ScION Tech Growth II (ScION Tech Growth II) ROC % : -0.22% (As of Sep. 2022)

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What is ScION Tech Growth II 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 %. ScION Tech Growth II's annualized return on capital (ROC %) for the quarter that ended in Sep. 2022 was -0.22%.

As of today (2024-05-23), ScION Tech Growth II's WACC % is 0.00%. ScION Tech Growth II's ROC % is 0.00% (calculated using TTM income statement data). ScION Tech Growth II earns returns that do not match up to its cost of capital. It will destroy value as it grows.

ScION Tech Growth II ROC % Historical Data

The historical data trend for ScION Tech Growth II'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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ScION Tech Growth II ROC % Chart

ScION Tech Growth II Annual Data

Trend

Dec20

Dec21

ROC %

-0.48

ScION Tech Growth II Quarterly Data
	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22
ROC %	Get a 7-Day Free Trial			-0.20	-0.38	-0.26	-0.28	-0.22

ScION Tech Growth II ROC % Calculation

ScION Tech Growth II's annualized Return on Capital (ROC %) for the fiscal year that ended in Dec. 2021 is calculated as:

	ROC % (A: Dec. 2021 )
=	NOPAT	/	Average Invested Capital
=	Operating Income * ( 1 - Tax Rate % )	/	( (Invested Capital (A: Dec. 2020 )	+	Invested Capital (A: Dec. 2021 ))	/ count )
=	-0.831 * ( 1 - 0% )	/	( (0.022	+	345.203)	/ 2 )
=	-0.831	/	172.6125
=	-0.48 %

where

	Invested Capital		(A: Dec. 2020 )
=	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	))
=	0.057	-	0.035	-	( 0	-	max(0, 0.035	-	0.057	+	0	))
=	0.022

	Invested Capital		(A: Dec. 2021 )
=	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	))
=	346.388	-	0.295	-	( 0.89	-	max(0, 0.295	-	1.34	+	0.89	))
=	345.203

ScION Tech Growth II's annualized Return on Capital (ROC %) for the quarter that ended in Sep. 2022 is calculated as:

	ROC % (Q: Sep. 2022 )
=	NOPAT	/	Average Invested Capital
=	Operating Income * ( 1 - Tax Rate % )	/	( (Invested Capital (Q: Jun. 2022 )	+	Invested Capital (Q: Sep. 2022 ))	/ count )
=	-0.764 * ( 1 - 0% )	/	( (345.513	+	347.399)	/ 2 )
=	-0.764	/	346.456
=	-0.22 %

where

	Invested Capital		(Q: Jun. 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	))
=	346.512	-	0.376	-	( 0.707	-	max(0, 0.376	-	0.999	+	0.707	))
=	345.513

	Invested Capital		(Q: Sep. 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	))
=	348.182	-	0.351	-	( 0.615	-	max(0, 0.351	-	0.783	+	0.615	))
=	347.399

Note: The Operating Income data used here is four times the quarterly (Sep. 2022) data.

ScION Tech Growth II (NAS:SCOB) 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, ScION Tech Growth II's WACC % is 0.00%. ScION Tech Growth II's ROC % is 0.00% (calculated using TTM income statement data). ScION Tech Growth II 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.

ScION Tech Growth II ROC % Related Terms

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ScION Tech Growth II (ScION Tech Growth II) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Financial Services » Diversified Financial Services » ScION Tech Growth II (NAS:SCOB) » Definitions » ROC %

Comparable Companies

Traded in Other Exchanges

N/A

Address

10 Queen Street Place, 2nd Floor, London, GBR, EC4R 1BE

Website

ScION Tech Growth II is a blank check company.

Executives

Kunal Gullapalli	officer: Chief Financial Officer	66 CROSBY ST 5E, NEW YORK NY 10012
Andrea Pignataro	director, 10 percent owner, officer: Executive Chairman	MINERVA HOUSE 4TH FLOOR DUBLIN 4, SIMMONSCOURT ROAD, DUBLIN K6 D04H9P8
Kenneth T Schiciano	director	125 HIGH ST STE 2500, BOSTON MA 02110
Sheila Hooda	director	C/O VIRTUS INVESTMENT PARTNERS, INC., 100 PEARL STREET, HARTFORD CT 06103
Edward Alexander Triplett	officer: Chief Financial Officer	10 QUEEN ST PLACE 2ND FLOOR, LONDON X0 EC4R1BE
Mathew Judd Cestar	director, officer: Chief Executive Officer	10 QUEEN ST PLACE 2ND FLOOR, LONDON X0 EC4R1BE
John Louis Woyton	director	PARK CORNER HOUSE, BASINGSTOKE ROAD, HECKFIELD, LONDON X0 RG270LJ
Scion 2 Sponsor Llc	director, 10 percent owner	10 QUEEN ST PLACE 2ND FLOOR, LONDON X0 EC4R1BE

ScION Tech Growth II (ScION Tech Growth II) Headlines

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