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Alqemam for Computer Systems Co (SAU:9558) ROC (Joel Greenblatt) % : 39.46% (As of Jun. 2024)


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What is Alqemam for Computer Systems Co 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. Alqemam for Computer Systems Co's annualized ROC (Joel Greenblatt) % for the quarter that ended in Jun. 2024 was 39.46%.

The historical rank and industry rank for Alqemam for Computer Systems Co's ROC (Joel Greenblatt) % or its related term are showing as below:

SAU:9558' s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: 24.14   Med: 35.41   Max: 50.47
Current: 50.47

During the past 3 years, Alqemam for Computer Systems Co's highest ROC (Joel Greenblatt) % was 50.47%. The lowest was 24.14%. And the median was 35.41%.

SAU:9558's ROC (Joel Greenblatt) % is ranked better than
63.16% of 2774 companies
in the Software industry
Industry Median: 18.03 vs SAU:9558: 50.47

Alqemam for Computer Systems Co's 5-Year average Growth Rate of ROC (Joel Greenblatt) % was 0.00% per year.


Alqemam for Computer Systems Co ROC (Joel Greenblatt) % Historical Data

The historical data trend for Alqemam for Computer Systems Co'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.

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Alqemam for Computer Systems Co ROC (Joel Greenblatt) % Chart

Alqemam for Computer Systems Co Annual Data
Trend Dec21 Dec22 Dec23
ROC (Joel Greenblatt) %
35.41 37.82 24.14

Alqemam for Computer Systems Co Semi-Annual Data
Dec21 Jun22 Dec22 Jun23 Dec23 Jun24
ROC (Joel Greenblatt) % Get a 7-Day Free Trial 7.00 52.33 7.07 50.92 39.46

Competitive Comparison of Alqemam for Computer Systems Co's ROC (Joel Greenblatt) %

For the Software - Infrastructure subindustry, Alqemam for Computer Systems Co'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.


Alqemam for Computer Systems Co's ROC (Joel Greenblatt) % Distribution in the Software Industry

For the Software industry and Technology sector, Alqemam for Computer Systems Co's ROC (Joel Greenblatt) % distribution charts can be found below:

* The bar in red indicates where Alqemam for Computer Systems Co's ROC (Joel Greenblatt) % falls into.


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Alqemam for Computer Systems Co 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. 2023 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(0 + 0 + 50.996) - (0 + 0 + 1.33)
=49.666

Working Capital(Q: Jun. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(12.218 + 0 + 4.197) - (4.696 + 0 + 2.402)
=9.317

When net working capital is negative, 0 is used.

So ROC (Joel Greenblatt) % of Alqemam for Computer Systems Co for the quarter that ended in Jun. 2024 can be restated as:

ROC (Joel Greenblatt) %(Q: Jun. 2024 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Dec. 2023  Q: Jun. 2024
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=11.842/( ( (0 + max(49.666, 0)) + (1.032 + max(9.317, 0)) )/ 2 )
=11.842/( ( 49.666 + 10.349 )/ 2 )
=11.842/30.0075
=39.46 %

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


Alqemam for Computer Systems Co  (SAU:9558) 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.


Alqemam for Computer Systems Co ROC (Joel Greenblatt) % Related Terms

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Alqemam for Computer Systems Co Business Description

Traded in Other Exchanges
N/A
Address
2788 Omer bin AL Khattab Street, Alfakhriyah District, Unaizah, SAU, 56437-7011
Alqemam for Computer Systems Co manages and develops applications, software and provides technical infrastructure services in the Kingdom of Saudi Arabia. Its service offerings comprise Technical Support Services, Customer Support Services, Mobile application and solutions development services, Digital archiving services, Network operation and maintenance services, and Infrastructure Supply Services among others.

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