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Trabzonspor Sportif Yatirim Ve Futbol Isletmeciligi Ticaret AS (IST:TSPOR) ROIC % : -57.85% (As of Feb. 2024)


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What is Trabzonspor Sportif Yatirim Ve Futbol Isletmeciligi Ticaret AS 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 %. Trabzonspor Sportif Yatirim Ve Futbol Isletmeciligi Ticaret AS's annualized return on invested capital (ROIC %) for the quarter that ended in Feb. 2024 was -57.85%.

As of today (2024-06-03), Trabzonspor Sportif Yatirim Ve Futbol Isletmeciligi Ticaret AS's WACC % is 14.18%. Trabzonspor Sportif Yatirim Ve Futbol Isletmeciligi Ticaret AS's ROIC % is -58.53% (calculated using TTM income statement data). Trabzonspor Sportif Yatirim Ve Futbol Isletmeciligi Ticaret AS earns returns that do not match up to its cost of capital. It will destroy value as it grows.


Trabzonspor Sportif Yatirim Ve Futbol Isletmeciligi Ticaret AS ROIC % Historical Data

The historical data trend for Trabzonspor Sportif Yatirim Ve Futbol Isletmeciligi Ticaret AS'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.

Trabzonspor Sportif Yatirim Ve Futbol Isletmeciligi Ticaret AS ROIC % Chart

Trabzonspor Sportif Yatirim Ve Futbol Isletmeciligi Ticaret AS Annual Data
Trend May14 May15 May16 May17 May18 May19 May20 May21 May22 May23
ROIC %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 9.94 14.01 -15.29 -15.04 -60.77

Trabzonspor Sportif Yatirim Ve Futbol Isletmeciligi Ticaret AS Quarterly Data
May19 Aug19 Nov19 Feb20 May20 Aug20 Nov20 Feb21 May21 Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24
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 -25.90 -98.20 -39.33 -50.09 -57.85

Competitive Comparison of Trabzonspor Sportif Yatirim Ve Futbol Isletmeciligi Ticaret AS's ROIC %

For the Entertainment subindustry, Trabzonspor Sportif Yatirim Ve Futbol Isletmeciligi Ticaret AS'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.


Trabzonspor Sportif Yatirim Ve Futbol Isletmeciligi Ticaret AS's ROIC % Distribution in the Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, Trabzonspor Sportif Yatirim Ve Futbol Isletmeciligi Ticaret AS's ROIC % distribution charts can be found below:

* The bar in red indicates where Trabzonspor Sportif Yatirim Ve Futbol Isletmeciligi Ticaret AS's ROIC % falls into.



Trabzonspor Sportif Yatirim Ve Futbol Isletmeciligi Ticaret AS ROIC % Calculation

Trabzonspor Sportif Yatirim Ve Futbol Isletmeciligi Ticaret AS's annualized Return on Invested Capital (ROIC %) for the fiscal year that ended in May. 2023 is calculated as:

ROIC % (A: May. 2023 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: May. 2022 ) + Invested Capital (A: May. 2023 ))/ count )
=-840.475 * ( 1 - -1.6% )/( (1295.677 + 1514.684)/ 2 )
=-853.9226/1405.1805
=-60.77 %

where

Invested Capital(A: May. 2022 )
=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))
=1869.367 - 551.676 - ( 22.014 - max(0, 948.721 - 1187.136+22.014))
=1295.677

Invested Capital(A: May. 2023 )
=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))
=2704.822 - 1528.152 - ( 14.363 - max(0, 1951.352 - 1613.338+14.363))
=1514.684

Trabzonspor Sportif Yatirim Ve Futbol Isletmeciligi Ticaret AS's annualized Return on Invested Capital (ROIC %) for the quarter that ended in Feb. 2024 is calculated as:

ROIC % (Q: Feb. 2024 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Nov. 2023 ) + Invested Capital (Q: Feb. 2024 ))/ count )
=-1789.124 * ( 1 - -0.02% )/( (3065.399 + 3121.271)/ 2 )
=-1789.4818248/3093.335
=-57.85 %

where

Invested Capital(Q: Nov. 2023 )
=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))
=3388.325 - 1344.212 - ( 21.82 - max(0, 2914.054 - 1892.768+21.82))
=3065.399

Invested Capital(Q: Feb. 2024 )
=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))
=4092.239 - 954.6 - ( 16.368 - max(0, 2621.772 - 2644.984+16.368))
=3121.271

Note: The Operating Income data used here is four times the quarterly (Feb. 2024) 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.


Trabzonspor Sportif Yatirim Ve Futbol Isletmeciligi Ticaret AS  (IST:TSPOR) 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, Trabzonspor Sportif Yatirim Ve Futbol Isletmeciligi Ticaret AS's WACC % is 14.18%. Trabzonspor Sportif Yatirim Ve Futbol Isletmeciligi Ticaret AS's ROIC % is -58.53% (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.


Trabzonspor Sportif Yatirim Ve Futbol Isletmeciligi Ticaret AS ROIC % Related Terms

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Trabzonspor Sportif Yatirim Ve Futbol Isletmeciligi Ticaret AS (IST:TSPOR) Business Description

Traded in Other Exchanges
N/A
Address
Suat Ozyaz?c? Caddesi No 31-35, Mehmet Ali Y?lmaz Tesisleri, Universite Mahallesi Ahmet, Trabzon, TUR, 61040
Trabzonspor Sportif Yatirim Ve Futbol Isletmeciligi Ticaret AS is a Turkey-based company that facilitates the live broadcasting, sponsorship, advertising and marketing agreements of Trabzonspor Football Club.

Trabzonspor Sportif Yatirim Ve Futbol Isletmeciligi Ticaret AS (IST:TSPOR) Headlines

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