GURUFOCUS.COM » STOCK LIST » Financial Services » Asset Management » Hang Seng Investment Management Ltd (BKK:HKCE01) » Definitions » ROC %

Hang Seng Investment Management (BKK:HKCE01) ROC % : 0.00% (As of . 20)


View and export this data going back to 2023. Start your Free Trial

What is Hang Seng Investment Management ROC %?

ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. Hang Seng Investment Management's annualized return on capital (ROC %) for the quarter that ended in . 20 was 0.00%.

As of today (2025-01-19), Hang Seng Investment Management's WACC % is 0.00%. Hang Seng Investment Management's ROC % is 0.00% (calculated using TTM income statement data). Hang Seng Investment Management earns returns that do not match up to its cost of capital. It will destroy value as it grows.


Hang Seng Investment Management ROC % Historical Data

The historical data trend for Hang Seng Investment Management'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.

* Premium members only.

Hang Seng Investment Management ROC % Chart

Hang Seng Investment Management Annual Data
Trend
ROC %

Hang Seng Investment Management Semi-Annual Data
ROC %

Hang Seng Investment Management ROC % Calculation

Hang Seng Investment Management's annualized Return on Capital (ROC %) for the fiscal year that ended in . 20 is calculated as:

ROC % (A: . 20 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: . 20 ) + Invested Capital (A: . 20 ))/ count )
= * ( 1 - % )/( ( + )/ )
=/
= %

where

Hang Seng Investment Management's annualized Return on Capital (ROC %) for the quarter that ended in . 20 is calculated as:

ROC % (Q: . 20 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: . 20 ) + Invested Capital (Q: . 20 ))/ count )
= * ( 1 - % )/( ( + )/ )
=/
= %

where

Note: The Operating Income data used here is one times the annual (. 20) 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.


Hang Seng Investment Management  (BKK:HKCE01) 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, Hang Seng Investment Management's WACC % is 0.00%. Hang Seng Investment Management's ROC % is 0.00% (calculated using TTM income statement data). Hang Seng Investment Management 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.


Hang Seng Investment Management ROC % Related Terms

Thank you for viewing the detailed overview of Hang Seng Investment Management's ROC % provided by GuruFocus.com. Please click on the following links to see related term pages.


Hang Seng Investment Management Business Description

Comparable Companies
Traded in Other Exchanges
N/A
Address
83 Des Voeux Road Central, Hang Seng Bank Building, Hong Kong, HKG
Hang Seng Investment Management Ltd provides investment management services to the Bank and the Bank's customers and manages index-tracking funds, retirement funds, institutional accounts and private client portfolios. It has expertise in managing funds related to the Mainland and Hong Kong markets, including funds investing directly in the Mainland market through the qualified foreign institutional investor (QFII) regime, and an Renminbi qualified foreign institutional investor exchange traded fund (RQFII ETF).

Hang Seng Investment Management Headlines

No Headlines