GreenGro Technologies (GreenGro Technologies) ROC % : -176.47% (As of Mar. 2004)

View and export this data going back to . Start your Free Trial

What is GreenGro Technologies ROC %?

ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. GreenGro Technologies's annualized return on capital (ROC %) for the quarter that ended in Mar. 2004 was -176.47%.

As of today (2024-05-22), GreenGro Technologies's WACC % is 0.00%. GreenGro Technologies's ROC % is 0.00% (calculated using TTM income statement data). GreenGro Technologies earns returns that do not match up to its cost of capital. It will destroy value as it grows.

GreenGro Technologies ROC % Historical Data

The historical data trend for GreenGro Technologies's ROC % 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.

GreenGro Technologies ROC % Chart

GreenGro Technologies Annual Data

Trend

Dec96

Dec97

Dec98

Jun99

Jun00

Jun01

Jun02

ROC %

Get a 7-Day Free Trial

-29.28

-3.80

-364.87

-172.17

-150.61

GreenGro Technologies Quarterly Data
	Jun99	Sep99	Dec99	Mar00	Jun00	Sep00	Dec00	Mar01	Jun01	Sep01	Dec01	Mar02	Jun02	Sep02	Dec02	Mar03	Jun03	Sep03	Dec03	Mar04
ROC %	Get a 7-Day Free Trial															-747.71	-435.90	-	-	-176.47

GreenGro Technologies ROC % Calculation

GreenGro Technologies's annualized Return on Capital (ROC %) for the fiscal year that ended in Jun. 2002 is calculated as:

	ROC % (A: Jun. 2002 )
=	NOPAT	/	Average Invested Capital
=	Operating Income * ( 1 - Tax Rate % )	/	( (Invested Capital (A: Jun. 2001 )	+	Invested Capital (A: Jun. 2002 ))	/ count )
=	-13.599 * ( 1 - % )	/	( (16.1	+	1.958)	/ 2 )
=	-13.599	/	9.029
=	-150.61 %

where

	Invested Capital		(A: Jun. 2001 )
=	Total Assets	-	Accounts Payable & Accrued Expense	-	Excess Cash
=	Total Assets	-	Accounts Payable & Accrued Expense	-	( Cash, Cash Equivalents, Marketable Securities	-	max(0, Total Current Liabilities	-	Total Current Assets	+	Cash, Cash Equivalents, Marketable Securities	))
=	21.989	-	1.061	-	( 9.34	-	max(0, 9.439	-	14.267	+	9.34	))
=	16.1

	Invested Capital		(A: Jun. 2002 )
=	Total Assets	-	Accounts Payable & Accrued Expense	-	Excess Cash
=	Total Assets	-	Accounts Payable & Accrued Expense	-	( Cash, Cash Equivalents, Marketable Securities	-	max(0, Total Current Liabilities	-	Total Current Assets	+	Cash, Cash Equivalents, Marketable Securities	))
=	4.085	-	4.004	-	( 0.195	-	max(0, 4.983	-	3.106	+	0.195	))
=	1.958

GreenGro Technologies's annualized Return on Capital (ROC %) for the quarter that ended in Mar. 2004 is calculated as:

	ROC % (Q: Mar. 2004 )
=	NOPAT	/	Average Invested Capital
=	Operating Income * ( 1 - Tax Rate % )	/	( (Invested Capital (Q: Dec. 2003 )	+	Invested Capital (Q: Mar. 2004 ))	/ count )
=	-0.06 * ( 1 - % )	/	( (0	+	0.034)	/ 1 )
=	-0.06	/	0.034
=	-176.47 %

where

	Invested Capital		(Q: Dec. 2003 )
=	Total Assets	-	Accounts Payable & Accrued Expense	-	Excess Cash
=	Total Assets	-	Accounts Payable & Accrued Expense	-	( Cash, Cash Equivalents, Marketable Securities	-	max(0, Total Current Liabilities	-	Total Current Assets	+	Cash, Cash Equivalents, Marketable Securities	))
=	0.002	-	0.318	-	( 0	-	max(0, 0.318	-	0.002	+	0	))
=	0

	Invested Capital		(Q: Mar. 2004 )
=	Total Assets	-	Accounts Payable & Accrued Expense	-	Excess Cash
=	Total Assets	-	Accounts Payable & Accrued Expense	-	( Cash, Cash Equivalents, Marketable Securities	-	max(0, Total Current Liabilities	-	Total Current Assets	+	Cash, Cash Equivalents, Marketable Securities	))
=	0	-	0.316	-	( 0	-	max(0, 0.35	-	0	+	0	))
=	0.034

Note: The Operating Income data used here is four times the quarterly (Mar. 2004) data.

GreenGro Technologies (OTCPK:GRNH) ROC % Explanation

ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. The reason book values of debt and equity are used is because the book values are the capital the company received when issuing the debt or receiving the equity investments.

There are four key components to this definition. The first is the use of operating income or EBIT rather than net income in the numerator. The second is the tax adjustment to this operating income or EBIT, computed as a hypothetical tax based on an effective or marginal tax rate. The third is the use of book values for invested capital, rather than market values. The final is the timing difference; the capital invested is from the end of the prior year whereas the operating income or EBIT is the current year's number.

Why is ROC % important?

Because it costs money to raise capital. A firm that generates higher returns on investment than it costs the company to raise the capital needed for that investment is earning excess returns. A firm that expects to continue generating positive excess returns on new investments in the future will see its value increase as growth increases, whereas a firm that earns returns that do not match up to its cost of capital will destroy value as it grows.

As of today, GreenGro Technologies's WACC % is 0.00%. GreenGro Technologies's ROC % is 0.00% (calculated using TTM income statement data). GreenGro Technologies earns returns that do not match up to its cost of capital. It will destroy value as it grows.

Be Aware

Like ROE % and ROA %, ROC % is calculated with only 12 months of data. Fluctuations in the company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

GreenGro Technologies ROC % Related Terms

Thank you for viewing the detailed overview of GreenGro Technologies's ROC % provided by GuruFocus.com. Please click on the following links to see related term pages.

GreenGro Technologies (GreenGro Technologies) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Industrials » Farm & Heavy Construction Machinery » GreenGro Technologies Inc (OTCPK:GRNH) » Definitions » ROC %

Comparable Companies

Traded in Other Exchanges

N/A

Address

68374 Keiley Road, Cathedral City, CA, USA, 92234

Website

https://www.greengrotech.com

GreenGro Technologies Inc specializes in indoor and outdoor agricultural science systems for the consumer and commercial farming markets. It manufactures and sells eco-friendly vertical cultivation systems and facilities design. In addition, it also provides design, construction, and GreenGro Technologies, Inc. provides manufacturing and sales of green, eco-friendly, sustainable vertical cultivation systems, and facilities design. Its products and services are targeted at consumers and industrial farming operations. Its products and services are designed to provide all of these customers solutions to achieve maximum efficiency, whether that be a balcony garden or industrial cultivator.