Rackspace Technology Stock

Rackspace Technology EBIT

The EBIT of Rackspace Technology (RXT) as of Jul 26, 2026 is -68.40 M USD. In the previous year, EBIT was -909.10 M USD — a change of -92.48% (higher).

EBIT

-68.40 MUSD

YoY

-92.48%

Last updated:

In 2026, Rackspace Technology's EBIT was -68.40 M USD, a -92.48% increase from the -909.10 M USD EBIT recorded in the previous year.

The Rackspace Technology EBIT history

  • 3 Years

  • 10 Years

  • 25 Years

  • Max

EBIT (M USD)
Date
EBIT (M USD)
Jan 1, 2020
24.70 base
Jan 1, 2021
-2.50 base
Jan 1, 2022
-689.20 base
Jan 1, 2023
-899.40 base
Jan 1, 2024
-909.10 base
Jan 1, 2025
-68.40 base
Jan 1, 2026 (e)
47.30 base
Jan 1, 2027 (e)
90.97 base
YEAREBIT (M USD)
2027 est 90.97
2026 est 47.30
2025 -68.40
2024 -909.10
2023 -899.40
2022 -689.20
2021 -2.50
2020 24.70
2019 101.60
2018 70.50
2017 -137.30
2016 5.00
2015 200.00
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Rackspace Technology Revenue

Rackspace Technology Revenue, EBIT, Net Income

  • 3 Years

  • 5 Years

  • 10 Years

  • 25 Years

  • Max

Revenue
EBIT
Net Income
Details
Date
Revenue
EBIT
Net Income
Jan 1, 2020
2.71 B USD
24.70 M USD
-245.80 M USD
Jan 1, 2021
3.01 B USD
-2.50 M USD
-218.30 M USD
Jan 1, 2022
3.12 B USD
-689.20 M USD
-804.80 M USD
Jan 1, 2023
2.96 B USD
-899.40 M USD
-837.80 M USD
Jan 1, 2024
2.74 B USD
-909.10 M USD
-858.20 M USD
Jan 1, 2025
2.69 B USD
-68.40 M USD
-225.80 M USD
Jan 1, 2026 (e)
2.55 B USD
47.30 M USD
-39.60 M USD
Jan 1, 2027 (e)
2.61 B USD
90.97 M USD
41.06 M USD

Rackspace Technology Margins

Rackspace Technology stock margins

The Rackspace Technology margin analysis displays the gross margin, EBIT margin, as well as the profit margin of Rackspace Technology. The EBIT margin (EBIT/sales) indicates the percentage of sales that remains as operating profit. The profit margin shows the percentage of sales that remains for Rackspace Technology.
  • 3 Years

  • 5 Years

  • 10 Years

  • 25 Years

  • Max

Gross margin
EBIT margin
Profit margin
Details
Date
Gross margin
EBIT margin
Profit margin
Jan 1, 2020
36.36 %
0.91 %
-9.08 %
Jan 1, 2021
31.13 %
-0.08 %
-7.25 %
Jan 1, 2022
27.44 %
-22.07 %
-25.78 %
Jan 1, 2023
21.93 %
-30.41 %
-28.33 %
Jan 1, 2024
19.49 %
-33.21 %
-31.35 %
Jan 1, 2025
13.39 %
-2.55 %
-8.41 %
Jan 1, 2026 (e)
13.39 %
1.86 %
-1.55 %
Jan 1, 2027 (e)
13.39 %
3.49 %
1.57 %

Rackspace Technology Stock analysis

What does Rackspace Technology do? Rackspace Technology Inc. is a leading and diversified technology company that supports businesses in their transition to the cloud and digital transformation. They offer various cloud computing, hosting, and managed IT services that are used by small and medium-sized businesses to large corporations worldwide. The company was founded in 1998 in San Antonio, Texas by three friends - Dirk Elmendorf, Richard Yoo, and Pat Condon - who wanted to start a hosting company. Since then, the company has become one of the market-leading providers in this field. Rackspace Technology Inc. is considered a pioneer in managed cloud hosting and an expert in providing solutions for complex IT environments. Companies can use Rackspace as a partner to optimize their IT environment and achieve their business goals. Different business areas and products are offered to help customers get the most out of their IT infrastructure. Their business model is to provide reliable and flexible IT infrastructure based on reliable cloud computing solutions to their customers. Their goal is to offer solutions that enable digital transformation through technology support. They help you migrate your applications, data, and IT infrastructure to the cloud, thus enabling you to implement your business goals more efficiently. The company offers a wide range of services and products to create scalable and reliable IT infrastructure for companies of all sizes and industries. This includes managed cloud services, multi-cloud management, edge computing, security, database, storage, and networking solutions. Many different types of services are summarized under the term "Managed Cloud Services." The most important ones are managed public cloud, private cloud, hybrid cloud, and multi-cloud management. These solutions help businesses better manage their IT and thus ensure more efficiency and flexibility. Rackspace takes over the maintenance and operation of the systems, ensuring higher availability and shorter response times. Managed services for public clouds include the complete operation and maintenance of the infrastructure while companies can run their applications on Amazon Web Services (AWS), Microsoft Azure, and Google Cloud Platform (GCP). With the private cloud, companies can operate their own cloud infrastructure. Rackspace provides support for enterprise-grade infrastructures such as VMware and OpenStack. Hybrid cloud combines public cloud and private cloud to enable companies to react faster and scale better. The multi-cloud management option offers multiple cloud providers in a single solution, making it easy to manage resources, applications, and workloads. Rackspace Technology is also a leader in providing edge computing solutions that help businesses run their applications and workloads directly at customer locations or near locations. This enables applications to be executed faster and more efficiently, and customers benefit from a better user experience. The company also has a strong focus on IT security, as this is an important issue for all businesses. With their security solutions, they can protect their data and applications and expand their threat defense. Rackspace Security offers managed security services, compliance and audit services, as well as security analysis and consulting. In summary, Rackspace Technology is a leading provider of cloud computing, hosting, and managed IT services, supporting businesses with flexible and reliable IT infrastructure solutions based on reliable cloud computing technologies. With their managed services, edge computing, IT security solutions, and other services, companies can effectively and efficiently implement their business goals and focus better on their customers. Rackspace Technology is one of the most popular companies on Eulerpool.

EBIT Details

Analyzing Rackspace Technology's EBIT

Rackspace Technology's Earnings Before Interest and Taxes (EBIT) represents the company's operating profit. It is calculated by deducting all operating expenses, including the cost of goods sold (COGS) and operating expenses, from the total revenue, but before accounting for interest and taxes. It provides insights into the company’s operational profitability, excluding the impacts of financing and tax structures.

Year-to-Year Comparison

A yearly comparison of Rackspace Technology's EBIT can reveal trends in the company’s operational efficiency and profitability. An increase in EBIT over the years can indicate enhanced operational efficiency or growth in revenue, while a decrease might raise concerns about increased operating costs or declining sales.

Impact on Investments

Rackspace Technology's EBIT is a significant metric for investors. A positive EBIT suggests that the company is generating enough revenue to cover its operating expenses, an essential aspect for assessing the company’s financial health and stability. Investors closely monitor EBIT to gauge the company’s profitability and potential for future growth.

Interpreting EBIT Fluctuations

Fluctuations in Rackspace Technology’s EBIT can be due to variations in revenue, operating expenses, or both. An increasing EBIT indicates improved operational performance or increased sales, while a declining EBIT can signal rising operational costs or reduced revenue, prompting a need for strategic adjustments.

Frequently Asked Questions about Rackspace Technology stock

EBIT of Rackspace Technology is -68.40 M USD in 2026.

The sales revenue is important for evaluating a stock.

EBIT is an acronym for "Earnings Before Interest and Tax" and represents a company's gross profit before taxes and interest are deducted. The EBIT amount is often used as a metric to evaluate a company.

History

The EBIT was originally introduced in the 1940s when the US Internal Revenue Service (IRS) passed a new tax law. This law required companies to calculate their profit before deducting taxes and interest on loans (or "interest and taxes"). Since then, the EBIT has been used as one of the key financial indicators in evaluating a company.

Usage

The EBIT can be used to assess a company by comparing its financial results to a benchmark or a comparative value. The EBIT is also used to determine how much the company's shareholders will receive from its operating income.

Calculation

EBIT is calculated by deducting taxes and interest on loans from the company's net profit. This amount can be calculated in various ways, but the most common method is as follows:

EBIT = Net profit + interest and taxes

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Net profit of XYZ Co. = $1,000,000
Interest and taxes = $ 500,000
EBIT of XYZ Co. = $1,500,000

Application

The EBIT value is often used to determine and evaluate the financial stability of a company. The EBIT value can also be used to determine how much money a company can spend on investments or dividends.

Use of EBIT in stock investment

Investors use EBIT to determine if a stock is over- or undervalued. If a company has a high EBIT value, it may indicate that its stock is overvalued, as the profit it generates could be lower than what it would generate with a different stock.

Advantages of EBIT

EBIT is a helpful measure for determining the financial stability of a company. There are several advantages associated with using EBIT, such as:
- EBIT eliminates the impact of financing on the company's earnings.
- It is a useful measure for determining the profits that a company can distribute to its shareholders.
- It can be used to determine whether a stock is overvalued or undervalued.

Disadvantages of EBIT

There are also some disadvantages to using EBIT, such as:
- EBIT cannot be used as the sole measure to evaluate a company as it does not reflect the overall profit of the company.
- EBIT can be influenced by unforeseen events such as a tax increase.
- EBIT is not always a reliable indicator of a company's future profit development.

Conclusion

The EBIT is an important measure used to evaluate a company. It can be used to determine how much money a company can generate from its operational results and whether a stock is overvalued or undervalued. However, the EBIT also has some disadvantages as it does not reflect the overall profitability of a company and can be influenced by unforeseen events. Therefore, it is important to consider the EBIT in conjunction with other financial indicators to obtain a complete picture of the company.

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Income Statement — Rackspace Technology

All Key Metrics — Rackspace Technology