Wienerberger AG (LTS:0MKZ) ROC % : 4.88% (As of Sep. 2024)

View and export this data going back to 2010. Start your Free Trial

What is Wienerberger AG 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 %. Wienerberger AG's annualized return on capital (ROC %) for the quarter that ended in Sep. 2024 was 4.88%.

As of today (2024-12-12), Wienerberger AG's WACC % is 9.16%. Wienerberger AG's ROC % is 3.06% (calculated using TTM income statement data). Wienerberger AG earns returns that do not match up to its cost of capital. It will destroy value as it grows.

Wienerberger AG ROC % Historical Data

The historical data trend for Wienerberger AG'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.

Wienerberger AG ROC % Chart

Wienerberger AG Annual Data

Trend

Dec14

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

ROC %

Get a 7-Day Free Trial

8.97

3.76

9.58

14.28

8.43

Wienerberger AG Quarterly Data
	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23	Mar24	Jun24	Sep24
ROC %	Get a 7-Day Free Trial															8.90	2.03	2.41	5.34	4.88

Wienerberger AG ROC % Calculation

Wienerberger AG's annualized Return on Capital (ROC %) for the fiscal year that ended in Dec. 2023 is calculated as:

	ROC % (A: Dec. 2023 )
=	NOPAT	/	Average Invested Capital
=	Operating Income * ( 1 - Tax Rate % )	/	( (Invested Capital (A: Dec. 2022 )	+	Invested Capital (A: Dec. 2023 ))	/ count )
=	477.309 * ( 1 - 21.02% )	/	( (4324.398	+	4615.306)	/ 2 )
=	376.9786482	/	4469.852
=	8.43 %

where

	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	))
=	5199.257	-	569.274	-	( 305.585	-	max(0, 1210.458	-	1940.136	+	305.585	))
=	4324.398

	Invested Capital		(A: Dec. 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	))
=	5468.586	-	433.086	-	( 420.194	-	max(0, 1239.484	-	2100.388	+	420.194	))
=	4615.306

Wienerberger AG'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: Jun. 2024 )	+	Invested Capital (Q: Sep. 2024 ))	/ count )
=	386.06 * ( 1 - 27.13% )	/	( (5849.863	+	5690.777)	/ 2 )
=	281.321922	/	5770.32
=	4.88 %

where

	Invested Capital		(Q: 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	))
=	6577.61	-	413.619	-	( 314.128	-	max(0, 1818.126	-	2448.062	+	314.128	))
=	5849.863

	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	))
=	6379.509	-	383.865	-	( 304.867	-	max(0, 1661.866	-	2277.75	+	304.867	))
=	5690.777

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

Wienerberger AG (LTS:0MKZ) 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, Wienerberger AG's WACC % is 9.16%. Wienerberger AG's ROC % is 3.06% (calculated using TTM income statement data). Wienerberger AG 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.

Wienerberger AG ROC % Related Terms

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

Wienerberger AG Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Basic Materials » Building Materials » Wienerberger AG (LTS:0MKZ) » Definitions » ROC %

Comparable Companies

Traded in Other Exchanges

WBRBY:USA WIEv:UK WIB:Germany WIB:Germany WIB:Germany WIB:Germany WIE:Czech Republic WIE:Austria

Address

Wienerbergerplatz 1, Vienna, AUT, 1100

Website

https://www.wienerberger.com

Wienerberger AG manufactures and sells building materials to the residential construction industry. The company's product portfolio includes clay blocks, facing bricks, roof tiles, plastic and ceramic pipes, and concrete pavers, among others. The business is divided into three operating segments based on geographic locations: Europe West, Europe East, and North America. A vast majority of the company's revenue is generated by the Europe West segment, which reports on Northern and Western Europe and encompasses system solutions for the entire building envelope (wall, roof, and facade) as well as pavers, wastewater and rainwater disposal, sanitation, heating and cooling installations, and energy, gas, and potable-water supply.

Wienerberger AG Headlines

No Headlines