Alliance International Education Leasing Holdings (HKSE:01563) ROC % : 0.00% (As of Sep. 2024)

View and export this data going back to 2019. Start your Free Trial

What is Alliance International Education Leasing Holdings 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 %. Alliance International Education Leasing Holdings's annualized return on capital (ROC %) for the quarter that ended in Sep. 2024 was 0.00%.

As of today (2025-03-30), Alliance International Education Leasing Holdings's WACC % is 5.82%. Alliance International Education Leasing Holdings's ROC % is 0.00% (calculated using TTM income statement data). Alliance International Education Leasing Holdings earns returns that do not match up to its cost of capital. It will destroy value as it grows.

Alliance International Education Leasing Holdings ROC % Historical Data

The historical data trend for Alliance International Education Leasing Holdings'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.

Alliance International Education Leasing Holdings ROC % Chart

Alliance International Education Leasing Holdings Annual Data

Trend

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

ROC %

Get a 7-Day Free Trial

6.23

Alliance International Education Leasing Holdings Quarterly Data
	Dec15	Dec16	Dec17	Jun18	Dec18	Jun19	Dec19	Jun20	Dec20	Jun21	Dec21	Jun22	Sep22	Dec22	Jun23	Sep23	Sep24
ROC %	Get a 7-Day Free Trial												-	-	-	-	-

Alliance International Education Leasing Holdings ROC % Calculation

Alliance International Education Leasing Holdings'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 )
=	228.296 * ( 1 - 10.34% )	/	( (2809.8	+	3757.102)	/ 2 )
=	204.6901936	/	3283.451
=	6.23 %

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	))
=	2983.456	-	145.899	-	( 173.656	-	max(0, 145.899	-	173.656	+	173.656	))
=	2809.8

	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	))
=	4661.889	-	559.91	-	( 344.877	-	max(0, 1417.691	-	2047.116	+	344.877	))
=	3757.102

Alliance International Education Leasing Holdings's annualized Return on Capital (ROC %) for the quarter that ended in Sep. 2024 is calculated as:

	ROC % (Q: Sep. 2024 )
=	NOPAT	/	Average Invested Capital
=	Operating Income * ( 1 - Tax Rate % )	/	( (Invested Capital (Q: Sep. 2023 )	+	Invested Capital (Q: Sep. 2024 ))	/ count )
=	0 * ( 1 - 0% )	/	( (3991.021	+	3189.13)	/ 2 )
=	0	/	3590.0755
=	0.00 %

where

	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	))
=	4251.012	-	378.929	-	( 259.991	-	max(0, 378.929	-	259.991	+	259.991	))
=	3991.021

	Invested Capital		(Q: Sep. 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	))
=	4486.732	-	518.888	-	( 836.918	-	max(0, 1104.744	-	1883.458	+	836.918	))
=	3189.13

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

Alliance International Education Leasing Holdings (HKSE:01563) 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, Alliance International Education Leasing Holdings's WACC % is 5.82%. Alliance International Education Leasing Holdings's ROC % is 0.00% (calculated using TTM income statement data). Alliance International Education Leasing Holdings 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.

Alliance International Education Leasing Holdings ROC % Related Terms

Thank you for viewing the detailed overview of Alliance International Education Leasing Holdings's ROC % provided by GuruFocus.com. Please click on the following links to see related term pages.

Alliance International Education Leasing Holdings Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Consumer Defensive » Education » Alliance International Education Leasing Holdings Ltd (HKSE:01563) » Definitions » ROC %

Comparable Companies

Traded in Other Exchanges

N/A

Address

No.1 Hennessy Road, Unit 2602, 26th Floor, One Hennessy, Wan Chai, Hong Kong, HKG

Website

http://www.iaf-leasing.com

Alliance International Education Leasing Holdings Ltd is mainly engaged in finance leasing, advisory services and private higher education. The company operating segments are: The Finance Leasing segment mainly provides finance leasing and advisory services to customers in industries including healthcare, transportation and public infrastructure, where finance leasing services include sale-leaseback and direct finance leasing. The Private Higher Education segment provides undergraduate and specialist diploma courses as approved by the Ministry of Education of China.

Executives

Union Capital Pte. Ltd.
Sui Yongqing
Pa Investment Funds Spc-pa Financial Leasing Fund Sp	2201 Interest of corporation controlled by you
Sui Yongqing
Pa Investment Funds Spc - Pa Financial Leasing Fund Sp	2201 Interest of corporation controlled by you

Alliance International Education Leasing Holdings Headlines

No Headlines