Canadian Utilities (TSX:CU.PR.I.PFD) ROCE %

: 6.45% (As of Dec. 2023)

View and export this data going back to 2015. Start your Free Trial

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. Canadian Utilities's annualized ROCE % for the quarter that ended in Dec. 2023 was 6.45%.

Canadian Utilities ROCE % Historical Data

The historical data trend for Canadian Utilities'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.

Canadian Utilities Annual Data

Trend

Dec14

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

ROCE %

7.56

5.07

4.79

6.16

6.45

Canadian Utilities Quarterly Data
	Mar19	Jun19	Sep19	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23
ROCE %																5.72	9.48	4.61	5.20	6.45

Canadian Utilities ROCE % Calculation

Canadian Utilities's annualized ROCE % for the fiscal year that ended in Dec. 2023 is calculated as:

ROCE %	=	EBIT	/	( (Capital Employed	+	Capital Employed)	/ count )
		(A: Dec. 2023 )		(A: Dec. 2022 )		(A: Dec. 2023 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(A: Dec. 2023 )		(A: Dec. 2022 )		(A: Dec. 2023 )
	=	1368	/	( ( (21974 - 1317)	+	(23158 - 1422) )	/ 2 )
	=	1368	/	( (20657	+	21736)	/ 2 )
	=	1368	/	21196.5
	=	6.45 %

Canadian Utilities'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 )
	=	1384	/	( ( (22846 - 1647)	+	(23158 - 1422) )	/ 2 )
	=	1384	/	( ( 21199	+	21736 )	/ 2 )
	=	1384	/	21467.5
	=	6.45 %

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

Canadian Utilities (TSX:CU.PR.I.PFD) 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.

Canadian Utilities ROCE % Related Terms

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

Canadian Utilities (TSX:CU.PR.I.PFD) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Utilities » Utilities - Regulated » Canadian Utilities Ltd (TSX:CU.PR.I.PFD) » Definitions » ROCE %

Comparable Companies

Traded in Other Exchanges

CNAUF.PFD:USA CDUTF.PFD:USA CDUAF:USA CUD:Germany CU.PR.H.PFD:Canada CU.PR.G.PFD:Canada CU.PR.F.PFD:Canada CU.PR.E.PFD:Canada CU.PR.D.PFD:Canada CU.PR.C.PFD:Canada CU:Canada

Address

5302 Forand Street S.W., 4th Floor, West Building, Calgary, AB, CAN, T3E 8B4

Website

https://www.canadianutilities.com

Canadian Utilities Ltd, a subsidiary of holding company Atco, offers gas and electricity services. The company's main divisions include electricity (generation, transmission, and distribution), pipelines & liquid (natural gas and water), and Retail Energy. Headquartered in Calgary, Alberta, the firm mainly operates in Canada and Australia, along with some operations in the United States and Mexico. Canadian Utilities launched a large venture called Atco Energy, which provides low-cost and sustainable energy solutions for Alberta.

Canadian Utilities (TSX:CU.PR.I.PFD) Headlines

No Headlines