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Diversey Holdings (Diversey Holdings) ROC (Joel Greenblatt) % : -12.87% (As of Mar. 2023)


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What is Diversey Holdings 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. Diversey Holdings's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2023 was -12.87%.

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

DSEY' s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: -16.28   Med: 4.53   Max: 22.96
Current: -16.28

During the past 5 years, Diversey Holdings's highest ROC (Joel Greenblatt) % was 22.96%. The lowest was -16.28%. And the median was 4.53%.

DSEY's ROC (Joel Greenblatt) % is not ranked
in the Personal Services industry.
Industry Median: 13.24 vs DSEY: -16.28

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


Diversey Holdings ROC (Joel Greenblatt) % Historical Data

The historical data trend for Diversey Holdings'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.

Diversey Holdings ROC (Joel Greenblatt) % Chart

Diversey Holdings Annual Data
Trend Dec18 Dec19 Dec20 Dec21 Dec22
ROC (Joel Greenblatt) %
- 14.44 22.96 -5.39 -15.49

Diversey Holdings Quarterly Data
Dec18 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23
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 -6.08 -5.81 -8.69 -37.34 -12.87

Competitive Comparison of Diversey Holdings's ROC (Joel Greenblatt) %

For the Personal Services subindustry, Diversey Holdings'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.


Diversey Holdings's ROC (Joel Greenblatt) % Distribution in the Personal Services Industry

For the Personal Services industry and Consumer Cyclical sector, Diversey Holdings's ROC (Joel Greenblatt) % distribution charts can be found below:

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



Diversey Holdings 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: Dec. 2022 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(457.4 + 354.6 + 87.5) - (943.2 + 0 + 21.2)
=-64.9

Working Capital(Q: Mar. 2023 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(434.6 + 405.5 + 94) - (944.2 + 0 + 28.1)
=-38.2

When net working capital is negative, 0 is used.

So ROC (Joel Greenblatt) % of Diversey Holdings for the quarter that ended in Mar. 2023 can be restated as:

ROC (Joel Greenblatt) %(Q: Mar. 2023 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Dec. 2022  Q: Mar. 2023
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=-64.4/( ( (497.6 + max(-64.9, 0)) + (503.4 + max(-38.2, 0)) )/ 2 )
=-64.4/( ( 497.6 + 503.4 )/ 2 )
=-64.4/500.5
=-12.87 %

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


Diversey Holdings  (NAS:DSEY) 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.


Diversey Holdings ROC (Joel Greenblatt) % Related Terms

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


Diversey Holdings (Diversey Holdings) Business Description

Traded in Other Exchanges
N/A
Address
1300 Altura Road, Suite 125, Fort Mill, SC, USA, 29708
Diversey Holdings Ltd provides high-performance cleaning, sanitation, and hygiene products for food safety and service, food and beverage plant operations, healthcare, floor care, housekeeping and room care, laundry, and hand care markets. In addition, it offers a wide range of value-added solutions, including food safety and application training and consulting, as well as auditing of hygiene and water management. It has two segments Institutional and Food & Beverage. The company generates maximum revenues from Europe followed by North America, Asia Pacific, Middle East & Africa, and Latin America.
Executives
Emily A. Ashworth director 1025 LAUREL OAK ROAD, VOORHEES NJ 08043
Tracy Long officer: President, North America 1300 ALTURA ROAD, SUITE 125, FORT MILL SC 29708
Eric J Foss director
Katherine S Zanotti director 431 E 9TH STREET, HINSDALE IL 60521
Rodney F Hochman director 21919 30TH DR SE, BOTHELL WA 98021
Somer Gundogdu officer: President, Emerging Markets C/O DIVERSEY HOLDINGS, LTD., 1300 ALTURA ROAD, SUITE 125, FORT MILL SC 29708
Bain Capital Investors Llc 10 percent owner 200 CLARENDON STREET, BOSTON MA 02116
Bain Capital Partners Europe Iv, L.p. 10 percent owner 200 CLARENDON STREET, BAIN CAPITAL, L.P., BOSTON MA 02116
Bcpe Diamond Cayman Holding Ltd 10 percent owner 200 CLARENDON STREET, BOSTON MA 02116
Bain Capital Partners Xi, L.p. 10 percent owner 200 CLARENDON STREET, BOSTON MA 02116
Susan Bruno Levine director, 10 percent owner C/O DIVERSEY HOLDINGS, LTD., 1300 ALTURA ROAD, SUITE 125, FORT MILL SC 29708
Robert Michael Farkas director C/O DIVERSEY HOLDINGS, LTD., 1300 ALTURA ROAD, SUITE 125, FORT MILL SC 29708
Gaetano Redaelli officer: Chief Strtegc Development Ofcr C/O DIVERSEY HOLDINGS, LTD., 1300 ALTURA ROAD, SUITE 125, FORT MILL SC 29708
Jonathon Penn director C/O DIVERSEY HOLDINGS, LTD., 1300 ALTURA ROAD, SUITE 125, FORT MILL SC 29708
Sinead Mary Kwant officer: President, Western Europe C/O DIVERSEY HOLDINGS, LTD., 1300 ALTURA ROAD, SUITE 125, FORT MILL SC 29708