Encourage Technologies Co (TSE:3682) ROCE % : 7.60% (As of Dec. 2023)

View and export this data going back to 2013. Start your Free Trial

What is Encourage Technologies Co 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. Encourage Technologies Co's annualized ROCE % for the quarter that ended in Dec. 2023 was 7.60%.

Encourage Technologies Co ROCE % Historical Data

The historical data trend for Encourage Technologies Co'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.

* Premium members only.

Encourage Technologies Co ROCE % Chart

Encourage Technologies Co Annual Data

Trend

Mar14

Mar15

Mar16

Mar17

Mar18

Mar19

Mar20

Mar21

Mar22

Mar23

ROCE %

Get a 7-Day Free Trial

17.47

5.38

5.03

10.68

7.27

Encourage Technologies Co Quarterly Data
	Mar19	Jun19	Sep19	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23
ROCE %	Get a 7-Day Free Trial															8.46	14.08	1.86	13.71	7.60

Encourage Technologies Co ROCE % Calculation

Encourage Technologies Co's annualized ROCE % for the fiscal year that ended in Mar. 2023 is calculated as:

ROCE %	=	EBIT	/	( (Capital Employed	+	Capital Employed)	/ count )
		(A: Mar. 2023 )		(A: Mar. 2022 )		(A: Mar. 2023 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(A: Mar. 2023 )		(A: Mar. 2022 )		(A: Mar. 2023 )
	=	243.493	/	( ( (4442.431 - 1117.696)	+	(4208.056 - 832.851) )	/ 2 )
	=	243.493	/	( (3324.735	+	3375.205)	/ 2 )
	=	243.493	/	3349.97
	=	7.27 %

Encourage Technologies Co's ROCE % of for the quarter that ended in Dec. 2023 is calculated as:

ROCE %	=	EBIT ⁽¹⁾	/	( (Capital Employed	+	Capital Employed)	/ count )
		(Q: Dec. 2023 )		(Q: Sep. 2023 )		(Q: Dec. 2023 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(Q: Dec. 2023 )		(Q: Sep. 2023 )		(Q: Dec. 2023 )
	=	255.176	/	( ( (4614.043 - 1276.139)	+	(4661.108 - 1285.497) )	/ 2 )
	=	255.176	/	( ( 3337.904	+	3375.611 )	/ 2 )
	=	255.176	/	3356.7575
	=	7.60 %

(1) Note: The EBIT data used here is four times the quarterly (Dec. 2023) EBIT data.

Encourage Technologies Co (TSE:3682) 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.

Encourage Technologies Co ROCE % Related Terms

Thank you for viewing the detailed overview of Encourage Technologies Co's ROCE % provided by GuruFocus.com. Please click on the following links to see related term pages.

Encourage Technologies Co (TSE:3682) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Technology » Software » Encourage Technologies Co Ltd (TSE:3682) » Definitions » ROCE %

Comparable Companies

Traded in Other Exchanges

N/A

Address

Tornare Nihonbashi Hamacho 7F, 3-3-2, Nihonbashi Hama-cho, Chuo-ku, Tokyo, JPN, 103-0007

Website

https://www.et-x.jp

Encourage Technologies Co., Ltd. develops software which monitors and audits user activity in IT systems. The company also provides maintenance support after the installation of the software as well consulting services.

Encourage Technologies Co (TSE:3682) Headlines

No Headlines