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PXCLF (Phoenix Copper) ROC % : -4.64% (As of Jun. 2024)


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What is Phoenix Copper 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 %. Phoenix Copper's annualized return on capital (ROC %) for the quarter that ended in Jun. 2024 was -4.64%.

As of today (2025-03-03), Phoenix Copper's WACC % is 6.22%. Phoenix Copper's ROC % is -4.61% (calculated using TTM income statement data). Phoenix Copper earns returns that do not match up to its cost of capital. It will destroy value as it grows.

Phoenix Copper ROC % Historical Data

The historical data trend for Phoenix Copper'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.

Phoenix Copper ROC % Chart

Phoenix Copper 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 -10.04 -6.47 -5.23 -3.41 -4.48

Phoenix Copper Semi-Annual Data
Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24
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 -7.41 0.10 -4.08 -4.77 -4.64

Phoenix Copper ROC % Calculation

Phoenix Copper'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 )
=-1.691 * ( 1 - 0% )/( (34.414 + 41.028)/ 2 )
=-1.691/37.721
=-4.48 %

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))
=39.669 - 0.572 - ( 4.683 - max(0, 1.072 - 6.217+4.683))
=34.414

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))
=40.512 - 0.427 - ( 0.288 - max(0, 2.665 - 1.722+0.288))
=41.028

Phoenix Copper's annualized Return on Capital (ROC %) for the quarter that ended in Jun. 2024 is calculated as:

ROC % (Q: Jun. 2024 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Dec. 2023 ) + Invested Capital (Q: Jun. 2024 ))/ count )
=-2.188 * ( 1 - 0% )/( (41.028 + 53.304)/ 2 )
=-2.188/47.166
=-4.64 %

where

Invested Capital(Q: 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))
=40.512 - 0.427 - ( 0.288 - max(0, 2.665 - 1.722+0.288))
=41.028

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))
=56.175 - 0.149 - ( 2.722 - max(0, 2.832 - 13.713+2.722))
=53.304

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

Phoenix Copper  (OTCPK:PXCLF) 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, Phoenix Copper's WACC % is 6.22%. Phoenix Copper's ROC % is -4.61% (calculated using TTM income statement data). Phoenix Copper 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.

Phoenix Copper ROC % Related Terms

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Phoenix Copper Business Description

Industry
GURUFOCUS.COM » STOCK LIST » Basic Materials » Metals & Mining » Phoenix Copper Ltd (OTCPK:PXCLF) » Definitions » ROC %
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Traded in Other Exchanges
PXCLY:USA PXC:UK 5HR:Germany
Address
Wickhams Cay 1, Road Town, OMC Chambers, Tortola, VGB, VG1110
Website
https://www.phoenixcopperlimited.com
Phoenix Copper Ltd is a USA-focused, base and precious metal emerging producer and exploration company. It is evaluating the silver and gold resources around three other past-producing mines within the 8,034-acre Empire claims block as well as cobalt in two claims blocks north of Empire in Idaho. Its operations are focused near Mackay, Idaho in the Alder Creek mining district. This district includes the historical Empire, Horseshoe, White Knob, and Blue Bird Mines, past producers of copper, gold, silver, zinc, lead, and tungsten from underground mines. Additionally, the district includes Navarre Creek, a Carlin-trend gold discovery that hosts a 6.1 km gold strike length within a 9.8 km2 area.