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XYLO (Xylo Technologies) ROC % : -23.91% (As of Jun. 2024)


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What is Xylo Technologies 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 %. Xylo Technologies's annualized return on capital (ROC %) for the quarter that ended in Jun. 2024 was -23.91%.

As of today (2024-12-15), Xylo Technologies's WACC % is 14.00%. Xylo Technologies's ROC % is -24.93% (calculated using TTM income statement data). Xylo Technologies earns returns that do not match up to its cost of capital. It will destroy value as it grows.


Xylo Technologies ROC % Historical Data

The historical data trend for Xylo Technologies'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.

Xylo Technologies ROC % Chart

Xylo Technologies Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
ROC %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -277.00 -82.33 -37.88 -18.82 -20.25

Xylo Technologies Semi-Annual Data
Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24
ROC % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -15.53 -16.67 -16.48 -24.79 -23.91

Xylo Technologies ROC % Calculation

Xylo Technologies's annualized Return on Capital (ROC %) for the fiscal year that ended in Dec. 2023 is calculated as:

ROC % (A: Dec. 2023 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: Dec. 2022 ) + Invested Capital (A: Dec. 2023 ))/ count )
=-10.815 * ( 1 - 0.34% )/( (60.434 + 46.009)/ 2 )
=-10.778229/53.2215
=-20.25 %

where

Xylo Technologies's annualized Return on Capital (ROC %) for the quarter that ended in Jun. 2024 is calculated as:

ROC % (Q: Jun. 2024 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Dec. 2023 ) + Invested Capital (Q: Jun. 2024 ))/ count )
=-9.014 * ( 1 - 0.38% )/( (46.009 + 29.109)/ 2 )
=-8.9797468/37.559
=-23.91 %

where

Note: The Operating Income data used here is two times the semi-annual (Jun. 2024) 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.


Xylo Technologies  (NAS:XYLO) 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, Xylo Technologies's WACC % is 14.00%. Xylo Technologies's ROC % is -24.93% (calculated using TTM income statement data). Xylo Technologies 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.


Xylo Technologies ROC % Related Terms

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Xylo Technologies Business Description

Traded in Other Exchanges
N/A
Address
10 Hanechoshet Street, 4th Floor, Tel Aviv, ISR, 6971072
Xylo Technologies Ltd is an Israel-based medical device company. The company is engaged in the development, manufacturing, and marketing of direct vision systems for minimally invasive medical procedures and safety systems for drones and the electric vehicle (EV) sector. The key product of the company is the MUSE (Medigus Ultrasonic Surgical Endostapler) system is a single-use device for the incision-less treatment of GERD (gastroesophageal reflux disease), which is based on proprietary platform technology and know-how. The company operates in five segments namely, E-Commerce, Online Advertising & Internet Traffic Routing, Online Event Management, Corporate, and others. The company's geographical segments include the United States, Europe, Great Britain, Israel, Canada, Asia, and others.