China New Town Development Co (HKSE:01278) ROCE %: 2.75% (As of Dec. 2025)

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What is China New Town Development Co ROCE %?

China New Town Development Co HKSE:01278 -4.23% ROCE % is 2.75% as of Dec. 2025. The stock has 6 warning signs investors should review.

ROCE % measures how well a company generates profits from its capital. It is calculated as EBIT divided by Capital Employed, where Capital Employed is calculated as Total Assets minus Total Current Liabilities. China New Town Development Co's annualized ROCE % for the quarter that ended in Dec. 2025 was 2.75%.

China New Town Development Co  (HKSE:01278) ROCE % Explanation

ROCE % can be especially useful when comparing the performance of capital-intensive companies. Unlike ROE %, which indicates the profitability of Shareholders Equity, ROCE % also considers long-term debt in Capital Employed. This can be helpful when analyzing companies with significant debt, as the result is neutralized by taking debt into consideration.

Generally speaking, a higher ROCE % indicates a stonger profitability for a company. Moreover, it is important to look at the ratio from a long term perspective. Investors tend to favor companies with stable and rising ROCE % trend over those with volatile ones.

China New Town Development Co ROCE % Related Terms

China New Town Development Co ROCE % Historical Data

* Premium members only.

The historical data trend for China New Town Development Co's ROCE % 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.

China New Town Development Co ROCE % Chart

China New Town Development Co Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROCE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 3.72 1.80 4.73 2.32 2.95

China New Town Development Co Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
ROCE % 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 5.40 3.76 0.92 3.79 2.75

China New Town Development Co ROCE % Calculation

China New Town Development Co's annualized ROCE % for the fiscal year that ended in Dec. 2025 is calculated as:

ROCE %=EBIT/( (Capital Employed+Capital Employed)/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=225.841/( ( (8430.076 - 909.161) + (10235.687 - 2468.736) )/ 2 )
=225.841/( (7520.915+7766.951)/ 2 )
=225.841/7643.933
=2.95 %

China New Town Development Co's ROCE % of for the quarter that ended in Dec. 2025 is calculated as:

ROCE %=EBIT (1)/( (Capital Employed+Capital Employed)/ count )
(Q: Dec. 2025 )  (Q: Jun. 2025 )(Q: Dec. 2025 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(Q: Dec. 2025 )  (Q: Jun. 2025 )(Q: Dec. 2025 )
=190.71/( ( (8563.721 - 2472.552) + (10235.687 - 2468.736) )/ 2 )
=190.71/( ( 6091.169 + 7766.951 )/ 2 )
=190.71/6929.06
=2.75 %

(1) Note: The EBIT data used here is two times the semi-annual (Dec. 2025) EBIT 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.

Frequently Asked Questions Learn more about ROCE % →
What does a ROCE % of 2.75% mean?
China New Town Development Co (HKSE:01278) has a ROCE % of 2.75% as of Dec. 2025.
Is China New Town Development Co's ROCE % too high?
China New Town Development Co's current ROCE % is 2.75%. The Real Estate industry median ROCE % is 4.77. China New Town Development Co's value of 2.75% is 42.3% below this industry median.
How does China New Town Development Co's ROCE % compare to competitors?
China New Town Development Co's ROCE % of 2.75% can be compared against companies in the Real Estate industry. The industry median ROCE % is 4.77. China New Town Development Co's value of 2.75% is 42.3% below this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROCE % for a Real Estate company?
The median ROCE % among Real Estate companies is 4.77, based on 1,760 companies in the industry. Companies in the top quartile (top 25%) have a ROCE % significantly above this median, while those in the bottom quartile fall well below. However, ROCE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. China New Town Development Co's current ROCE % of 2.75% is 42.3% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROCE % mean?
A high ROCE % can signal that a stock is expensive relative to its fundamentals. For the Real Estate industry, the median ROCE % is 4.77 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. China New Town Development Co's current ROCE % is 2.75%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is China New Town Development Co stock overvalued right now?
Based on GuruFocus' analysis, China New Town Development Co (HKSE:01278) is currently considered Fairly Valued. The stock's GF Value™ is HK$0.07, compared to a current price of HK$0.07 — trading 2.9% below its estimated fair value. The current ROCE % is 2.75% and 42.3% below the Real Estate industry median of 4.77. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROCE % calculated?
ROCE % is calculated from a company's financial statements. For China New Town Development Co (HKSE:01278), the current ROCE % is 2.75% as of Dec. 2025. 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.

China New Town Development Co Business Description

Address 18 Harbour Road, Suite 6508, Central Plaza, Wanchai, Hong Kong, HKG
China New Town Development Co Ltd is engaged in urbanization investment and real estate-related businesses in Mainland China. The company has four operating segments: Urbanization Investment, Property Leasing, Building Construction, and Others. The Urbanization Investment segment is responsible for fixed-income projects related to new-type urbanization. The Property Leasing segment provides leasing services for investment properties, while the Building Construction segment is engaged in the construction of ancillary public facilities. The Others segment includes the provision of other services. The company derives the majority of its revenue from the Urbanization Investment segment.