Cherat Packaging (KAR:CPPL) ROC %: 0.00% (As of . 20)


What is Cherat Packaging ROC %?

Cherat Packaging KAR:CPPL +0.11% ROC % is 0.00% as of . 20.

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

As of today (2026-06-25), Cherat Packaging's WACC % is 0.00%. Cherat Packaging's ROC % is 0.00% (calculated using TTM income statement data). Cherat Packaging earns returns that do not match up to its cost of capital. It will destroy value as it grows.

Cherat Packaging  (KAR:CPPL) 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, Cherat Packaging's WACC % is 0.00%. Cherat Packaging's ROC % is 0.00% (calculated using TTM income statement data). Cherat Packaging 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.

Cherat Packaging ROC % Related Terms

Cherat Packaging ROC % Historical Data

* Premium members only.

The historical data trend for Cherat Packaging'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.

Cherat Packaging ROC % Chart

Cherat Packaging Annual Data
Trend
ROC %

Cherat Packaging Quarterly Data
ROC %

Cherat Packaging ROC % Calculation

Cherat Packaging'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

Invested Capital(A: . 20 )
=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))
= - - ( - max(0, - +))
=

Invested Capital(A: . 20 )
=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))
= - - ( - max(0, - +))
=

Cherat Packaging'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

Invested Capital(Q: . 20 )
=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))
= - - ( - max(0, - +))
=

Invested Capital(Q: . 20 )
=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))
= - - ( - max(0, - +))
=

Note: The Operating Income data used here is four times the quarterly (. 20) 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 0.00% mean?
Cherat Packaging (KAR:CPPL) has a ROC % of 0.00% as of . 20. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on Cherat Packaging and its competitors.
Is Cherat Packaging's ROC % too high?
Cherat Packaging's current ROC % is 0.00%.
How does Cherat Packaging's ROC % compare to competitors?
Cherat Packaging's ROC % of 0.00% can be compared against companies in the Packaging & Containers industry. The industry median ROC % is 4.16. 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 Packaging & Containers company?
The median ROC % among Packaging & Containers companies is 4.16, based on 397 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 Cherat Packaging and its competitors. For the Packaging & Containers industry, the median ROC % is 4.16 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Cherat Packaging's current ROC % is 0.00%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Cherat Packaging stock overvalued right now?
Cherat Packaging (KAR:CPPL) has a current ROC % of 0.00%. The current ROC % is 0.00%. 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 Cherat Packaging (KAR:CPPL), the current ROC % is 0.00% as of . 20. 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.

Cherat Packaging Business Description

Address Beaumont Road, Modern Motors House, 3rd Floor, Karachi, SD, PAK, 75530
Cherat Packaging Ltd is engaged in the manufacturing, marketing, and selling of paper sacks and polypropylene bags to the cement industry. It supplies bags to various sectors, such as sugar, wheat, chemical, and others. Its main product is paper bags and sacks for the cement industry. The company produces and supplies cement bags made from kraft paper and polypropylene granules. Its segments includes Bags manufacturing division and Flexible packaging division, of which key revenue is derived from Bags manufacturing division.