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Optimum Interactive USA (Optimum Interactive USA) ROC (Joel Greenblatt) % : 0.00% (As of Mar. 2009)


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What is Optimum Interactive USA 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. Optimum Interactive USA's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2009 was 0.00%.

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

OPTL's ROC (Joel Greenblatt) % is not ranked *
in the Software industry.
Industry Median: 14.15
* Ranked among companies with meaningful ROC (Joel Greenblatt) % only.

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


Optimum Interactive USA ROC (Joel Greenblatt) % Historical Data

The historical data trend for Optimum Interactive USA'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.

Optimum Interactive USA ROC (Joel Greenblatt) % Chart

Optimum Interactive USA Annual Data
Trend Dec04 Dec05 Dec06 Dec07 Dec08
ROC (Joel Greenblatt) %
- - - - -

Optimum Interactive USA Quarterly Data
Mar05 Jun05 Sep05 Dec05 Mar06 Jun06 Sep06 Dec06 Mar07 Jun07 Sep07 Dec07 Mar08 Jun08 Sep08 Dec08 Mar09
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 - - - - -

Competitive Comparison of Optimum Interactive USA's ROC (Joel Greenblatt) %

For the Software - Application subindustry, Optimum Interactive USA'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.


Optimum Interactive USA's ROC (Joel Greenblatt) % Distribution in the Software Industry

For the Software industry and Technology sector, Optimum Interactive USA's ROC (Joel Greenblatt) % distribution charts can be found below:

* The bar in red indicates where Optimum Interactive USA's ROC (Joel Greenblatt) % falls into.



Optimum Interactive USA 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. 2008 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(0 + 0 + 0) - (0.024 + 0 + 0.015)
=-0.039

Working Capital(Q: Mar. 2009 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(0 + 0 + 0) - (0.021 + 0 + 0.023)
=-0.044

When net working capital is negative, 0 is used.

So ROC (Joel Greenblatt) % of Optimum Interactive USA for the quarter that ended in Mar. 2009 can be restated as:

ROC (Joel Greenblatt) %(Q: Mar. 2009 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Dec. 2008  Q: Mar. 2009
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=-0.024/( ( (0 + max(-0.039, 0)) + (0 + max(-0.044, 0)) )/ 1 )
=-0.024/( ( 0 + 0 )/ 1 )
=-0.024/0
= %

Note: The EBIT data used here is four times the quarterly (Mar. 2009) 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.


Optimum Interactive USA  (OTCPK:OPTL) 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.


Optimum Interactive USA ROC (Joel Greenblatt) % Related Terms

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Optimum Interactive USA (Optimum Interactive USA) Business Description

Traded in Other Exchanges
N/A
Address
4600 Campus Drive, Suite 106, Newport Beach, CA, USA, 92660
Optimum Interactive USA Ltd through its subsidiaries is engaged in providing web-based network services for membership organizations including collegiate student organizations, faith organizations, non-profit organizations & professional associations.

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