Enterprise Value to EBITDA (EV/EBITDA)
Earnings before Interest, Tax, Depreciation and Amortization (EBITDA)
Procter & Gamble Co., EBITDA calculation
US$ in millions
Based on: 10-K (reporting date: 2026-06-30), 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).
A consistent upward trajectory is observed across all primary profitability metrics from June 30, 2021, to June 30, 2026, indicating steady operational growth and expanded earnings capacity over the six-year period.
- EBITDA Performance
- Earnings before interest, tax, depreciation and amortization demonstrated uninterrupted annual growth, rising from 20,852 million US dollars in 2021 to 24,414 million US dollars by 2026. This sustained increase reflects a robust ability to generate cash flow from core operations.
- Operational Earnings Analysis
- Earnings before interest and tax (EBIT) followed a parallel growth pattern, increasing from 18,117 million US dollars to 21,254 million US dollars. The relatively stable variance between EBITDA and EBIT suggests that depreciation and amortization expenses have remained proportional to the scale of operational growth.
- Pre-tax and Net Earnings Trends
- Earnings before tax (EBT) rose steadily from 17,615 million US dollars in 2021 to 20,377 million US dollars in 2026. Net earnings attributable to the company grew from 14,306 million US dollars to 16,046 million US dollars over the same period; however, a minor contraction was noted in 2023, where net earnings dipped slightly to 14,653 million US dollars despite increases in EBITDA and EBIT.
- Comparative Growth Insights
- The most significant year-over-year growth across all metrics occurred between June 30, 2024, and June 30, 2025, particularly in EBITDA, which increased by approximately 1.339 billion US dollars. This acceleration suggests a period of improved operational efficiency or favorable market conditions during that fiscal interval.
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Enterprise Value to EBITDA Ratio, Current
Procter & Gamble Co., current EV/EBITDA calculation, comparison to benchmarks
| Selected Financial Data (US$ in millions) | |
| Enterprise value (EV) | 364,061) |
| Earnings before interest, tax, depreciation and amortization (EBITDA) | 24,414) |
| Valuation Ratio | |
| EV/EBITDA | 14.91 |
| Benchmarks | |
| EV/EBITDA, Industry | |
| Consumer Staples | 19.68 |
Based on: 10-K (reporting date: 2026-06-30).
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
Based on: 10-K (reporting date: 2026-06-30), 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).
3 2026 Calculation
EV/EBITDA = EV ÷ EBITDA
= 369,221 ÷ 24,414 = 15.12
The financial trajectory from June 2021 through June 2026 reflects a divergence between market valuation and operational earnings. While Enterprise Value experienced a period of growth followed by a contraction, EBITDA exhibited consistent year-over-year expansion. This dynamic resulted in an initial expansion of the EV/EBITDA multiple, peaking in 2024, followed by a significant compression in the subsequent periods.
- Enterprise Value (EV) Evolution
- A progressive increase in Enterprise Value is observed from June 2021, at 366,108 million US$, to a peak of 419,670 million US$ in June 2024. This upward trend is reversed in the following periods, with values declining to 379,137 million US$ in 2025 and further to 369,221 million US$ by June 2026.
- Earnings Before Interest, Tax, Depreciation, and Amortization (EBITDA)
- EBITDA demonstrates steady and uninterrupted growth throughout the analyzed period. Starting at 20,852 million US$ in 2021, earnings increased incrementally each year, reaching 24,414 million US$ by June 2026. This indicates a consistent improvement in core operational profitability regardless of the fluctuations in total enterprise value.
- EV/EBITDA Ratio Dynamics
- The valuation multiple remained relatively stable between 2021 and 2022, followed by a rise to a peak of 18.58 in June 2024, coinciding with the peak in Enterprise Value. Subsequently, a notable downward trend occurs, with the ratio compressing to 15.85 in 2025 and 15.12 in 2026. This contraction is driven by the simultaneous decline in Enterprise Value and the continued growth of EBITDA, suggesting a transition toward a more conservative valuation relative to operating cash flow.
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