Ridi Power Co (XNEP:RIDI) ROC %: 0.00% (As of . 20)

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XNEP:RIDI Ridi Power Co Ltd XNEP:RIDI
27 GF Score
Price NPR384.00
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What is Ridi Power Co ROC %?

Ridi Power Co XNEP:RIDI +5.79% 27 ROC % is 0.00% as of . 20. GuruFocus rates XNEP:RIDI with a GF Score™ of 27/100.

ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. Ridi Power Co's annualized return on capital (ROC %) for the quarter that ended in . 20 was 0.00%.

As of today (2026-08-05), Ridi Power Co's WACC % is 10.06%. Ridi Power Co's ROC % is 0.00% (calculated using TTM income statement data). Ridi Power Co earns returns that do not match up to its cost of capital. It will destroy value as it grows.

Ridi Power Co  (XNEP:RIDI) 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, Ridi Power Co's WACC % is 10.06%. Ridi Power Co's ROC % is 0.00% (calculated using TTM income statement data). Ridi Power 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.

Ridi Power Co ROC % Related Terms

Ridi Power Co ROC % Historical Data

* Premium members only.

The historical data trend for Ridi Power 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.

Ridi Power Co ROC % Chart

Ridi Power Co Annual Data
Trend
ROC %

Ridi Power Co Semi-Annual Data
ROC %
XNEP:RIDI
27GF Score
Ridi Power Co Ltd XNEP:RIDI
ROC % is just one metric. See GF Score™, valuation, warning signs, and more.
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Ridi Power Co ROC % Calculation

Ridi Power Co's annualized Return on Capital (ROC %) for the fiscal year that ended in . 20 is calculated as:

ROC % (A: . 20 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: . 20 ) + Invested Capital (A: . 20 ))/ count )
= * ( 1 - % )/( ( + )/ )
=/
= %

where

Invested Capital(A: . 20 )
=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))
= - - ( - max(0, - +))
=

Invested Capital(A: . 20 )
=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))
= - - ( - max(0, - +))
=

Ridi Power Co's annualized Return on Capital (ROC %) for the quarter that ended in . 20 is calculated as:

ROC % (Q: . 20 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: . 20 ) + Invested Capital (Q: . 20 ))/ count )
= * ( 1 - % )/( ( + )/ )
=/
= %

where

Invested Capital(Q: . 20 )
=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))
= - - ( - max(0, - +))
=

Invested Capital(Q: . 20 )
=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))
= - - ( - max(0, - +))
=

Note: The Operating Income data used here is one times the annual (. 20) data. The tax rate is limited to between 0% and 100%.

* 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.

Frequently Asked Questions Learn more about ROC % →
What does a ROC % of 0.00% mean?
Ridi Power Co (XNEP:RIDI) has a ROC % of 0.00% as of . 20. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on Ridi Power Co and its competitors.
Is Ridi Power Co's ROC % too high?
Ridi Power Co's current ROC % is 0.00%. Overall, Ridi Power Co has a GF Score™ of 27/100, reflecting its overall financial health beyond just this single metric.
How does Ridi Power Co's ROC % compare to competitors?
Ridi Power Co's ROC % of 0.00% can be compared against companies in the Utilities - Independent Power Producers industry. The industry median ROC % is 2.26. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROC % for an Utilities - Independent Power Producers company?
The median ROC % among Utilities - Independent Power Producers companies is 2.26, based on 434 companies in the industry. Companies in the top quartile (top 25%) have a ROC % significantly above this median, while those in the bottom quartile fall well below. However, ROC % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROC % mean?
A high ROC % can signal that a stock is expensive relative to its fundamentals. Return on capital is the ratio of current-period net income to average two-period capital. View historical data on Ridi Power Co and its competitors. For the Utilities - Independent Power Producers industry, the median ROC % is 2.26 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Ridi Power Co's current ROC % is 0.00%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ridi Power Co stock overvalued right now?
Ridi Power Co (XNEP:RIDI) has a current ROC % of 0.00%. The current ROC % is 0.00%. Ridi Power Co's overall GF Score™ is 27/100. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROC % calculated?
ROC % is calculated from a company's financial statements. For Ridi Power Co (XNEP:RIDI), the current ROC % is 0.00% as of . 20. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Ridi Power Co Business Description

Address Thapathali Road, Trade Tower, 5th Floor, Kathmandu, NPL
Ridi Power Co Ltd is a hydro developer company in Nepal. The main objective of the company is to generate electricity.
27GF Score

Get the complete analysis for XNEP:RIDI

ROC % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

NPR384.00
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