BYD Electronic (International) Co (BYD Electronic (International) Co) ROC % : 0.00% (As of Sep. 2023)

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What is BYD Electronic (International) Co 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 %. BYD Electronic (International) Co's annualized return on capital (ROC %) for the quarter that ended in Sep. 2023 was 0.00%.

As of today (2024-04-29), BYD Electronic (International) Co's WACC % is 7.86%. BYD Electronic (International) Co's ROC % is 0.00% (calculated using TTM income statement data). BYD Electronic (International) Co earns returns that do not match up to its cost of capital. It will destroy value as it grows.

BYD Electronic (International) Co ROC % Historical Data

The historical data trend for BYD Electronic (International) Co'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.

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BYD Electronic (International) Co ROC % Chart

BYD Electronic (International) Co Annual Data

Trend

Dec14

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

ROC %

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9.56

27.69

9.38

4.94

9.50

BYD Electronic (International) Co Quarterly Data
	Jun15	Dec15	Jun16	Dec16	Jun17	Dec17	Jun18	Dec18	Jun19	Dec19	Jun20	Dec20	Jun21	Dec21	Jun22	Sep22	Dec22	Jun23	Sep23	Dec23
ROC %	Get a 7-Day Free Trial															-	-	-	-	-

BYD Electronic (International) Co ROC % Calculation

BYD Electronic (International) Co's annualized Return on Capital (ROC %) for the fiscal year that ended in Dec. 2022 is calculated as:

	ROC % (A: Dec. 2022 )
=	NOPAT	/	Average Invested Capital
=	Operating Income * ( 1 - Tax Rate % )	/	( (Invested Capital (A: Dec. 2021 )	+	Invested Capital (A: Dec. 2022 ))	/ count )
=	193.478 * ( 1 - 4.18% )	/	( (3823.835	+	3681.574)	/ 2 )
=	185.3906196	/	3752.7045
=	4.94 %

where

	Invested Capital		(A: Dec. 2021 )
=	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	))
=	6464.648	-	2197.32	-	( 443.493	-	max(0, 2546.664	-	4337.985	+	443.493	))
=	3823.835

	Invested Capital		(A: Dec. 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	))
=	8175.104	-	3597.955	-	( 895.575	-	max(0, 4323.599	-	5807.515	+	895.575	))
=	3681.574

BYD Electronic (International) Co's annualized Return on Capital (ROC %) for the quarter that ended in Sep. 2023 is calculated as:

	ROC % (Q: Sep. 2023 )
=	NOPAT	/	Average Invested Capital
=	Operating Income * ( 1 - Tax Rate % )	/	( (Invested Capital (Q: Jun. 2023 )	+	Invested Capital (Q: Sep. 2023 ))	/ count )
=	0 * ( 1 - % )	/	( (3376.927	+	8895.047)	/ 2 )
=	0	/	6135.987
=	0.00 %

where

	Invested Capital		(Q: Jun. 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	))
=	8340.003	-	3955.882	-	( 1007.194	-	max(0, 4430.781	-	5968.042	+	1007.194	))
=	3376.927

	Invested Capital		(Q: Sep. 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	))
=	8895.047	-	0	-	( 0	-	max(0, 0	-	0	+	0	))
=	8895.047

Note: The Operating Income data used here is four times the quarterly (Sep. 2023) data.

BYD Electronic (International) Co (OTCPK:BYDIY) 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, BYD Electronic (International) Co's WACC % is 7.86%. BYD Electronic (International) Co's ROC % is 0.00% (calculated using TTM income statement data). BYD Electronic (International) Co 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.

BYD Electronic (International) Co ROC % Related Terms

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BYD Electronic (International) Co (BYD Electronic (International) Co) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Technology » Hardware » BYD Electronic (International) Co Ltd (OTCPK:BYDIY) » Definitions » ROC %

Comparable Companies

Traded in Other Exchanges

BYDIF:USA 00285:Hong Kong 4BY:Germany

Address

No. 3001, Bao He Road, Baolong Industrial Park, Longgang District, Shenzhen, CHN, 518116

Website

http://electronics.byd.com

BYD Electronic (International) Co Ltd is involved in the manufacture of mobile handset components. The company's earnings are dependent on the design, manufacture, and sale of mobile handsets and modules and other electronic components primarily in China. It also has markets across PRC (including Hong Kong, Macau and Taiwan), Asia Pacific, United States of America, Other countries, where the company is sourced by various handsets brands.

BYD Electronic (International) Co (BYD Electronic (International) Co) Headlines

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