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Ganesh Green Bharat (NSE:GGBL) ROC % : 52.44% (As of Mar. 2024)


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What is Ganesh Green Bharat 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 %. Ganesh Green Bharat's annualized return on capital (ROC %) for the quarter that ended in Mar. 2024 was 52.44%.

As of today (2025-03-17), Ganesh Green Bharat's WACC % is 12.99%. Ganesh Green Bharat's ROC % is 26.22% (calculated using TTM income statement data). Ganesh Green Bharat generates higher returns on investment than it costs the company to raise the capital needed for that investment. It 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.


Ganesh Green Bharat ROC % Historical Data

The historical data trend for Ganesh Green Bharat'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.

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Ganesh Green Bharat ROC % Chart

Ganesh Green Bharat Annual Data
Trend Mar22 Mar23 Mar24
ROC %
9.35 9.00 26.22

Ganesh Green Bharat Semi-Annual Data
Mar22 Mar23 Mar24
ROC % 18.69 18.01 52.44

Ganesh Green Bharat ROC % Calculation

Ganesh Green Bharat's annualized Return on Capital (ROC %) for the fiscal year that ended in Mar. 2024 is calculated as:

ROC % (A: Mar. 2024 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: Mar. 2023 ) + Invested Capital (A: Mar. 2024 ))/ count )
=319.147 * ( 1 - 23.04% )/( (672.404 + 1200.935)/ 2 )
=245.6155312/936.6695
=26.22 %

where

Invested Capital(A: Mar. 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))
=1502.982 - 295.887 - ( 6.16 - max(0, 629.039 - 1181.141+6.16))
=1200.935

Ganesh Green Bharat's annualized Return on Capital (ROC %) for the quarter that ended in Mar. 2024 is calculated as:

ROC % (Q: Mar. 2024 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Mar. 2023 ) + Invested Capital (Q: Mar. 2024 ))/ count )
=638.294 * ( 1 - 23.04% )/( (672.404 + 1200.935)/ 2 )
=491.2310624/936.6695
=52.44 %

where

Invested Capital(Q: Mar. 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))
=1502.982 - 295.887 - ( 6.16 - max(0, 629.039 - 1181.141+6.16))
=1200.935

Note: The Operating Income data used here is two times the semi-annual (Mar. 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.


Ganesh Green Bharat  (NSE:GGBL) 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, Ganesh Green Bharat's WACC % is 12.99%. Ganesh Green Bharat's ROC % is 26.22% (calculated using TTM income statement data). Ganesh Green Bharat generates higher returns on investment than it costs the company to raise the capital needed for that investment. It 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.


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.


Ganesh Green Bharat ROC % Related Terms

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Ganesh Green Bharat Business Description

Traded in Other Exchanges
N/A
Address
S.G. Highway, G-201 & F-202, S.G. Business Hub, Near Gota Flyover, Gota, Ahmedabad, GJ, IND, 382470
Ganesh Green Bharat Ltd are providing comprehensive portfolios in the field of supply, installation, testing and commissioning (SITC) of solar and electrical goods and services to various government bodies. It has projects under various schemes of Central and State Government like - Saubhagya Scheme, KUSUM Scheme, Saur Sujla Yojna. The company also forayed into the business of designing, construction, installation and operation and maintenance of Water Supply Scheme Projects like the Mukhya Mantri Nishchay Quality Affected Yojna, Har Ghar Jal (Jal Jeevan Mission) etc.

Ganesh Green Bharat Headlines