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AgroFresh Solutions (AgroFresh Solutions) ROC (Joel Greenblatt) % : 6.09% (As of Dec. 2022)


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What is AgroFresh Solutions ROC (Joel Greenblatt) %?

Joel Greenblatt defined Return on Capital differently in his book The Little Book That Still Beats the Market (Little Books. Big Profits). He defines ROC (Joel Greenblatt) % as EBIT divided by the total of Property, Plant and Equipment and net working capital. AgroFresh Solutions's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2022 was 6.09%.

The historical rank and industry rank for AgroFresh Solutions's ROC (Joel Greenblatt) % or its related term are showing as below:

AGFS' s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: -115.1   Med: 8.87   Max: 490.16
Current: -20.71

During the past 10 years, AgroFresh Solutions's highest ROC (Joel Greenblatt) % was 490.16%. The lowest was -115.10%. And the median was 8.87%.

AGFS's ROC (Joel Greenblatt) % is not ranked
in the Consumer Packaged Goods industry.
Industry Median: 11.26 vs AGFS: -20.71

AgroFresh Solutions's 5-Year average Growth Rate of ROC (Joel Greenblatt) % was 0.00% per year.


AgroFresh Solutions ROC (Joel Greenblatt) % Historical Data

The historical data trend for AgroFresh Solutions's ROC (Joel Greenblatt) % 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.

AgroFresh Solutions ROC (Joel Greenblatt) % Chart

AgroFresh Solutions Annual Data
Trend Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22
ROC (Joel Greenblatt) %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 14.80 -68.81 2.94 29.23 -22.63

AgroFresh Solutions Quarterly Data
Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22
ROC (Joel Greenblatt) % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 53.42 11.09 -113.34 9.86 6.09

Competitive Comparison of AgroFresh Solutions's ROC (Joel Greenblatt) %

For the Farm Products subindustry, AgroFresh Solutions's ROC (Joel Greenblatt) %, along with its competitors' market caps and ROC (Joel Greenblatt) % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


AgroFresh Solutions's ROC (Joel Greenblatt) % Distribution in the Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, AgroFresh Solutions's ROC (Joel Greenblatt) % distribution charts can be found below:

* The bar in red indicates where AgroFresh Solutions's ROC (Joel Greenblatt) % falls into.



AgroFresh Solutions ROC (Joel Greenblatt) % Calculation

Joel Greenblatt defined Return on Capital differently in his book The Little Book That Still Beats the Market (Little Books. Big Profits) . He defines Return on Capital as follows:

ROC (Joel Greenblatt) %=EBIT/Average of (Net fixed Assets + Net Working Capital)

EBIT stands for Earnings Before Interest and Taxes.

Fixed Assets are also known as non-current assets. They include the Property, Plant and Equipment that the firm needs in its operation.

GuruFocus calculates net working capital as: (Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Deferred Revenue + Other Current Liabilities). We're trying to account for OPERATING assets and liabilities (part of daily business) when calculating working capital. Cash and marketable securities are considered NON-OPERATING assets and are not included in calculation. We will also back out all interest bearing debt, short term debt and the portion of long term debt that is due in the current period from the current liabilities. This debt will be considered when computing cost of capital and it would be inappropriate to count it twice.

Working Capital(Q: Sep. 2022 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(60.491 + 24.757 + 11.646) - (27.531 + 1.605 + 13.864)
=53.894

Working Capital(Q: Dec. 2022 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(58.407 + 25.428 + 7.76) - (40.789 + 1.22 + 18.388)
=31.198

When net working capital is negative, 0 is used.

So ROC (Joel Greenblatt) % of AgroFresh Solutions for the quarter that ended in Dec. 2022 can be restated as:

ROC (Joel Greenblatt) %(Q: Dec. 2022 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Sep. 2022  Q: Dec. 2022
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=3.7/( ( (17.748 + max(53.894, 0)) + (18.602 + max(31.198, 0)) )/ 2 )
=3.7/( ( 71.642 + 49.8 )/ 2 )
=3.7/60.721
=6.09 %

Note: The EBIT data used here is four times the quarterly (Dec. 2022) EBIT data.

* 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.


AgroFresh Solutions  (NAS:AGFS) ROC (Joel Greenblatt) % Explanation

The way Joel Greenblatt defines Return on Capital is a more accurate measure of how efficiently the company generates returns onthe capital actually invested in the business. EBIT is used instead of net income because the tax and interest payment may be affected by factors other than the core business operation. Intangible assets are not included in the calculation because they don't need to be replaced.

Joel Greenblatt uses his definition of Return on Capital and Earnings Yield (Joel Greenblatt) % to rank companies.


AgroFresh Solutions ROC (Joel Greenblatt) % Related Terms

Thank you for viewing the detailed overview of AgroFresh Solutions's ROC (Joel Greenblatt) % provided by GuruFocus.com. Please click on the following links to see related term pages.


AgroFresh Solutions (AgroFresh Solutions) Business Description

Traded in Other Exchanges
N/A
Address
510-530 Walnut Street, Suite 1350, One Washington Square, Philadelphia, PA, USA, 19106
AgroFresh Solutions Inc creates agricultural technologies that preserve the quality and value of fresh produce and flowers. One such product is SmartFresh, which blocks the effects of ethylene and delays ripening while leaving no visible residue. Geographically, it operates in North America, Latin America, EMEA, and Asia-Pacific. The majority of sales are recognized in the EMEA region. The firm provides its solutions to growers, packers, and retailers. Its operating segment includes AgroFresh Core and Tecnidex. The company generates maximum revenue from AgroFresh Core segment.
Executives
David Mcinerney director 510-530 WALNUT STREET, SUITE 1350, PHILADELPHIA PA 19106
Peter Sykes director ONE WASHINGTON SQUARE, 510-530 WALNUT STREET, SUITE 1350, PHILADELPHIA PA 19106
Lewis Clinton A. Jr. director, officer: CEO C/O ZOETIS INC., 100 CAMPUS DRIVE, FLORHAM PARK NJ 07940
John Atkin director 510-530 WALNUT STREET, SUITE 1350, PHILADELPHIA PA 19106
Graham G Miao officer: Chief Financial Officer C/O PERNIX THERAPEUTICS HOLDINGS, INC., 10 NORTH PARK PLACE, SUITE 201, MORRISTOWN NJ 07960
Kay Kuenker director C/O AGROFRESH SOLUTIONS, INC., 510-530 WALNUT ST., SUITE 1350, PHILADELPHIA PA 19106
Dow Inc. 10 percent owner 2211 H.H. DOW WAY, MIDLAND MI 48674
Peter Berweger director 475 FIFTH AVENUE, 17TH FLOOR, NEW YORK NY 10017
Paine Schwartz Partners, Llc director, 10 percent owner 475 FIFTH AVENUE, 17TH FLOOR, NEW YORK CITY NY 10017
Paine Schwartz Food Chain Fund V Gp, Ltd. 10 percent owner 475 FIFTH AVENUE, 17TH FLOOR, NEW YORK CITY NY 10017
Alexander Corbacho director 475 FIFTH AVENUE, 17TH FLOOR, NEW YORK NY 10017
Kevin Schwartz 10 percent owner 475 FIFTH AVENUE, 17TH FLOOR, NEW YORK CITY NY 10017
Psp Agfs Holdings, L.p. 10 percent owner 475 FIFTH AVENUE, 17TH FLOOR, NEW YORK CITY NY 10017
Paine Schwartz Food Chain Fund V Gp, L.p. 10 percent owner 475 FIFTH AVENUE, 17TH FLOOR, NEW YORK CITY NY 10017
Paine W Dexter Iii 10 percent owner 950 TOWER LANE, SUITE 1150, FOSTER CITY CA 94404