Nextdc (ASX:NXT) ROCE % : 1.63% (As of Dec. 2023)

View and export this data going back to 2010. Start your Free Trial

What is Nextdc 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. Nextdc's annualized ROCE % for the quarter that ended in Dec. 2023 was 1.63%.

Nextdc ROCE % Historical Data

The historical data trend for Nextdc'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.

* Premium members only.

Nextdc ROCE % Chart

Nextdc Annual Data

Trend

Jun14

Jun15

Jun16

Jun17

Jun18

Jun19

Jun20

Jun21

Jun22

Jun23

ROCE %

Get a 7-Day Free Trial

2.62

1.93

-0.27

-0.18

1.51

Nextdc Semi-Annual Data
	Jun14	Dec14	Jun15	Dec15	Jun16	Dec16	Jun17	Dec17	Jun18	Dec18	Jun19	Dec19	Jun20	Dec20	Jun21	Dec21	Jun22	Dec22	Jun23	Dec23
ROCE %	Get a 7-Day Free Trial															2.14	-2.37	1.85	1.33	1.63

Nextdc ROCE % Calculation

Nextdc's annualized ROCE % for the fiscal year that ended in Jun. 2023 is calculated as:

ROCE %	=	EBIT	/	( (Capital Employed	+	Capital Employed)	/ count )
		(A: Jun. 2023 )		(A: Jun. 2022 )		(A: Jun. 2023 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(A: Jun. 2023 )		(A: Jun. 2022 )		(A: Jun. 2023 )
	=	50.207	/	( ( (2977.001 - 104.333)	+	(3849.999 - 91.766) )	/ 2 )
	=	50.207	/	( (2872.668	+	3758.233)	/ 2 )
	=	50.207	/	3315.4505
	=	1.51 %

Nextdc's ROCE % of for the quarter that ended in Dec. 2023 is calculated as:

ROCE %	=	EBIT ⁽¹⁾	/	( (Capital Employed	+	Capital Employed)	/ count )
		(Q: Dec. 2023 )		(Q: Jun. 2023 )		(Q: Dec. 2023 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(Q: Dec. 2023 )		(Q: Jun. 2023 )		(Q: Dec. 2023 )
	=	61.04	/	( ( (3849.999 - 91.766)	+	(3812.724 - 87.369) )	/ 2 )
	=	61.04	/	( ( 3758.233	+	3725.355 )	/ 2 )
	=	61.04	/	3741.794
	=	1.63 %

(1) Note: The EBIT data used here is two times the semi-annual (Dec. 2023) EBIT data.

Nextdc (ASX:NXT) 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.

Nextdc ROCE % Related Terms

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

Nextdc (ASX:NXT) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Technology » Software » Nextdc Ltd (ASX:NXT) » Definitions » ROCE %

Comparable Companies

Traded in Other Exchanges

NXDCF:USA 2NX:Germany

Address

20 Wharf Street, Brisbane, QLD, AUS, 4000

Website

https://www.nextdc.com

NextDC operates 13 data centers across five major Australian cities with a focus on colocation of and interconnection between enterprises, global cloud, and ICT providers and telecommunication networks. It has another 7 data centers in development or planning stage. NextDC provides physical space, cooling, power and security services and offers optional technical and project management support. The company's tenants store their servers within the data center and can connect to each other, to and between global public cloud providers and telecommunication network providers via physical and virtual connections. Colocation services allow enterprises to enhance security of data transmission and reduce latency, that is, speed up the transfer of data. NextDC services tenants of all sizes.