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PRGX Global (PRGX Global) ROC (Joel Greenblatt) % : 42.22% (As of Sep. 2020)


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What is PRGX Global ROC (Joel Greenblatt) %?

Joel Greenblatt defined Return on Capital differently in his book The Little Book That Still Beats the Market (Little Books. Big Profits). He defines ROC (Joel Greenblatt) % as EBIT divided by the total of Property, Plant and Equipment and net working capital. PRGX Global's annualized ROC (Joel Greenblatt) % for the quarter that ended in Sep. 2020 was 42.22%.

The historical rank and industry rank for PRGX Global's ROC (Joel Greenblatt) % or its related term are showing as below:

PRGX's ROC (Joel Greenblatt) % is not ranked *
in the Business Services industry.
Industry Median: 20.65
* Ranked among companies with meaningful ROC (Joel Greenblatt) % only.

PRGX Global's 5-Year average Growth Rate of ROC (Joel Greenblatt) % was 0.00% per year.


PRGX Global ROC (Joel Greenblatt) % Historical Data

The historical data trend for PRGX Global's ROC (Joel Greenblatt) % 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.

* Premium members only.

PRGX Global ROC (Joel Greenblatt) % Chart

PRGX Global Annual Data
Trend Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19
ROC (Joel Greenblatt) %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 12.34 26.75 60.50 25.07 -27.95

PRGX Global Quarterly Data
Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20
ROC (Joel Greenblatt) % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -7.35 -28.41 -30.83 15.33 42.22

Competitive Comparison of PRGX Global's ROC (Joel Greenblatt) %

For the Specialty Business Services subindustry, PRGX Global's ROC (Joel Greenblatt) %, along with its competitors' market caps and ROC (Joel Greenblatt) % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


PRGX Global's ROC (Joel Greenblatt) % Distribution in the Business Services Industry

For the Business Services industry and Industrials sector, PRGX Global's ROC (Joel Greenblatt) % distribution charts can be found below:

* The bar in red indicates where PRGX Global's ROC (Joel Greenblatt) % falls into.



PRGX Global ROC (Joel Greenblatt) % Calculation

Joel Greenblatt defined Return on Capital differently in his book The Little Book That Still Beats the Market (Little Books. Big Profits) . He defines Return on Capital as follows:

ROC (Joel Greenblatt) %=EBIT/Average of (Net fixed Assets + Net Working Capital)

EBIT stands for Earnings Before Interest and Taxes.

Fixed Assets are also known as non-current assets. They include the Property, Plant and Equipment that the firm needs in its operation.

GuruFocus calculates net working capital as: (Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Deferred Revenue + Other Current Liabilities). We're trying to account for OPERATING assets and liabilities (part of daily business) when calculating working capital. Cash and marketable securities are considered NON-OPERATING assets and are not included in calculation. We will also back out all interest bearing debt, short term debt and the portion of long term debt that is due in the current period from the current liabilities. This debt will be considered when computing cost of capital and it would be inappropriate to count it twice.

Working Capital(Q: Jun. 2020 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(32.748 + 0 + 4.925) - (16.164 + 1.97 + 4.152)
=15.387

Working Capital(Q: Sep. 2020 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(35.977 + 0 + 4.702) - (21.61 + 1.821 + 4.443)
=12.805

When net working capital is negative, 0 is used.

So ROC (Joel Greenblatt) % of PRGX Global for the quarter that ended in Sep. 2020 can be restated as:

ROC (Joel Greenblatt) %(Q: Sep. 2020 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Jun. 2020  Q: Sep. 2020
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=18.824/( ( (30.181 + max(15.387, 0)) + (30.792 + max(12.805, 0)) )/ 2 )
=18.824/( ( 45.568 + 43.597 )/ 2 )
=18.824/44.5825
=42.22 %

Note: The EBIT data used here is four times the quarterly (Sep. 2020) EBIT data.

* 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.


PRGX Global  (NAS:PRGX) ROC (Joel Greenblatt) % Explanation

The way Joel Greenblatt defines Return on Capital is a more accurate measure of how efficiently the company generates returns onthe capital actually invested in the business. EBIT is used instead of net income because the tax and interest payment may be affected by factors other than the core business operation. Intangible assets are not included in the calculation because they don't need to be replaced.

Joel Greenblatt uses his definition of Return on Capital and Earnings Yield (Joel Greenblatt) % to rank companies.


PRGX Global ROC (Joel Greenblatt) % Related Terms

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PRGX Global (PRGX Global) Business Description

Traded in Other Exchanges
N/A
Address
600 Galleria Parkway, Suite 100, Atlanta, GA, USA, 30339-5986
PRGX Global Inc is engaged in providing recovery audit and spends analytics service. Its services include recovery audit, spend analytics and supplier information management services. The company conducts its operations through three reportable segments: Recovery Audit Services - Americas, Recovery Audit Services - Europe/Asia-Pacific and Adjacent Services. The Recovery Audit Services - Americas segment are the largest segment in terms of clients served and revenue generated. The Recovery Audit Services - Europe/Asia-Pacific segment represents recovery audit services provided in Europe, Asia, and the Pacific region. Adjacent Services offerings are generally provided to clients on a global basis. The vast majority of the firm's revenue comes from recovery audit.
Executives
Matthew A Drapkin director 10 CORBIN DRIVE, 3RD FLOOR, DARIEN CT 06820
Mylle H Mangum director 3231 S E SIXTH AVENUE, TOPEKA KS 66607
Kevin Costello director C/O ARIBA INC, 807 11TH AVENUE, SUNNYVALE CA 94089
Joseph E Whitters director
William F Kimble director 6900 E. LAYTON AVE., SUITE 900, DENVER CO 80237
Simone C Walsh officer: Controller 600 GALLERIA PARKWAY, SUITE 100, ATLANTA GA 30339
Kurt Abkemeier officer: Chief Financial Officer C/O PROGRESS SOFTWARE CORPORATION, 14 OAK PARK DRIVE, BEDFORD MA 01730
Victor A Allums officer: SVP & General Counsel 600 GALLERIA PKWY SE SUITE 100 ATLANTA GA 30339
Ronald E. Stewart director, officer: President & CEO 5360 LONG ISLAND DRIVE ATLANTA GA 30327
Gregory J Owens director, officer: Executive Chairman 2755 CAMPUS DR 3RD FL SAN MATEO CA 94403-2538
Michael Cochrane officer: SVP, COO - Global Audit Oper. 600 GALLERIA PARKWAY SUITE 100 ATLANTA GA 30342
Headlands Strategic Opportunities Fund, Lp (the Partnership) 10 percent owner ONE EMBARCADERO CENTER SUITE 1600 SAN FRANCISCO CA 94111
Headlands Capital Management, Llc other: General Partner of 10% Owner ONE FERRY BUILDING SUITE 255 SAN FRANCISCO CA 94111
Cost David W Jr other: Member of investment committee ONE FERRY BUILDING SUITE 255 SAN FRANCISCO CA 94111
Park David E Iii other: Member of investment committee ONE FERRY BUILDING SUITE 255 SAN FRANCISCO CA 94111

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