KODAMA CHEMICAL INDUSTRY Co (TSE:4222) ROC % : 0.00% (As of Sep. 2024)

View and export this data going back to 1962. Start your Free Trial

What is KODAMA CHEMICAL INDUSTRY 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 %. KODAMA CHEMICAL INDUSTRY Co's annualized return on capital (ROC %) for the quarter that ended in Sep. 2024 was 0.00%.

As of today (2025-03-17), KODAMA CHEMICAL INDUSTRY Co's WACC % is 1.02%. KODAMA CHEMICAL INDUSTRY Co's ROC % is -17.53% (calculated using TTM income statement data). KODAMA CHEMICAL INDUSTRY Co earns returns that do not match up to its cost of capital. It will destroy value as it grows.

KODAMA CHEMICAL INDUSTRY Co ROC % Historical Data

The historical data trend for KODAMA CHEMICAL INDUSTRY 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.

KODAMA CHEMICAL INDUSTRY Co ROC % Chart

KODAMA CHEMICAL INDUSTRY Co Annual Data

Trend

Mar15

Mar16

Mar17

Mar18

Mar19

Mar20

Mar21

Mar22

Mar23

Mar24

ROC %

Get a 7-Day Free Trial

1.33

3.39

4.67

2.18

-17.50

KODAMA CHEMICAL INDUSTRY Co Quarterly Data
	Sep19	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23	Mar24	Sep24
ROC %	Get a 7-Day Free Trial															1.04	-1.27	1.60	-107.92	-

KODAMA CHEMICAL INDUSTRY Co ROC % Calculation

KODAMA CHEMICAL INDUSTRY Co'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 )
=	165.43 * ( 1 - 1534.56% )	/	( (13553.286	+	13572.128)	/ 2 )
=	-2373.192608	/	13562.707
=	-17.50 %

where

	Invested Capital		(A: Mar. 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	))
=	13356.3	-	1879.581	-	( 1543.928	-	max(0, 7861.27	-	5784.703	+	1543.928	))
=	13553.286

	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	))
=	14602.322	-	1639.247	-	( 1799.335	-	max(0, 6508.172	-	5899.119	+	1799.335	))
=	13572.128

KODAMA CHEMICAL INDUSTRY 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: Mar. 2024 )	+	Invested Capital (Q: Sep. 2024 ))	/ count )
=	0 * ( 1 - 0% )	/	( (13572.128	+	15134.825)	/ 2 )
=	0	/	14353.4765
=	0.00 %

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	))
=	14602.322	-	1639.247	-	( 1799.335	-	max(0, 6508.172	-	5899.119	+	1799.335	))
=	13572.128

	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	))
=	14250.394	-	1735.181	-	( 1586.202	-	max(0, 8259.801	-	5640.189	+	1586.202	))
=	15134.825

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

KODAMA CHEMICAL INDUSTRY Co (TSE:4222) 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, KODAMA CHEMICAL INDUSTRY Co's WACC % is 1.02%. KODAMA CHEMICAL INDUSTRY Co's ROC % is -17.53% (calculated using TTM income statement data). KODAMA CHEMICAL INDUSTRY 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.

KODAMA CHEMICAL INDUSTRY Co ROC % Related Terms

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

KODAMA CHEMICAL INDUSTRY Co Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Vehicles & Parts » KODAMA CHEMICAL INDUSTRY Co Ltd (TSE:4222) » Definitions » ROC %

Comparable Companies

Traded in Other Exchanges

N/A

Address

1-2-2 Nihombashi-machi-cho machi, Chuo-ku, Tokyo, JPN, 103-0021

Website

http://www.kodama-chemical.co.jp

KODAMA CHEMICAL INDUSTRY Co Ltd is engaged in the production of moulded plastic products. It is organised into three principal operating segments - Auto Parts, Housing Facility / Cold Equipment Parts, and Entertainment business. The company supply automotive interior and exterior products such as various pillars, luggage trim, trunk trim, door trim, spoiler, fender cover, instrument panel, front spoiler and skirt to major automobile manufacturers. Its Housing Facility / Cold Equipment Parts division offers resin products such as toilet makeup cabinet, bathroom cabinet, bathroom panel, washing machine pan, and bathroom ceiling. The majority of its revenue is derived from the Auto Parts business.

KODAMA CHEMICAL INDUSTRY Co Headlines

No Headlines