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MOJO (Equator Beverage Co) ROC % : 44.66% (As of Sep. 2024)


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What is Equator Beverage Co 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 %. Equator Beverage Co's annualized return on capital (ROC %) for the quarter that ended in Sep. 2024 was 44.66%.

As of today (2024-12-13), Equator Beverage Co's WACC % is 11.20%. Equator Beverage Co's ROC % is -39.71% (calculated using TTM income statement data). Equator Beverage Co earns returns that do not match up to its cost of capital. It will destroy value as it grows.


Equator Beverage Co ROC % Historical Data

The historical data trend for Equator Beverage Co'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.

Equator Beverage Co ROC % Chart

Equator Beverage Co Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
ROC %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -226.72 -48.86 1.43 -66.67 -43.15

Equator Beverage Co 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 Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -44.35 -131.32 -78.46 -35.29 44.66

Equator Beverage Co ROC % Calculation

Equator Beverage Co'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 )
=-0.164 * ( 1 - -1.69% )/( (0.36 + 0.413)/ 2 )
=-0.1667716/0.3865
=-43.15 %

where

Equator Beverage Co'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 )
=0.304 * ( 1 - 1.43% )/( (0.649 + 0.693)/ 2 )
=0.2996528/0.671
=44.66 %

where

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

* 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.


Equator Beverage Co  (OTCPK:MOJO) 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, Equator Beverage Co's WACC % is 11.20%. Equator Beverage Co's ROC % is -39.71% (calculated using TTM income statement data). Equator Beverage Co 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.


Equator Beverage Co ROC % Related Terms

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Equator Beverage Co Business Description

Traded in Other Exchanges
N/A
Address
185 Hudson Street, Floor 25, Jersey City, NJ, USA, 07302
Equator Beverage Co is engaged in developing, producing, distributing, and marketing new beverage products. Its beverages have been certified Non-GMO Project Verified and USDA Organic, and It offers both nonalcoholic and ready-to-drink alcoholic options. In addition, It has a line of sparkling energy beverages targeted towards female consumers. Its beverages can be found in North America, the Caribbean, and Bermuda. It is committed to sustainability and use 100 percent recyclable, eco-friendly packaging that has a minimal impact on the environment. Furthermore, its products are plant-based, renewable, and eco-friendly. Coconut water is nature's hydration drink for the skin and body. In each 11 oz serving there are five essential electrolytes totaling 1043 mg more than other sports drinks.
Executives
Peter Spinner director, 10 percent owner, officer: Chief Operating Officer 101 HUDSON STREET, 21ST FLOOR, JERSEY CITY NJ 07302
Robert Kaufman director C/O MOJO ORGANICS, INC., 101 HUDSON STREET, 21ST FLOOR, JERSEY CITY NJ 07302
Jeffrey Devlin director 875 NORTH MICHIGAN AVENUE, 2929, CHICAGO IL 60611
Glenn Simpson director, 10 percent owner, officer: Chief Executive Officer 101 HUDSON STREET, 21ST FLOOR, JERSEY CITY NJ 07302
Richard X. Seet director 101 HUDSON STREET, 21ST FLOOR, JERSEY CITY NJ 07302