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A3 Mercados (BUE:MTR) ROC % : 2.18% (As of Dec. 2024)


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What is A3 Mercados 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 %. A3 Mercados's annualized return on capital (ROC %) for the quarter that ended in Dec. 2024 was 2.18%.

As of today (2025-03-20), A3 Mercados's WACC % is 10.18%. A3 Mercados's ROC % is -11.77% (calculated using TTM income statement data). A3 Mercados earns returns that do not match up to its cost of capital. It will destroy value as it grows.


A3 Mercados ROC % Historical Data

The historical data trend for A3 Mercados'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.

A3 Mercados ROC % Chart

A3 Mercados Annual Data
Trend Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24
ROC %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 11.24 25.13 36.41 21.98 5.68

A3 Mercados Quarterly Data
Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24
ROC % 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 30.01 0.86 12.02 70.17 2.18

A3 Mercados ROC % Calculation

A3 Mercados's annualized Return on Capital (ROC %) for the fiscal year that ended in Jun. 2024 is calculated as:

ROC % (A: Jun. 2024 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: Jun. 2023 ) + Invested Capital (A: Jun. 2024 ))/ count )
=9572.111 * ( 1 - 47.08% )/( (89927.669 + 88311.59)/ 2 )
=5065.5611412/89119.6295
=5.68 %

where

Invested Capital(A: Jun. 2023 )
=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))
=258040.434 - 96574.99 - ( 167719.093 - max(0, 100661.866 - 172199.641+167719.093))
=89927.669

Invested Capital(A: Jun. 2024 )
=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))
=244122.857 - 85248.003 - ( 155732.469 - max(0, 88774.62 - 159337.884+155732.469))
=88311.59

A3 Mercados's annualized Return on Capital (ROC %) for the quarter that ended in Dec. 2024 is calculated as:

ROC % (Q: Dec. 2024 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Sep. 2024 ) + Invested Capital (Q: Dec. 2024 ))/ count )
=4388 * ( 1 - 48.72% )/( (98016 + 108895)/ 2 )
=2250.1664/103455.5
=2.18 %

where

Note: The Operating Income data used here is four times the quarterly (Dec. 2024) 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.


A3 Mercados  (BUE:MTR) 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, A3 Mercados's WACC % is 10.18%. A3 Mercados's ROC % is -11.77% (calculated using TTM income statement data). A3 Mercados 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.


A3 Mercados ROC % Related Terms

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A3 Mercados Business Description

Traded in Other Exchanges
N/A
Address
Paraguay 777 Piso 15, Rosario, ARG
Matba Rofex Sociedad Anonima is an agricultural futures and options Exchange in Latin America. Approximately, more than 75 members trade futures and options contracts on agricultural commodities using the open outcry system or company's electronic platform. The company registers, guarantees, clears and settles every contract traded at the Exchange. It also offers through Fundación MATba a large number of educational and training programs. These programs cover a range of topics involving derivatives, strategies and back office administration, among others.

A3 Mercados Headlines

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