GURUFOCUS.COM » STOCK LIST » Industrials » Business Services » Knights Group Holdings PLC (LSE:KGH) » Definitions » ROC (Joel Greenblatt) %

Knights Group Holdings (LSE:KGH) ROC (Joel Greenblatt) % : 39.57% (As of Apr. 2024)


View and export this data going back to 2018. Start your Free Trial

What is Knights Group 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. Knights Group Holdings's annualized ROC (Joel Greenblatt) % for the quarter that ended in Apr. 2024 was 39.57%.

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

LSE:KGH' s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: 6.48   Med: 40.07   Max: 338.65
Current: 38.18

During the past 9 years, Knights Group Holdings's highest ROC (Joel Greenblatt) % was 338.65%. The lowest was 6.48%. And the median was 40.07%.

LSE:KGH's ROC (Joel Greenblatt) % is ranked better than
64.28% of 1047 companies
in the Business Services industry
Industry Median: 21.38 vs LSE:KGH: 38.18

Knights Group Holdings's 5-Year average Growth Rate of ROC (Joel Greenblatt) % was -24.40% per year.


Knights Group Holdings ROC (Joel Greenblatt) % Historical Data

The historical data trend for Knights Group 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.

Knights Group Holdings ROC (Joel Greenblatt) % Chart

Knights Group Holdings Annual Data
Trend Apr16 Apr17 Apr18 Apr19 Apr20 Apr21 Apr22 Apr23 Apr24
ROC (Joel Greenblatt) %
Get a 7-Day Free Trial Premium Member Only 33.82 18.65 6.48 29.26 40.07

Knights Group Holdings Semi-Annual Data
Apr16 Apr17 Oct17 Apr18 Oct18 Apr19 Oct19 Apr20 Oct20 Apr21 Oct21 Apr22 Oct22 Apr23 Oct23 Apr24
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 5.47 19.94 34.80 34.99 39.57

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

For the Specialty Business Services subindustry, Knights Group 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.


Knights Group Holdings's ROC (Joel Greenblatt) % Distribution in the Business Services Industry

For the Business Services industry and Industrials sector, Knights Group Holdings's ROC (Joel Greenblatt) % distribution charts can be found below:

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



Knights Group 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: Oct. 2023 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(30.516 + 0 + 1.559) - (17.949 + 0 + 5.002)
=9.124

Working Capital(Q: Apr. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(25.931 + 0 + 0.66799999999999) - (14.29 + 0 + 10.758)
=1.551

When net working capital is negative, 0 is used.

So ROC (Joel Greenblatt) % of Knights Group Holdings for the quarter that ended in Apr. 2024 can be restated as:

ROC (Joel Greenblatt) %(Q: Apr. 2024 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Oct. 2023  Q: Apr. 2024
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=21.196/( ( (47.52 + max(9.124, 0)) + (48.93 + max(1.551, 0)) )/ 2 )
=21.196/( ( 56.644 + 50.481 )/ 2 )
=21.196/53.5625
=39.57 %

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


Knights Group Holdings  (LSE:KGH) 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.


Knights Group Holdings ROC (Joel Greenblatt) % Related Terms

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


Knights Group Holdings Business Description

Traded in Other Exchanges
Address
The Brampton, Newcastle-Under-Lyme, Staffordshire, GBR, ST5 0QW
Knights Group Holdings PLC is engaged in providing regional legal and professional service businesses. The group provides corporate and commercial legal services at scale and across a broad sector basis, like the larger national law firms. The company generates fee income across various individual departments, which includes niche areas to service the specific needs of its clients. Its service lines include real estate, Dispute Resolution, Corporate, Employment, CL Medilaw, and private client.

Knights Group Holdings Headlines

No Headlines