Stock Analysis on Net

Procter & Gamble Co. (NYSE:PG)

$24.99

Enterprise Value to EBITDA (EV/EBITDA)

Microsoft Excel

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Earnings before Interest, Tax, Depreciation and Amortization (EBITDA)

Procter & Gamble Co., EBITDA calculation

US$ in millions

Microsoft Excel
12 months ended: Jun 30, 2025 Jun 30, 2024 Jun 30, 2023 Jun 30, 2022 Jun 30, 2021 Jun 30, 2020
Net earnings attributable to Procter & Gamble (P&G)
Add: Net income attributable to noncontrolling interest
Add: Income tax expense
Earnings before tax (EBT)
Add: Interest expense
Earnings before interest and tax (EBIT)
Add: Depreciation and amortization
Earnings before interest, tax, depreciation and amortization (EBITDA)

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 Earnings Attributable to Procter & Gamble (P&G)
The net earnings have exhibited a generally upward trajectory over the analyzed periods. Starting at 13,027 million USD in 2020, earnings increased each year with minor fluctuations, reaching 15,974 million USD by 2025. This reflects a steady growth trend with an increase of approximately 22.6% over the five-year span.
Earnings Before Tax (EBT)
EBT showed consistent growth throughout the years under review. Beginning at 15,834 million USD in 2020, it rose steadily to 20,167 million USD by 2025. The progression indicates a stable operating environment and effective cost management, with an overall increase of nearly 27.4% within five years.
Earnings Before Interest and Tax (EBIT)
The EBIT figures reflect a similar pattern of growth, advancing from 16,299 million USD in 2020 to 21,074 million USD in 2025. The increments suggest strengthening operational profitability, with consistent expansion observed year-over-year, corresponding to an approximate increase of 29.3%.
Earnings Before Interest, Tax, Depreciation and Amortization (EBITDA)
EBITDA values consistently rose from 19,312 million USD in 2020 to 23,921 million USD in 2025, marking an overall improvement of about 23.9%. This upward trend indicates enhanced earnings capacity excluding non-cash charges, pointing toward effective management of core business activities and operational expenses.

Enterprise Value to EBITDA Ratio, Current

Procter & Gamble Co., current EV/EBITDA calculation, comparison to benchmarks

Microsoft Excel
Selected Financial Data (US$ in millions)
Enterprise value (EV)
Earnings before interest, tax, depreciation and amortization (EBITDA)
Valuation Ratio
EV/EBITDA
Benchmarks
EV/EBITDA, Industry
Consumer Staples

Based on: 10-K (reporting date: 2025-06-30).

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

Procter & Gamble Co., historical EV/EBITDA calculation, comparison to benchmarks

Microsoft Excel
Jun 30, 2025 Jun 30, 2024 Jun 30, 2023 Jun 30, 2022 Jun 30, 2021 Jun 30, 2020
Selected Financial Data (US$ in millions)
Enterprise value (EV)1
Earnings before interest, tax, depreciation and amortization (EBITDA)2
Valuation Ratio
EV/EBITDA3
Benchmarks
EV/EBITDA, Industry
Consumer Staples

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).

1 See details »

2 See details »

3 2025 Calculation
EV/EBITDA = EV ÷ EBITDA
= ÷ =


Enterprise Value (EV) Trends
The enterprise value exhibited a steady upward trend from June 30, 2020, to June 30, 2024, increasing from 349,722 million US dollars to 419,670 million US dollars. However, there was a decline in the final period, dropping to 379,137 million US dollars as of June 30, 2025.
EBITDA Performance
Earnings before interest, tax, depreciation, and amortization showed continuous growth across the entire timeframe. Starting at 19,312 million US dollars in June 2020, EBITDA increased steadily each year, reaching 23,921 million US dollars by June 2025. This represents a consistent improvement in operational profitability.
EV to EBITDA Ratio Analysis
The EV/EBITDA ratio fluctuated moderately over the periods analyzed. It initially decreased from 18.11 in 2020 to 17.48 in 2022, suggesting that the enterprise value grew at a slightly slower pace relative to EBITDA during that time. The ratio then increased to 18.58 by June 2024, indicating a relative increase in enterprise value compared to earnings. Finally, there was a notable drop to 15.85 in June 2025, driven by the simultaneous decrease in enterprise value and increase in EBITDA, suggesting potentially more attractive valuation levels relative to earnings in the most recent period.
Overall Insights
The data reflects improving operational earnings alongside an expanding enterprise value until mid-2024, followed by a contraction in enterprise valuation in the last year assessed. The steady rise in EBITDA demonstrates enhanced earnings capacity, while the declining EV/EBITDA ratio in the final year may indicate a market reassessment of the company's valuation, possibly presenting an opportunity for investment based on improved earnings performance relative to enterprise value.