AAK AB (AAK AB) ROCE % : 23.86% (As of Mar. 2024)

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What is AAK AB ROCE %?

ROCE % measures how well a company generates profits from its capital. It is calculated as EBIT divided by Capital Employed, where Capital Employed is calculated as Total Assets minus Total Current Liabilities. AAK AB's annualized ROCE % for the quarter that ended in Mar. 2024 was 23.86%.

AAK AB ROCE % Historical Data

The historical data trend for AAK AB's ROCE % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

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AAK AB ROCE % Chart

AAK AB Annual Data

Trend

Dec14

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

ROCE %

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14.99

15.80

13.97

13.73

20.15

AAK AB Quarterly Data
	Jun19	Sep19	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23	Mar24
ROCE %	Get a 7-Day Free Trial															19.20	16.97	21.55	22.88	23.86

AAK AB ROCE % Calculation

AAK AB's annualized ROCE % for the fiscal year that ended in Dec. 2023 is calculated as:

ROCE %	=	EBIT	/	( (Capital Employed	+	Capital Employed)	/ count )
		(A: Dec. 2023 )		(A: Dec. 2022 )		(A: Dec. 2023 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(A: Dec. 2023 )		(A: Dec. 2022 )		(A: Dec. 2023 )
	=	400.094	/	( ( (3275.198 - 1342.744)	+	(2978.377 - 939.499) )	/ 2 )
	=	400.094	/	( (1932.454	+	2038.878)	/ 2 )
	=	400.094	/	1985.666
	=	20.15 %

AAK AB's ROCE % of for the quarter that ended in Mar. 2024 is calculated as:

ROCE %	=	EBIT ⁽¹⁾	/	( (Capital Employed	+	Capital Employed)	/ count )
		(Q: Mar. 2024 )		(Q: Dec. 2023 )		(Q: Mar. 2024 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(Q: Mar. 2024 )		(Q: Dec. 2023 )		(Q: Mar. 2024 )
	=	504.836	/	( ( (2978.377 - 939.499)	+	(3139.57 - 946.76) )	/ 2 )
	=	504.836	/	( ( 2038.878	+	2192.81 )	/ 2 )
	=	504.836	/	2115.844
	=	23.86 %

(1) Note: The EBIT data used here is four times the quarterly (Mar. 2024) EBIT data.

AAK AB (OTCPK:ARHUF) ROCE % Explanation

ROCE % can be especially useful when comparing the performance of capital-intensive companies. Unlike ROE %, which indicates the profitability of Shareholders Equity, ROCE % also considers long-term debt in Capital Employed. This can be helpful when analyzing companies with significant debt, as the result is neutralized by taking debt into consideration.

Generally speaking, a higher ROCE % indicates a stonger profitability for a company. Moreover, it is important to look at the ratio from a long term perspective. Investors tend to favor companies with stable and rising ROCE % trend over those with volatile ones.

AAK AB ROCE % Related Terms

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AAK AB (AAK AB) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Consumer Defensive » Consumer Packaged Goods » AAK AB (OTCPK:ARHUF) » Definitions » ROCE %

Comparable Companies

Traded in Other Exchanges

AAK:Sweden AAKs:UK 0A0J:UK 6AA0:Germany

Address

Skrivaregatan 9, Malmo, SWE, SE-215 32

Website

https://www.aak.com

AAK AB is a Swedish refined vegetable oils producer with sales operations around the world. The company has three business segments: Food ingredients, Chocolate & confectionery fats, and Technical products & feed. The food ingredients segment provides solutions to the bakery, dairy, nutrition, plant-based, & food service industries. The Chocolate & Confectionery Fats segment mainly serves manufacturers of chocolate, spreads, & fillings products as well as customers in the personal care industry. Technical Products & Feed segment provides a growing range of specialized solutions, responding to an increased demand for natural ingredients & sustainability. The majority is from the Food ingredients segment.