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Inscape (Inscape) ROIC % : -83.50% (As of Oct. 2022)


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What is Inscape ROIC %?

ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. Inscape's annualized return on invested capital (ROIC %) for the quarter that ended in Oct. 2022 was -83.50%.

As of today (2024-05-18), Inscape's WACC % is 0.00%. Inscape's ROIC % is 0.00% (calculated using TTM income statement data). Inscape earns returns that do not match up to its cost of capital. It will destroy value as it grows.


Inscape ROIC % Historical Data

The historical data trend for Inscape's ROIC % 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.

Inscape ROIC % Chart

Inscape Annual Data
Trend Apr13 Apr14 Apr15 Apr16 Apr17 Apr18 Apr19 Apr20 Apr21 Apr22
ROIC %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -21.05 -33.82 -23.72 -8.17 -42.38

Inscape Quarterly Data
Jan18 Apr18 Jul18 Oct18 Jan19 Apr19 Jul19 Oct19 Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22
ROIC % 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 -29.52 -27.69 5.06 -70.76 -83.50

Competitive Comparison of Inscape's ROIC %

For the Furnishings, Fixtures & Appliances subindustry, Inscape's ROIC %, along with its competitors' market caps and ROIC % 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.


Inscape's ROIC % Distribution in the Furnishings, Fixtures & Appliances Industry

For the Furnishings, Fixtures & Appliances industry and Consumer Cyclical sector, Inscape's ROIC % distribution charts can be found below:

* The bar in red indicates where Inscape's ROIC % falls into.



Inscape ROIC % Calculation

Inscape's annualized Return on Invested Capital (ROIC %) for the fiscal year that ended in Apr. 2022 is calculated as:

ROIC % (A: Apr. 2022 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: Apr. 2021 ) + Invested Capital (A: Apr. 2022 ))/ count )
=-10.192 * ( 1 - -9.56% )/( (24.166 + 28.533)/ 2 )
=-11.1663552/26.3495
=-42.38 %

where

Inscape's annualized Return on Invested Capital (ROIC %) for the quarter that ended in Oct. 2022 is calculated as:

ROIC % (Q: Oct. 2022 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Jul. 2022 ) + Invested Capital (Q: Oct. 2022 ))/ count )
=-18.196 * ( 1 - -1.12% )/( (23.839 + 20.235)/ 2 )
=-18.3997952/22.037
=-83.50 %

where

Note: The Operating Income data used here is four times the quarterly (Oct. 2022) 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.


Inscape  (GREY:ICPBQ) ROIC % Explanation

ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. 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 ROIC % 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, Inscape's WACC % is 0.00%. Inscape's ROIC % is 0.00% (calculated using TTM income statement data).


Be Aware

Like ROE % and ROA %, ROIC % 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.


Inscape ROIC % Related Terms

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Inscape (Inscape) Business Description

Traded in Other Exchanges
N/A
Address
67 Toll Road, Holland Landing, ON, CAN, L9N 1H2
Inscape Corp is an office furniture manufacturer. Its operating segment includes Furniture and Walls. The furniture segment includes storage, benching, systems, and seating solutions. The Walls segment includes architectural and movable walls. It generates maximum revenue from the Furniture segment. Geographically, it derives a majority of revenue from the United States and also has a presence in Canada. It provides services to small and large organizations.

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