Definitions for "Return on Capital"
Related Terms:
Return on capital employed, Return on invested capital, Roce, Return on equity, Return on assets, Return on investment, Accounting rate of return, Roe, Roa, Return on total assets, Total return, Return, Total rate of return, Total asset turnover, Rate of return, Roi, Economic value added, Net investment, Roic, Rona, Investment return, Asset turnover, Net income multiplier, Weighted average cost of capital, Net profit margin, Average annual total return, Return of capital, Return on sales, Average rate of return, Profitability, Ffo, Gross investment, Net investment income, Cash-on-cash return, Profit margin, Net interest margin, Capital employed, Net margin, Net return, Operating income, Economic profit, Profitability index, Wacc, Capital ratio, Operating ratio, Turnover ratio, Return-on-investment, Capitalization rate, Performance, Eva
ROC. A measure of how effectively a company uses the money (borrowed or owned)...
Same as Return on Invested Capital.
A measure of how productively an entity's average capital for EVA has been employed. It is calculated by dividing NOPAT by average EVA capital.
Net income (or profit) before extraordinary items, interest expense, and income taxes, divided by average capital. Shows how effectively a company is employing its capital to generate profit.
Profit before tax and interest, expressed as a percentage of capital employed.
The return earned by an investor from a specific investment or group of investments measured in terms of a percentage return on the amount of capital invested. See return on equity.
Adjusted headline earnings before finance costs expressed as a percentage of average capital employed, adjusted for the timing of acquisitions and disposals
Latest twelve months' net income divided by the most recent quarter invested capital (long-term debt plus common stock equity plus preferred equity).
calculated by dividing income from continuing operations (before changes in accounting principles, adding back interest expense) by average total capital.
A profitability ratio measured using net income divided by invested capital. This is equivalent to return on assets multiplied by the leverage ratio (assets/equity).
An accounting business performance measure which expresses business gross profits (before interest and taxation) as a percentage of the amount of capital used to generate them. Also called Return on Capital Employed (ROCE).
Calculated by dividing income from continuing operations – before changes in accounting principles, adjusted for interest expense – by average total capital.
One of the most useful ratios in assessing the performance of a company. It shows the returns that a company generates from the capital that it uses.
ratio that measures how effectively the Company is utilizing its capital invested in the business. ROC is calculated as net income excluding aftertax interest expense, divided by average capital. Capital consists of total debt and total shareholders' equity.
In economics, return on capital, also known as return on invested capital, is a non-GAAP financial measure that quantifies how well a company generates cash flow relative to the capital it has invested in its business. It is defined as Net operating profit less adjusted taxes divided by invested capital and is usually expressed as a percentage.