Enterprise Value to EBITDA (EV/EBITDA)
Earnings before Interest, Tax, Depreciation and Amortization (EBITDA)
Super Micro Computer Inc., EBITDA calculation
US$ in thousands
Based on: 10-K (reporting date: 2025-06-30), 10-K (reporting date: 2024-06-30), 10-K (reporting date: 2023-06-30), 10-K (reporting date: 2022-06-30), 10-K (reporting date: 2021-06-30), 10-K (reporting date: 2020-06-30).
- Net Income
- Net income has demonstrated a strong upward trajectory over the six-year period. Starting at $84,308 thousand in 2020, there was a steady increase each year, culminating in a peak of $1,152,666 thousand in 2024 before experiencing a slight decline to $1,048,854 thousand in 2025. This indicates robust profitability growth with a minor reduction in the latest year.
- Earnings Before Tax (EBT)
- EBT followed a similar growth pattern to net income, rising consistently from $87,230 thousand in 2020 to $1,215,960 thousand in 2024. In 2025, the value slightly decreased to $1,205,705 thousand. The close alignment between EBT and net income suggests limited tax impact fluctuations over the years.
- Earnings Before Interest and Tax (EBIT)
- EBIT figures also show continuous growth, increasing from $89,466 thousand in 2020 to $1,265,278 thousand in 2025. Notably, EBIT surpassed EBT and net income values, reflecting higher operating profitability prior to interest and tax deductions. This steady rise indicates improving core operational efficiency.
- Earnings Before Interest, Tax, Depreciation, and Amortization (EBITDA)
- EBITDA exhibited the most pronounced growth, starting at $117,938 thousand in 2020 and reaching $1,323,622 thousand in 2025. This consistent increase underscores expanding operational cash flow capacity and efficient management of non-cash expenses such as depreciation and amortization.
- Overall Trends and Insights
- The financial data shows a clear pattern of sustained and significant growth in profitability and operating performance. All earnings metrics rose substantially over the reported periods, reflecting successful business expansion or enhanced operational productivity. The slight decreases in net income and EBT in 2025 may warrant further examination but do not negate the overall positive upward trend. The consistently larger EBITDA compared to EBIT and EBT highlights strong cash earnings and potentially low capital intensity or effective asset management.
Enterprise Value to EBITDA Ratio, Current
Super Micro Computer Inc., current EV/EBITDA calculation, comparison to benchmarks
| Selected Financial Data (US$ in thousands) | |
| Enterprise value (EV) | 25,094,129) |
| Earnings before interest, tax, depreciation and amortization (EBITDA) | 1,323,622) |
| Valuation Ratio | |
| EV/EBITDA | 18.96 |
| Benchmarks | |
| EV/EBITDA, Competitors1 | |
| Apple Inc. | 26.09 |
| Arista Networks Inc. | 51.11 |
| Cisco Systems Inc. | 17.94 |
| Dell Technologies Inc. | 10.72 |
| EV/EBITDA, Sector | |
| Technology Hardware & Equipment | 24.98 |
| EV/EBITDA, Industry | |
| Information Technology | 36.46 |
Based on: 10-K (reporting date: 2025-06-30).
1 Click competitor name to see calculations.
If the company EV/EBITDA is lower then the EV/EBITDA of benchmark then company is relatively undervalued.
Otherwise, if the company EV/EBITDA is higher then the EV/EBITDA of benchmark then company is relatively overvalued.
Enterprise Value to EBITDA Ratio, Historical
Super Micro Computer Inc., historical EV/EBITDA calculation, comparison to benchmarks
| Jun 30, 2025 | Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | Jun 30, 2020 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||
| Enterprise value (EV)1 | 25,718,117) | 27,531,684) | 13,351,606) | 3,957,189) | 1,672,177) | 1,255,796) | |
| Earnings before interest, tax, depreciation and amortization (EBITDA)2 | 1,323,622) | 1,274,005) | 796,059) | 376,923) | 149,471) | 117,938) | |
| Valuation Ratio | |||||||
| EV/EBITDA3 | 19.43 | 21.61 | 16.77 | 10.50 | 11.19 | 10.65 | |
| Benchmarks | |||||||
| EV/EBITDA, Competitors4 | |||||||
| Apple Inc. | — | 25.29 | 21.66 | 19.15 | 20.47 | 23.12 | |
| Arista Networks Inc. | — | 36.90 | 31.29 | 24.52 | 37.29 | 26.96 | |
| Cisco Systems Inc. | 18.03 | 13.28 | 12.16 | 10.52 | 15.05 | 9.69 | |
| Dell Technologies Inc. | 9.41 | 11.43 | 6.61 | 4.85 | 9.32 | 8.64 | |
| EV/EBITDA, Sector | |||||||
| Technology Hardware & Equipment | — | 23.61 | 20.01 | 17.26 | 19.17 | 19.89 | |
| EV/EBITDA, Industry | |||||||
| Information Technology | — | 27.71 | 23.65 | 18.34 | 20.58 | 19.78 | |
Based on: 10-K (reporting date: 2025-06-30), 10-K (reporting date: 2024-06-30), 10-K (reporting date: 2023-06-30), 10-K (reporting date: 2022-06-30), 10-K (reporting date: 2021-06-30), 10-K (reporting date: 2020-06-30).
3 2025 Calculation
EV/EBITDA = EV ÷ EBITDA
= 25,718,117 ÷ 1,323,622 = 19.43
4 Click competitor name to see calculations.
The data reveals notable developments in key financial metrics over the six-year period.
- Enterprise Value (EV)
- Enterprise value demonstrates a marked upward trajectory from 1,255,796 thousand US dollars in mid-2020 to a peak of 27,531,684 thousand US dollars in mid-2024. Despite a slight decline observed in mid-2025, the overall trend indicates substantial growth, particularly between 2021 and 2024, where EV nearly increased sixteen-fold. This suggests a significant expansion in the company's valuation, potentially driven by increased market capitalization, debt adjustments, or a combination thereof.
- Earnings Before Interest, Tax, Depreciation, and Amortization (EBITDA)
- EBITDA exhibits consistent growth throughout the period, rising from 117,938 thousand US dollars to 1,323,622 thousand US dollars by mid-2025. The growth accelerates prominently post-2021, with EBITDA in mid-2025 exceeding the 2020 figure by more than eleven times. This progression underscores improving operational profitability and enhanced earnings generation capabilities over the years.
- EV/EBITDA Ratio
- The EV to EBITDA ratio shows fluctuations, starting at 10.65 in mid-2020 and increasing moderately in 2021 and 2022. A significant rise is observed from 2022 onward, reaching a peak of 21.61 in mid-2024 before slightly declining to 19.43 in mid-2025. The heightened ratio in the latter years, despite strong EBITDA growth, indicates that enterprise value has increased at a faster pace than EBITDA. This may reflect higher market expectations, increased valuation multiples, or possibly a premium on growth prospects.
In summary, the financial metrics demonstrate robust growth in both company valuation and earnings operationally. However, the increasing EV/EBITDA ratio in recent years suggests elevated valuation levels relative to earnings, requiring further context for comprehensive risk and value assessment.