Gridwiz Co (XKRX:453450) ROC % : -24.80% (As of Dec. 2024)

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What is Gridwiz 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 %. Gridwiz Co's annualized return on capital (ROC %) for the quarter that ended in Dec. 2024 was -24.80%.

As of today (2025-04-01), Gridwiz Co's WACC % is 8.32%. Gridwiz Co's ROC % is 0.31% (calculated using TTM income statement data). Gridwiz Co earns returns that do not match up to its cost of capital. It will destroy value as it grows.

Gridwiz Co ROC % Historical Data

The historical data trend for Gridwiz 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.

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Gridwiz Co ROC % Chart

Gridwiz Co Annual Data

Trend

Dec21

Dec22

Dec23

Dec24

ROC %

2.87

-2.41

1.46

-8.85

Gridwiz Co Quarterly Data
	Mar23	Jun23	Sep23	Dec23	Mar24	Jun24	Sep24	Dec24
ROC %	Get a 7-Day Free Trial			6.26	-12.89	-8.33	15.46	-24.80

Gridwiz Co ROC % Calculation

Gridwiz Co'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 )
=	-4342.6 * ( 1 - -49.57% )	/	( (72386.906	+	74356.366)	/ 2 )
=	-6495.22682	/	73371.636
=	-8.85 %

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	))
=	122293.083	-	28570.288	-	( 21335.889	-	max(0, 34131.559	-	59394.892	+	21335.889	))
=	72386.906

	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	))
=	168756.259	-	24698.538	-	( 69701.355	-	max(0, 28754.637	-	104625.937	+	69701.355	))
=	74356.366

Gridwiz Co'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 )
=	-16422.024 * ( 1 - -12.02% )	/	( (74018.556	+	74356.366)	/ 2 )
=	-18395.9512848	/	74187.461
=	-24.80 %

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	))
=	190340.692	-	40792.551	-	( 75529.585	-	max(0, 47529.515	-	125822.616	+	75529.585	))
=	74018.556

	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	))
=	168756.259	-	24698.538	-	( 69701.355	-	max(0, 28754.637	-	104625.937	+	69701.355	))
=	74356.366

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

Gridwiz Co (XKRX:453450) 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, Gridwiz Co's WACC % is 8.32%. Gridwiz Co's ROC % is 0.31% (calculated using TTM income statement data). Gridwiz 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.

Gridwiz Co ROC % Related Terms

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Gridwiz Co Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Industrials » Conglomerates » Gridwiz Co Ltd (XKRX:453450) » Definitions » ROC %

Traded in Other Exchanges

N/A

Address

Building 1010, 25, Sanun-ro 208beongal, Bundang-gu, Gyeonggi-do, Seongnam-si, KOR

Website

https://www.gridwiz.com

Gridwiz Co Ltd is a Company that provides power demand management services, manufactures and sells electric vehicle charging modems and chargers, and engages in ESS and solar power generation facility installation and operation management businesses.

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