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Service Stream (ASX:SSM) ROC (Joel Greenblatt) % : 47.62% (As of Dec. 2024)


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What is Service Stream 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. Service Stream's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2024 was 47.62%.

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

ASX:SSM' s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: -22.59   Med: 70.35   Max: 614.89
Current: 42.47

During the past 13 years, Service Stream's highest ROC (Joel Greenblatt) % was 614.89%. The lowest was -22.59%. And the median was 70.35%.

ASX:SSM's ROC (Joel Greenblatt) % is ranked better than
72.41% of 1718 companies
in the Construction industry
Industry Median: 17.96 vs ASX:SSM: 42.47

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


Service Stream ROC (Joel Greenblatt) % Historical Data

The historical data trend for Service Stream'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.

Service Stream ROC (Joel Greenblatt) % Chart

Service Stream Annual Data
Trend Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24
ROC (Joel Greenblatt) %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 204.94 82.36 -22.59 9.70 30.21

Service Stream Semi-Annual Data
Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24
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 -2.27 22.07 26.90 35.94 47.62

Competitive Comparison of Service Stream's ROC (Joel Greenblatt) %

For the Engineering & Construction subindustry, Service Stream'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.


Service Stream's ROC (Joel Greenblatt) % Distribution in the Construction Industry

For the Construction industry and Industrials sector, Service Stream's ROC (Joel Greenblatt) % distribution charts can be found below:

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


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Service Stream 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: Jun. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(164.7 + 19.485 + 279.248) - (285.571 + 4.034 + 70.222)
=103.606

Working Capital(Q: Dec. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(126.487 + 18.736 + 313.035) - (288.91 + 2.879 + 77.191)
=89.278

When net working capital is negative, 0 is used.

So ROC (Joel Greenblatt) % of Service Stream for the quarter that ended in Dec. 2024 can be restated as:

ROC (Joel Greenblatt) %(Q: Dec. 2024 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Jun. 2024  Q: Dec. 2024
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=91.86/( ( (93.823 + max(103.606, 0)) + (99.103 + max(89.278, 0)) )/ 2 )
=91.86/( ( 197.429 + 188.381 )/ 2 )
=91.86/192.905
=47.62 %

Note: The EBIT data used here is two times the semi-annual (Dec. 2024) 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.


Service Stream  (ASX:SSM) 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.


Service Stream ROC (Joel Greenblatt) % Related Terms

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Service Stream Business Description

Traded in Other Exchanges
Address
357 Collins Street, Level 4, Melbourne, VIC, AUS, 3000
Service Stream Ltd is engaged in the provision of telecommunications and network services. Its segments are Telecommunications, Transport, and Utilities. The Telecommunications segment provides a range of operations, maintenance, installation, design, and construction services to the owners of fixed-line and wireless telecommunication networks in Australia. Transport provides long-term operational support and maintenance services to public and private road and tunnel asset owners. The utilities segment provides operations, maintenance, design, and construction services, specialist metering, new energy, and inspection services to gas, water, and electricity network owners, among others. It generates revenue from the Telecommunications segment.

Service Stream Headlines

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