Duddell Street Acquisition (Duddell Street Acquisition) ROC % : -4.39% (As of Mar. 2022)

View and export this data going back to 2020. Start your Free Trial

What is Duddell Street Acquisition 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 %. Duddell Street Acquisition's annualized return on capital (ROC %) for the quarter that ended in Mar. 2022 was -4.39%.

As of today (2024-06-18), Duddell Street Acquisition's WACC % is 0.00%. Duddell Street Acquisition's ROC % is 0.00% (calculated using TTM income statement data). Duddell Street Acquisition earns returns that do not match up to its cost of capital. It will destroy value as it grows.

Duddell Street Acquisition ROC % Historical Data

The historical data trend for Duddell Street Acquisition'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.

Duddell Street Acquisition ROC % Chart

Duddell Street Acquisition Annual Data

Trend

Dec20

Dec21

ROC %

-3.38

Duddell Street Acquisition Quarterly Data
	Aug20	Mar21	Jun21	Sep21	Dec21	Mar22
ROC %	Get a 7-Day Free Trial			-0.57	-4.64	-2.45	-5.90	-4.39

Duddell Street Acquisition ROC % Calculation

Duddell Street Acquisition's annualized Return on Capital (ROC %) for the fiscal year that ended in Dec. 2021 is calculated as:

	ROC % (A: Dec. 2021 )
=	NOPAT	/	Average Invested Capital
=	Operating Income * ( 1 - Tax Rate % )	/	( (Invested Capital (A: Dec. 2020 )	+	Invested Capital (A: Dec. 2021 ))	/ count )
=	-5.94 * ( 1 - 0% )	/	( (176.048	+	175.101)	/ 2 )
=	-5.94	/	175.5745
=	-3.38 %

where

	Invested Capital		(A: Dec. 2020 )
=	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	))
=	176.232	-	0.184	-	( 0	-	max(0, 0.36	-	1.201	+	0	))
=	176.048

	Invested Capital		(A: Dec. 2021 )
=	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	))
=	176.182	-	4.679	-	( 0.618	-	max(0, 4.679	-	1.081	+	0.618	))
=	175.101

Duddell Street Acquisition's annualized Return on Capital (ROC %) for the quarter that ended in Mar. 2022 is calculated as:

	ROC % (Q: Mar. 2022 )
=	NOPAT	/	Average Invested Capital
=	Operating Income * ( 1 - Tax Rate % )	/	( (Invested Capital (Q: Dec. 2021 )	+	Invested Capital (Q: Mar. 2022 ))	/ count )
=	-7.688 * ( 1 - 0% )	/	( (175.101	+	175.124)	/ 2 )
=	-7.688	/	175.1125
=	-4.39 %

where

	Invested Capital		(Q: Dec. 2021 )
=	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	))
=	176.182	-	4.679	-	( 0.618	-	max(0, 4.679	-	1.081	+	0.618	))
=	175.101

	Invested Capital		(Q: Mar. 2022 )
=	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	))
=	175.691	-	6.087	-	( 0.213	-	max(0, 6.087	-	0.567	+	0.213	))
=	175.124

Note: The Operating Income data used here is four times the quarterly (Mar. 2022) data.

Duddell Street Acquisition (NAS:DSAC) 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, Duddell Street Acquisition's WACC % is 0.00%. Duddell Street Acquisition's ROC % is 0.00% (calculated using TTM income statement data). Duddell Street Acquisition 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.

Duddell Street Acquisition ROC % Related Terms

Thank you for viewing the detailed overview of Duddell Street Acquisition's ROC % provided by GuruFocus.com. Please click on the following links to see related term pages.

Duddell Street Acquisition (Duddell Street Acquisition) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Financial Services » Diversified Financial Services » Duddell Street Acquisition Corp (NAS:DSAC) » Definitions » ROC %

Comparable Companies

Traded in Other Exchanges

N/A

Address

6 Duddell Street, 8th Floor, Printing House, Hong Kong, HKG

Website

https://www.dsac.co

Duddell Street Acquisition Corp is a blank check company.

Executives

Todd Aman	officer: See Remarks	1201 PENNSYLVANIA AVENUE NW, 6TH FLOOR, WASHINGTON, D.C. DC 20004
Paul Donnell	officer: Chief Accounting Officer	1201 PENNSYLVANIA AVENUE NW, 6TH FLOOR, WASHINGTON, D.C. DC 20004
Vlad Eidelman	officer: Chief Technology Officer	1201 PENNSYLVANIA AVENUE NW, 6TH FLOOR, WASHINGTON, D.C. DC 20004
Jon Slabaugh	officer: See Remarks	1201 PENNSYLVANIA AVE NW, 6TH FLOOR, WASHINGTON DC 20004
Gerald Yao	director, officer: See Remarks	1201 PENNSYLVANIA AVE NW, 6TH FLOOR, WASHINGTON DC 20004
Tim Hwang	director, officer: See Remarks	1201 PENNSYLVANIA AVE NW, 6TH FLOOR, WASHINGTON DC 20004
Key Compton	director	1201 PENNSYLVANIA AVE NW, 6TH FLOOR, WASHINGTON DC 20004
Keith Nilsson	director	1201 PENNSYLVANIA AVE NW, 6TH FLOOR, COSTA MESA CA 92626
Anna Sedgley	director	1201 PENNSYLVANIA AVE NW, 6TH FLOOR, WASHINGTON DC 20004
Yiu Conrad	director	1201 PENNSYLVANIA AVE NW, 6TH FLOOR, WASHINGTON DC 20004
Vibha Jain Miller	officer: See Remarks	1201 PENNSYLVANIA AVE NW, 6TH FLOOR, WASHINGTON DC 20004
Josh Resnik	officer: See Remarks	1201 PENNSYLVANIA AVE NW, 6TH FLOOR, WASHINGTON DC 20004
Krystal Putman-garcia	officer: See Remarks	1201 PENNSYLVANIA AVE NW, 6TH FLOOR, WASHINGTON DC 20004
Reed Fawell	officer: See Remarks	1201 PENNSYLVANIA AVE NW, 6TH FLOOR, WASHINGTON DC 20004
Michael John Callahan	director	701 FIRST AVENUE, SUNNYVALE CA 94089