Kings Entertainment Group (FRA:L12) ROC %: -30.10% (As of Sep. 2023)


What is Kings Entertainment Group ROC %?

Kings Entertainment Group FRA:L12 ROC % is -30.10% as of Sep. 2023.

ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. Kings Entertainment Group's annualized return on capital (ROC %) for the quarter that ended in Sep. 2023 was -30.10%.

As of today (2026-07-13), Kings Entertainment Group's WACC % is 0.00%. Kings Entertainment Group's ROC % is 0.00% (calculated using TTM income statement data). Kings Entertainment Group earns returns that do not match up to its cost of capital. It will destroy value as it grows.

Kings Entertainment Group  (FRA:L12) 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, Kings Entertainment Group's WACC % is 0.00%. Kings Entertainment Group's ROC % is 0.00% (calculated using TTM income statement data). Kings Entertainment 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.

Kings Entertainment Group ROC % Related Terms

Kings Entertainment Group ROC % Historical Data

* Premium members only.

The historical data trend for Kings Entertainment 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.

Kings Entertainment Group ROC % Chart

Kings Entertainment Group Annual Data
Trend Dec20 Dec21 Dec22
ROC %
459.66 32.24 -1,696.73

Kings Entertainment Group Quarterly Data
Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23
ROC % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only -452.44 -499.55 -465.21 -334.34 -30.10

Kings Entertainment Group ROC % Calculation

Kings Entertainment Group's annualized Return on Capital (ROC %) for the fiscal year that ended in Dec. 2022 is calculated as:

ROC % (A: Dec. 2022 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: Dec. 2021 ) + Invested Capital (A: Dec. 2022 ))/ count )
=-6.49 * ( 1 - 0% )/( (0.23 + 0.535)/ 2 )
=-6.49/0.3825
=-1,696.73 %

where

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))
=8.307 - 2.451 - ( 6.394 - max(0, 2.578 - 8.204+6.394))
=0.23

Invested Capital(A: Dec. 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))
=4.037 - 2.42 - ( 1.125 - max(0, 2.541 - 3.623+1.125))
=0.535

Kings Entertainment Group's annualized Return on Capital (ROC %) for the quarter that ended in Sep. 2023 is calculated as:

ROC % (Q: Sep. 2023 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Jun. 2023 ) + Invested Capital (Q: Sep. 2023 ))/ count )
=-1.76 * ( 1 - 49.9% )/( (0.537 + 5.321)/ 2 )
=-0.88176/2.929
=-30.10 %

where

Invested Capital(Q: 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))
=3.463 - 1.697 - ( 1.597 - max(0, 1.834 - 3.063+1.597))
=0.537

Invested Capital(Q: Sep. 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))
=9.538 - 3.659 - ( 1.044 - max(0, 3.73 - 4.288+1.044))
=5.321

Note: The Operating Income data used here is four times the quarterly (Sep. 2023) 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 -30.10% mean?
Kings Entertainment Group (FRA:L12) has a ROC % of -30.10% as of Sep. 2023. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on Kings Entertainment Group and its competitors.
Is Kings Entertainment Group's ROC % too high?
Kings Entertainment Group's current ROC % is -30.10%.
How does Kings Entertainment Group's ROC % compare to DKNG and CHDN?
Kings Entertainment Group's ROC % of -30.10% can be compared against companies in the Travel & Leisure industry. The industry median ROC % is 3.77. 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 Travel & Leisure company?
The median ROC % among Travel & Leisure companies is 3.77, based on 833 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 Kings Entertainment Group and its competitors. For the Travel & Leisure industry, the median ROC % is 3.77 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kings Entertainment Group's current ROC % is -30.10%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kings Entertainment Group stock overvalued right now?
Kings Entertainment Group (FRA:L12) has a current ROC % of -30.10%. The current ROC % is -30.10%. 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 Kings Entertainment Group (FRA:L12), the current ROC % is -30.10% as of Sep. 2023. 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.

Kings Entertainment Group Business Description

Address 1060 - 1055 West Georgia Street, Vancouver, BC, CAN, V6E 2E9
Kings Entertainment Group Inc is a business-to-consumer service provider that allows users to participate in lotteries and casino-style online games throughout the world. The company operates through multiple established brands and websites, which include www.wintrillions.com, www.trillionaire.com, and www.LottoKings.com. In addition to the lottery services, it offers a connected experience that enables users to play and switch with ease between scratch cards and casino games. The company has only one reportable segment, which is lottery procurement and online casino, and scratchcard. Geographically, it derives revenue from Mexico, Brazil, other Latin American countries, and other regions.