Sprint (Sprint) ROCE % : 0.32% (As of Dec. 2019)

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What is Sprint 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. Sprint's annualized ROCE % for the quarter that ended in Dec. 2019 was 0.32%.

Sprint ROCE % Historical Data

The historical data trend for Sprint'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.

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Sprint ROCE % Chart

Sprint Annual Data

Trend

Dec09

Dec10

Dec11

Dec12

Dec13

Mar15

Mar16

Mar17

Mar18

Mar19

ROCE %

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-2.54

0.47

2.47

3.62

0.80

Sprint Quarterly Data
	Mar15	Jun15	Sep15	Dec15	Mar16	Jun16	Sep16	Dec16	Mar17	Jun17	Sep17	Dec17	Mar18	Jun18	Sep18	Dec18	Mar19	Jun19	Sep19	Dec19
ROCE %	Get a 7-Day Free Trial															2.71	-8.85	2.58	1.32	0.32

Sprint ROCE % Calculation

Sprint's annualized ROCE % for the fiscal year that ended in Mar. 2019 is calculated as:

ROCE %	=	EBIT	/	( (Capital Employed	+	Capital Employed)	/ count )
		(A: Mar. 2019 )		(A: Mar. 2018 )		(A: Mar. 2019 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(A: Mar. 2019 )		(A: Mar. 2018 )		(A: Mar. 2019 )
	=	585	/	( ( (85459 - 10800)	+	(84601 - 12115) )	/ 2 )
	=	585	/	( (74659	+	72486)	/ 2 )
	=	585	/	73572.5
	=	0.80 %

Sprint's ROCE % of for the quarter that ended in Dec. 2019 is calculated as:

ROCE %	=	EBIT ⁽¹⁾	/	( (Capital Employed	+	Capital Employed)	/ count )
		(Q: Dec. 2019 )		(Q: Sep. 2019 )		(Q: Dec. 2019 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(Q: Dec. 2019 )		(Q: Sep. 2019 )		(Q: Dec. 2019 )
	=	240	/	( ( (87928 - 13052)	+	(86902 - 12471) )	/ 2 )
	=	240	/	( ( 74876	+	74431 )	/ 2 )
	=	240	/	74653.5
	=	0.32 %

(1) Note: The EBIT data used here is four times the quarterly (Dec. 2019) EBIT data.

Sprint (NYSE:S) 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.

Sprint ROCE % Related Terms

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Sprint (Sprint) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Communication Services » Telecommunication Services » Sprint Corp (NYSE:S) » Definitions » ROCE %

Comparable Companies

Traded in Other Exchanges

N/A

Address

6200 Sprint Parkway, Overland Park, KS, USA, 66251

Website

https://www.sprint.com

A decade of operational problems has considerably diminished Sprint's position in the wireless industry. It is now the fourth- largest carrier in the United States, serving 26 million postpaid and 9 million prepaid phone customers directly and 13 million via wholesale channels. Over the past five years, the firm's share of the postpaid phone market has declined about 1 percentage point to 12%, leaving it about three fourths the size of T-Mobile U.S., the next smallest carrier. About 4% of sales come from the wireline unit, which provides phone and data services to the wireless unit and external customers. Japanese firm Softbank took a 78% stake in Sprint through the purchase of existing Sprint shares and a $5 billion equity infusion in 2013; it has since increased its stake to 85%.