Gemlife Communities Group (ASX:GLF) ROC %: 5.97% (As of Dec. 2025)


ASX:GLF Gemlife Communities Group ASX:GLF
18 GF Score
Price A$4.57
! 7 Warning Signs
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What is Gemlife Communities Group ROC %?

Gemlife Communities Group ASX:GLF -1.93% 18 ROC % is 5.97% as of Dec. 2025. GuruFocus rates ASX:GLF with a GF Score™ of 18/100. The stock has 7 warning signs investors should review.

ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. Gemlife Communities Group's annualized return on capital (ROC %) for the quarter that ended in Dec. 2025 was 5.97%.

As of today (2026-06-24), Gemlife Communities Group's WACC % is 9.96%. Gemlife Communities Group's ROC % is 5.97% (calculated using TTM income statement data). Gemlife Communities Group earns returns that do not match up to its cost of capital. It will destroy value as it grows.


Gemlife Communities Group  (ASX:GLF) ROC % Explanation

ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. The reason book values of debt and equity are used is because the book values are the capital the company received when issuing the debt or receiving the equity investments.

There are four key components to this definition. The first is the use of operating income or EBIT rather than net income in the numerator. The second is the tax adjustment to this operating income or EBIT, computed as a hypothetical tax based on an effective or marginal tax rate. The third is the use of book values for invested capital, rather than market values. The final is the timing difference; the capital invested is from the end of the prior year whereas the operating income or EBIT is the current year's number.

Why is ROC % important?

Because it costs money to raise capital. A firm that generates higher returns on investment than it costs the company to raise the capital needed for that investment is earning excess returns. A firm that expects to continue generating positive excess returns on new investments in the future will see its value increase as growth increases, whereas a firm that earns returns that do not match up to its cost of capital will destroy value as it grows.

As of today, Gemlife Communities Group's WACC % is 9.96%. Gemlife Communities Group's ROC % is 5.97% (calculated using TTM income statement data). Gemlife Communities Group earns returns that do not match up to its cost of capital. It will destroy value as it grows.


Be Aware

Like ROE % and ROA %, ROC % is calculated with only 12 months of data. Fluctuations in the company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.


Gemlife Communities Group ROC % Related Terms


Gemlife Communities Group ROC % Historical Data

* Premium members only.

The historical data trend for Gemlife Communities Group's ROC % 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.

Gemlife Communities Group ROC % Chart

Gemlife Communities Group Annual Data
Trend Dec22 Dec23 Dec24 Dec25
ROC %
0.00 0.00 7.68 5.97

Gemlife Communities Group Semi-Annual Data
Dec22 Dec23 Dec24 Dec25
ROC % 0.00 0.00 7.68 5.97
ASX:GLF
18GF Score
Gemlife Communities Group ASX:GLF
ROC % is just one metric. See GF Score™, valuation, warning signs, and more.
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Gemlife Communities Group ROC % Calculation

Gemlife Communities Group's annualized Return on Capital (ROC %) for the fiscal year that ended in Dec. 2025 is calculated as:

ROC % (A: Dec. 2025 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: Dec. 2024 ) + Invested Capital (A: Dec. 2025 ))/ count )
=87.357 * ( 1 - 3.23% )/( (1302.2 + 1530.469)/ 2 )
=84.5353689/1416.3345
=5.97 %

where

Gemlife Communities Group's annualized Return on Capital (ROC %) for the quarter that ended in Dec. 2025 is calculated as:

ROC % (Q: Dec. 2025 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Dec. 2024 ) + Invested Capital (Q: Dec. 2025 ))/ count )
=87.357 * ( 1 - 3.23% )/( (1302.2 + 1530.469)/ 2 )
=84.5353689/1416.3345
=5.97 %

where

Note: The Operating Income data used here is one times the annual (Dec. 2025) data. The tax rate is limited to between 0% and 100%.

* 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.

Frequently Asked Questions Learn more about ROC % →
What does a ROC % of 5.97% mean?
Gemlife Communities Group (ASX:GLF) has a ROC % of 5.97% as of Dec. 2025. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on Gemlife Communities Group and its competitors.
Is Gemlife Communities Group's ROC % too high?
Gemlife Communities Group's current ROC % is 5.97%. The Real Estate industry median ROC % is 2.19. Gemlife Communities Group's value of 5.97% is 172.6% above this industry median. Overall, Gemlife Communities Group has a GF Score™ of 18/100, reflecting its overall financial health beyond just this single metric.
How does Gemlife Communities Group's ROC % compare to competitors?
Gemlife Communities Group's ROC % of 5.97% can be compared against companies in the Real Estate industry. The industry median ROC % is 2.19. Gemlife Communities Group's value of 5.97% is 172.6% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROC % for a Real Estate company?
The median ROC % among Real Estate companies is 2.19, based on 1,757 companies in the industry. Companies in the top quartile (top 25%) have a ROC % significantly above this median, while those in the bottom quartile fall well below. However, ROC % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Gemlife Communities Group's current ROC % of 5.97% is 172.6% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROC % mean?
A high ROC % can signal that a stock is expensive relative to its fundamentals. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on Gemlife Communities Group and its competitors. For the Real Estate industry, the median ROC % is 2.19 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Gemlife Communities Group's current ROC % is 5.97%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Gemlife Communities Group stock overvalued right now?
Gemlife Communities Group (ASX:GLF) has a current ROC % of 5.97%. The current ROC % is 5.97% and 172.6% above the Real Estate industry median of 2.19. Gemlife Communities Group's overall GF Score™ is 18/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROC % calculated?
ROC % is calculated from a company's financial statements. For Gemlife Communities Group (ASX:GLF), the current ROC % is 5.97% as of Dec. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Gemlife Communities Group Business Description

Address 120 Siganto Drive, Level 2, Helensvale, Gold Coast, QLD, AUS, 4212
GemLife Communities Group is a developer, builder, owner, and operator within Australia's Land Lease Community (LLC) sector. It provides premium resort-style living for homeowners aged 50 and over, designed to support a high-quality, active, and socially engaged lifestyle. GemLife focuses on delivering master-planned residential communities to senior downsizers, with homes that are low-maintenance and equipped with recreational and leisure facilities to support community-oriented living. It has two reportable segments: Development and Community Operations. Maximum revenue is generated from the Development segment, which develops the land and sells the home on behalf of the landowner. The Community Operations segment is responsible for the maintenance of the common areas of the communities.
18GF Score

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