Pan Asia (ASX:PZC) ROC %: -1.84% (As of Dec. 2017)

What is Pan Asia ROC %?

Pan Asia ASX:PZC ROC % is -1.84% as of Dec. 2017. The stock has 2 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 %. Pan Asia's annualized return on capital (ROC %) for the quarter that ended in Dec. 2017 was -1.84%.

As of today (2026-06-25), Pan Asia's WACC % is 0.00%. Pan Asia's ROC % is -4.97% (calculated using TTM income statement data). Pan Asia earns returns that do not match up to its cost of capital. It will destroy value as it grows.

Pan Asia (ASX:PZC) 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, Pan Asia's WACC % is 0.00%. Pan Asia's ROC % is -4.97% (calculated using TTM income statement data). Pan Asia 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.

Pan Asia ROC % Related Terms

Pan Asia ROC % Historical Data

* Premium members only.

The historical data trend for Pan Asia'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.

Pan Asia ROC % Chart

Pan Asia Annual Data

Trend

Jun09

Jun10

Jun11

Jun12

Jun13

Jun14

Jun15

Jun16

Jun17

Jun18

ROC %

Get a 7-Day Free Trial

-4.24

-2.01

-1.06

-0.97

-1.63

Pan Asia Semi-Annual Data
	Dec08	Jun09	Dec09	Jun10	Dec10	Jun11	Dec11	Jun12	Dec12	Jun13	Dec13	Jun14	Dec14	Jun15	Dec15	Jun16	Dec16	Jun17	Dec17	Jun18
ROC %	Get a 7-Day Free Trial															-0.72	-0.24	-1.49	-1.84	-1.44

Pan Asia ROC % Calculation

Pan Asia's annualized Return on Capital (ROC %) for the fiscal year that ended in Jun. 2018 is calculated as:

	ROC % (A: Jun. 2018 )
=	NOPAT	/	Average Invested Capital
=	Operating Income * ( 1 - Tax Rate % )	/	( (Invested Capital (A: Jun. 2017 )	+	Invested Capital (A: Jun. 2018 ))	/ count )
=	-0.073 * ( 1 - 0% )	/	( (4.391	+	4.556)	/ 2 )
=	-0.073	/	4.4735
=	-1.63 %

where

	Invested Capital		(A: Jun. 2017 )
=	Total Assets	-	Accounts Payable & Accrued Expense	-	Excess Cash
=	Total Assets	-	Accounts Payable & Accrued Expense	-	( Cash, Cash Equivalents, Marketable Securities	-	max(0, Total Current Liabilities	-	Total Current Assets	+	Cash, Cash Equivalents, Marketable Securities	))
=	0.071	-	0.737	-	( 0.011	-	max(0, 5.091	-	0.034	+	0.011	))
=	4.391

	Invested Capital		(A: Jun. 2018 )
=	Total Assets	-	Accounts Payable & Accrued Expense	-	Excess Cash
=	Total Assets	-	Accounts Payable & Accrued Expense	-	( Cash, Cash Equivalents, Marketable Securities	-	max(0, Total Current Liabilities	-	Total Current Assets	+	Cash, Cash Equivalents, Marketable Securities	))
=	0.128	-	0.918	-	( 0.042	-	max(0, 5.444	-	0.098	+	0.042	))
=	4.556

Pan Asia's annualized Return on Capital (ROC %) for the quarter that ended in Dec. 2017 is calculated as:

	ROC % (Q: Dec. 2017 )
=	NOPAT	/	Average Invested Capital
=	Operating Income * ( 1 - Tax Rate % )	/	( (Invested Capital (Q: Jun. 2017 )	+	Invested Capital (Q: Dec. 2017 ))	/ count )
=	-0.08 * ( 1 - 0% )	/	( (4.391	+	4.324)	/ 2 )
=	-0.08	/	4.3575
=	-1.84 %

where

	Invested Capital		(Q: Jun. 2017 )
=	Total Assets	-	Accounts Payable & Accrued Expense	-	Excess Cash
=	Total Assets	-	Accounts Payable & Accrued Expense	-	( Cash, Cash Equivalents, Marketable Securities	-	max(0, Total Current Liabilities	-	Total Current Assets	+	Cash, Cash Equivalents, Marketable Securities	))
=	0.071	-	0.737	-	( 0.011	-	max(0, 5.091	-	0.034	+	0.011	))
=	4.391

	Invested Capital		(Q: Dec. 2017 )
=	Total Assets	-	Accounts Payable & Accrued Expense	-	Excess Cash
=	Total Assets	-	Accounts Payable & Accrued Expense	-	( Cash, Cash Equivalents, Marketable Securities	-	max(0, Total Current Liabilities	-	Total Current Assets	+	Cash, Cash Equivalents, Marketable Securities	))
=	0.117	-	0.85	-	( 0.044	-	max(0, 5.141	-	0.084	+	0.044	))
=	4.324

Note: The Operating Income data used here is two times the semi-annual (Dec. 2017) data. The tax rate is limited to between 0% and 100%.

Frequently Asked Questions Learn more about ROC % →

What does a ROC % of -1.84% mean?

Pan Asia (ASX:PZC) has a ROC % of -1.84% as of Dec. 2017. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on Pan Asia and its competitors.

Is Pan Asia's ROC % too high?

Pan Asia's current ROC % is -1.84%.

How does Pan Asia's ROC % compare to competitors?

Pan Asia's ROC % of -1.84% can be compared against companies in the Steel industry. The industry median ROC % is 2.61. 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 Steel company?

The median ROC % among Steel companies is 2.61, based on 625 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. 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 Pan Asia and its competitors. For the Steel industry, the median ROC % is 2.61 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Pan Asia's current ROC % is -1.84%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.

Is Pan Asia stock overvalued right now?

Pan Asia (ASX:PZC) has a current ROC % of -1.84%. The current ROC % is -1.84%. 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 Pan Asia (ASX:PZC), the current ROC % is -1.84% as of Dec. 2017. 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.

Pan Asia Business Description

Industry Basic Materials Steel

Comparable Companies ASX:WAL ASX:AAL ASX:CCJ ASX:PEC ASX:ADD ASX:OEG ASX:DAF ASX:EER ASX:JAT ASX:HWK ASX:NCR ASX:KKO ASX:IEC ASX:AHQ ASX:PAK ASX:DSB ASX:WEC ASX:DRG ASX:MRV ASX:CKA

Address 311-313 Hay Street, Subiaco, WA, AUS, 6008

Website http://www.panasiacorp.com.au

Pan Asia Corp Ltd explores diversified energy resources mainly coal. The principal activities of the company are coal exploration and development in Indonesia. Its project includes PT Transcoal Minergy Project in South Kalimantan, Indonesia. Geographically the company operates in Australia and Indonesia.