Sears Canada (Sears Canada) ROCE %

: -82.52% (As of Apr. 2017)

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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. Sears Canada's annualized ROCE % for the quarter that ended in Apr. 2017 was -82.52%.

Sears Canada ROCE % Historical Data

The historical data trend for Sears Canada'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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Sears Canada Annual Data

Trend

Jan08

Jan09

Jan10

Jan11

Jan12

Jan13

Jan14

Jan15

Jan16

Jan17

ROCE %

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7.31

29.18

-25.14

-4.44

-37.11

Sears Canada Quarterly Data
	Jul12	Oct12	Jan13	Apr13	Jul13	Oct13	Jan14	Apr14	Jul14	Oct14	Jan15	Apr15	Jul15	Oct15	Jan16	Apr16	Jul16	Oct16	Jan17	Apr17
ROCE %	Get a 7-Day Free Trial															-24.99	-38.85	-53.57	-26.42	-82.52

Sears Canada ROCE % Calculation

Sears Canada's annualized ROCE % for the fiscal year that ended in Jan. 2017 is calculated as:

ROCE %	=	EBIT	/	( (Capital Employed	+	Capital Employed)	/ count )
		(A: Jan. 2017 )		(A: Jan. 2016 )		(A: Jan. 2017 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(A: Jan. 2017 )		(A: Jan. 2016 )		(A: Jan. 2017 )
	=	-234.62	/	( ( (1149.493 - 415.752)	+	(943.943 - 413.184) )	/ 2 )
	=	-234.62	/	( (733.741	+	530.759)	/ 2 )
	=	-234.62	/	632.25
	=	-37.11 %

Sears Canada's ROCE % of for the quarter that ended in Apr. 2017 is calculated as:

ROCE %	=	EBIT ⁽¹⁾	/	( (Capital Employed	+	Capital Employed)	/ count )
		(Q: Apr. 2017 )		(Q: Jan. 2017 )		(Q: Apr. 2017 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(Q: Apr. 2017 )		(Q: Jan. 2017 )		(Q: Apr. 2017 )
	=	-421.524	/	( ( (943.943 - 413.184)	+	(883.679 - 392.796) )	/ 2 )
	=	-421.524	/	( ( 530.759	+	490.883 )	/ 2 )
	=	-421.524	/	510.821
	=	-82.52 %

(1) Note: The EBIT data used here is four times the quarterly (Apr. 2017) EBIT data.

Sears Canada (OTCPK:SRSCQ) 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.

Sears Canada ROCE % Related Terms

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Sears Canada (Sears Canada) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Retail - Cyclical » Sears Canada Inc (OTCPK:SRSCQ) » Definitions » ROCE %

Traded in Other Exchanges

N/A

Address

290 Yonge Street, Suite 700, Toronto, ON, CAN, M5B 2C3

Website

http://www.sears.ca

Sears Canada Inc is in the sale of goods and services through the Company's Retail channels. It comprised of one reportable segment, Merchandising. Which includes its full-line department, Sears Home, Hometown, Outlet, Corbeil Electrique Inc. stores, and its Direct (catalog/internet) channel. It also includes service revenue related primarily to logistics services provided through the Company. Commission revenue includes travel, home improvement services, insurance, wireless and long-distance plans. Licensee fee revenue is comprised of payments received from licensees that operate within the Company stores.

Sears Canada (Sears Canada) Headlines

From GuruFocus

Bruce Berkowitz Comments on Sears Canada

By Holly LaFon Holly LaFon • 07-11-2017

Berkowitz's Fairholme Fund Adds Stake In Struggling Sears Canada

By J. Lukas Neely – EndlessRise J. Lukas Neely • 11-11-2014

Fairholme Fund Increases Stakes During 1Q2015

By Amber Harris Amber Harris • 04-29-2015

Bruce Berkowitz Comments on Sears Canada

By Holly LaFon Holly LaFon • 08-08-2017

Bruce Berkowitz Increases 2 Holdings, Reduces AIG in Q2

By Holly LaFon Holly LaFon • 07-31-2015

Edward Lampert's Recent Buys

By Tiziano Frateschi Tiziano Frateschi • 03-19-2015

Fairholme's Bruce Berkowitz Announces New Holding Sears Canada and Increase to Leucadia

By Holly LaFon Holly LaFon • 02-01-2013