OCB Bhd (XKLS:5533) ROC % : -45.29% (As of Dec. 2024)

View and export this data going back to 1992. Start your Free Trial

What is OCB Bhd 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 %. OCB Bhd's annualized return on capital (ROC %) for the quarter that ended in Dec. 2024 was -45.29%.

As of today (2025-03-24), OCB Bhd's WACC % is 4.89%. OCB Bhd's ROC % is 7.81% (calculated using TTM income statement data). OCB Bhd 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.

OCB Bhd ROC % Historical Data

The historical data trend for OCB Bhd'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.

OCB Bhd ROC % Chart

OCB Bhd Annual Data

Trend

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Dec24

ROC %

Get a 7-Day Free Trial

1.88

-1.34

0.41

6.45

8.01

OCB Bhd Quarterly Data
	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23	Mar24	Jun24	Sep24	Dec24
ROC %	Get a 7-Day Free Trial															11.95	11.30	4.68	8.27	-45.29

OCB Bhd ROC % Calculation

OCB Bhd's annualized Return on Capital (ROC %) for the fiscal year that ended in Dec. 2024 is calculated as:

	ROC % (A: Dec. 2024 )
=	NOPAT	/	Average Invested Capital
=	Operating Income * ( 1 - Tax Rate % )	/	( (Invested Capital (A: Dec. 2023 )	+	Invested Capital (A: Dec. 2024 ))	/ count )
=	29.433 * ( 1 - 46.79% )	/	( (218.637	+	172.341)	/ 2 )
=	15.6612993	/	195.489
=	8.01 %

where

	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	))
=	313.035	-	38.585	-	( 63.497	-	max(0, 87.038	-	142.851	+	63.497	))
=	218.637

	Invested Capital		(A: Dec. 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	))
=	299.251	-	53.409	-	( 73.501	-	max(0, 81.098	-	163.897	+	73.501	))
=	172.341

OCB Bhd's annualized Return on Capital (ROC %) for the quarter that ended in Dec. 2024 is calculated as:

	ROC % (Q: Dec. 2024 )
=	NOPAT	/	Average Invested Capital
=	Operating Income * ( 1 - Tax Rate % )	/	( (Invested Capital (Q: Sep. 2024 )	+	Invested Capital (Q: Dec. 2024 ))	/ count )
=	53.74 * ( 1 - 256.48% )	/	( (199.003	+	172.341)	/ 2 )
=	-84.092352	/	185.672
=	-45.29 %

where

	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	))
=	327.867	-	60.949	-	( 67.915	-	max(0, 98.311	-	171.586	+	67.915	))
=	199.003

	Invested Capital		(Q: Dec. 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	))
=	299.251	-	53.409	-	( 73.501	-	max(0, 81.098	-	163.897	+	73.501	))
=	172.341

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

OCB Bhd (XKLS:5533) 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, OCB Bhd's WACC % is 4.89%. OCB Bhd's ROC % is 7.81% (calculated using TTM income statement data). OCB Bhd 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.

OCB Bhd ROC % Related Terms

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

OCB Bhd Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Consumer Defensive » Consumer Packaged Goods » OCB Bhd (XKLS:5533) » Definitions » ROC %

Comparable Companies

Traded in Other Exchanges

N/A

Address

Jalan SS 6/6, Kelana Jaya, 2B-5, Level 5, Petaling Jaya, SGR, MYS, 47301

Website

https://www.ocbb.com.my

OCB Bhd is an investment company operating in the consumer foods, bedding products, and building materials sector. The company's operating segments include Building materials, Bedding products, Consumer foods, Property development, and Others. The majority of its revenue comes from the Consumer Foods segment, which is engaged in the manufacturing and trading of various types of consumer foods. Geographically, the company generates revenue from Malaysia, Indonesia, Republic of Singapore, Brunei, Australia, the United States of America, and other locations. The majority of its revenue comes from Malaysia.

OCB Bhd Headlines

No Headlines