GURUFOCUS.COM » STOCK LIST » Basic Materials » Steel » Kao Hsing Chang Iron & Steel Corp (TPE:2008) » Definitions » ROC (Joel Greenblatt) %

Kao Hsing Chang Iron & Steel (TPE:2008) ROC (Joel Greenblatt) % : 10.81% (As of Sep. 2024)


View and export this data going back to 1988. Start your Free Trial

What is Kao Hsing Chang Iron & Steel 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. Kao Hsing Chang Iron & Steel's annualized ROC (Joel Greenblatt) % for the quarter that ended in Sep. 2024 was 10.81%.

The historical rank and industry rank for Kao Hsing Chang Iron & Steel's ROC (Joel Greenblatt) % or its related term are showing as below:

TPE:2008' s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: -8.55   Med: -1.58   Max: 21.64
Current: 8.11

During the past 13 years, Kao Hsing Chang Iron & Steel's highest ROC (Joel Greenblatt) % was 21.64%. The lowest was -8.55%. And the median was -1.58%.

TPE:2008's ROC (Joel Greenblatt) % is ranked better than
51.72% of 640 companies
in the Steel industry
Industry Median: 7.76 vs TPE:2008: 8.11

Kao Hsing Chang Iron & Steel's 5-Year average Growth Rate of ROC (Joel Greenblatt) % was 0.00% per year.


Kao Hsing Chang Iron & Steel ROC (Joel Greenblatt) % Historical Data

The historical data trend for Kao Hsing Chang Iron & Steel'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.

Kao Hsing Chang Iron & Steel ROC (Joel Greenblatt) % Chart

Kao Hsing Chang Iron & Steel Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
ROC (Joel Greenblatt) %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -3.63 0.48 5.53 8.56 21.64

Kao Hsing Chang Iron & Steel Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
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 11.83 4.38 3.94 14.06 10.81

Competitive Comparison of Kao Hsing Chang Iron & Steel's ROC (Joel Greenblatt) %

For the Steel subindustry, Kao Hsing Chang Iron & Steel'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.


Kao Hsing Chang Iron & Steel's ROC (Joel Greenblatt) % Distribution in the Steel Industry

For the Steel industry and Basic Materials sector, Kao Hsing Chang Iron & Steel's ROC (Joel Greenblatt) % distribution charts can be found below:

* The bar in red indicates where Kao Hsing Chang Iron & Steel's ROC (Joel Greenblatt) % falls into.



Kao Hsing Chang Iron & Steel 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)
=(118.323 + 610.961 + 20.733) - (301.708 + 0 + 3.3849999999998)
=444.924

Working Capital(Q: Sep. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(99.102 + 597.573 + 18.255) - (111.347 + 0 + 2.0130000000001)
=601.57

When net working capital is negative, 0 is used.

So ROC (Joel Greenblatt) % of Kao Hsing Chang Iron & Steel for the quarter that ended in Sep. 2024 can be restated as:

ROC (Joel Greenblatt) %(Q: Sep. 2024 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Jun. 2024  Q: Sep. 2024
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=218.664/( ( (1499 + max(444.924, 0)) + (1499.175 + max(601.57, 0)) )/ 2 )
=218.664/( ( 1943.924 + 2100.745 )/ 2 )
=218.664/2022.3345
=10.81 %

Note: The EBIT data used here is four times the quarterly (Sep. 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.


Kao Hsing Chang Iron & Steel  (TPE:2008) 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.


Kao Hsing Chang Iron & Steel ROC (Joel Greenblatt) % Related Terms

Thank you for viewing the detailed overview of Kao Hsing Chang Iron & Steel's ROC (Joel Greenblatt) % provided by GuruFocus.com. Please click on the following links to see related term pages.


Kao Hsing Chang Iron & Steel Business Description

Traded in Other Exchanges
N/A
Address
No.318, Zhonghua 1st Road, Gushan District, Kaohsiung, TWN, 804
Kao Hsing Chang Iron & Steel Corp is engaged in the manufacturing, processing, and trading of steel pipes and cold-rolled steel sheets; manufacturing of metal architectural components; leasing; carpark management; and wholesale of other products. The majority of its revenue comes from the steel pipe department. Its geographical segments are Taiwan, North America, and Northeast Asia, of which the majority of the revenue comes from Taiwan.

Kao Hsing Chang Iron & Steel Headlines

No Headlines