GURUFOCUS.COM » STOCK LIST » Healthcare » Drug Manufacturers » Cantourage Group SE (XTER:HIGH) » Definitions » ROC %

Cantourage Group SE (XTER:HIGH) ROC % : 0.07% (As of Jun. 2023)


View and export this data going back to 2022. Start your Free Trial

What is Cantourage Group SE 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 %. Cantourage Group SE's annualized return on capital (ROC %) for the quarter that ended in Jun. 2023 was 0.07%.

As of today (2024-06-25), Cantourage Group SE's WACC % is 0.00%. Cantourage Group SE's ROC % is 0.07% (calculated using TTM income statement data). Cantourage Group SE 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.


Cantourage Group SE ROC % Historical Data

The historical data trend for Cantourage Group SE'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.

Cantourage Group SE ROC % Chart

Cantourage Group SE Annual Data
Trend Dec19 Dec20 Dec21 Dec22
ROC %
-217.07 -158.01 -67.21 0.04

Cantourage Group SE Semi-Annual Data
Dec19 Dec20 Dec21 Jun22 Dec22 Jun23
ROC % Get a 7-Day Free Trial - - - 0.08 0.07

Cantourage Group SE ROC % Calculation

Cantourage Group SE's annualized Return on Capital (ROC %) for the fiscal year that ended in Dec. 2022 is calculated as:

ROC % (A: Dec. 2022 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: Dec. 2021 ) + Invested Capital (A: Dec. 2022 ))/ count )
=0.029 * ( 1 - 68.97% )/( (2.178 + 41.116)/ 2 )
=0.0089987/21.647
=0.04 %

where

Cantourage Group SE's annualized Return on Capital (ROC %) for the quarter that ended in Jun. 2023 is calculated as:

ROC % (Q: Jun. 2023 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Dec. 2022 ) + Invested Capital (Q: Jun. 2023 ))/ count )
=0.056 * ( 1 - 48.28% )/( (41.116 + 43.435)/ 2 )
=0.0289632/42.2755
=0.07 %

where

Note: The Operating Income data used here is two times the semi-annual (Jun. 2023) data.

* 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.


Cantourage Group SE  (XTER:HIGH) 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, Cantourage Group SE's WACC % is 0.00%. Cantourage Group SE's ROC % is 0.07% (calculated using TTM income statement data). Cantourage Group SE 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.


Cantourage Group SE ROC % Related Terms

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


Cantourage Group SE (XTER:HIGH) Business Description

Comparable Companies
Traded in Other Exchanges
Address
Feurigstrasse 54, Berlin, DEU, 10827
Cantourage Group SE is a medical cannabis company. The company offers products in all relevant market segments: dried flowers, extracts, Dronabinol, and pharma-grade Cannabidiol.
Executives
Patrick Hoffmann Supervisory Board
Dr. Florian Kainzinger Supervisory Board
Dr. / Dr. Florian / Michael Kainzinger / Ruoff Supervisory Board
Dr. / Dr. Florian /michael Kainzinger / Ruoff Supervisory Board
Dr. / Herr Florian / Patrick Holzapfel / Hoffmann Supervisory Board
Dr. Florian Holzapfel Supervisory Board
Dr. Michael Ruoff Supervisory Board

Cantourage Group SE (XTER:HIGH) Headlines