Storage Suite, which provides products for digital storage. It derives most of the revenue from video and audio products and services.

Executives

Kenneth L Gayron	officer: EVP & Chief Financial Officer	75 NETWORK DRIVE, BURLINGTON MA 34212
Timothy Claman	officer: SVP & GM Video Post & Storage	75 NETWORK DRIVE, BURLINGTON MA 01803
Cordiner Tom J. A.	officer: SVP of Global Sales	PINEWOOD ROAD, IVER HEATH, BUCKINGHAMSHIRE, ENGLAND X0 01803
David Toomey	officer: SVP & GM Audio and Music	75 NETWORK DRIVE, BURLINGTON MA 01830
Mariesa Victoria	officer: VP & Chief Accounting Officer	75 NETWORK DRIVE, BURLINGTON MA 01803
Christian Asmar	director	152 WEST 57TH STREET, 17TH FLOOR, NEW YORK CITY NY 10019
Dana Ruzicka	officer: VP, Chief Product Officer	75 NETWORK DRIVE, BURLINGTON MA 01803
Nancy Hawthorne	director	AVID TECHNOLOGY, INC., 75 NETWORK DRIVE, BURLINGTON MA 01803
Robert M Bakish	director	AVID TECHNOLOGY, INC., 75 NETWORK DRIVE, BURLINGTON MA 01803
Lior Netzer	officer: SVP & GM, Media & Cloud	75 NETWORK DRIVE, BURLINGTON MA 01803
Kevin W. Riley	officer: Chief Technology Officer	75 NETWORK DRIVE, BURLINGTON MA 01803
Garrard Brown	officer: Chief Accounting Officer, other: Principal Accounting Officer	AVID TECHNOLOGY, INC., 75 NETWORK DRIVE, BURLINGTON MA 01803
Jason A Duva	officer: Senior VP & General Counsel, other: Corporate Secretary	AVID TECHNOLOGY, INC., 75 NETWORK DRIVE, BURLINGTON MA 01803
Lauren Taylor Wolfe	10 percent owner	3100 CUMBERLAND BOULEVARD, SUITE 1700, ATLANTA GA 30339
Impactive Capital Llc	10 percent owner	152 WEST 57TH, 17TH FLOOR, NEW YORK CITY NY 10019