Reconova Technologies Co (HKSE:07656) ROCE %: -52.74% (As of Dec. 2025)

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HKSE:07656 Reconova Technologies Co Ltd HKSE:07656
11 GF Score
Price HK$32.32
! 2 Warning Signs
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What is Reconova Technologies Co ROCE %?

Reconova Technologies Co HKSE:07656 +9.56% 11 ROCE % is -52.74% as of Dec. 2025. GuruFocus rates HKSE:07656 with a GF Score™ of 11/100. The stock has 2 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. Reconova Technologies Co's annualized ROCE % for the quarter that ended in Dec. 2025 was -52.74%.

Reconova Technologies Co  (HKSE:07656) 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.

Reconova Technologies Co ROCE % Related Terms

Reconova Technologies Co ROCE % Historical Data

* Premium members only.

The historical data trend for Reconova Technologies 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.

Reconova Technologies Co ROCE % Chart

Reconova Technologies Co Annual Data
Trend Dec23 Dec24 Dec25
ROCE %
-26.55 8.31 -52.74

Reconova Technologies Co Semi-Annual Data
Dec23 Dec24 Dec25
ROCE % -26.55 8.31 -52.74
HKSE:07656
11GF Score
Reconova Technologies Co Ltd HKSE:07656
ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Reconova Technologies Co ROCE % Calculation

Reconova Technologies 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 )
=-69.773/( ( (447.142 - 312.555) + (753.256 - 623.244) )/ 2 )
=-69.773/( (134.587+130.012)/ 2 )
=-69.773/132.2995
=-52.74 %

Reconova Technologies 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: Dec. 2024 )(Q: Dec. 2025 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(Q: Dec. 2025 )  (Q: Dec. 2024 )(Q: Dec. 2025 )
=-69.773/( ( (447.142 - 312.555) + (753.256 - 623.244) )/ 2 )
=-69.773/( ( 134.587 + 130.012 )/ 2 )
=-69.773/132.2995
=-52.74 %

(1) Note: The EBIT data used here is one times the 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 -52.74% mean?
Reconova Technologies Co (HKSE:07656) has a ROCE % of -52.74% as of Dec. 2025.
Is Reconova Technologies Co's ROCE % too high?
Reconova Technologies Co's current ROCE % is -52.74%. Overall, Reconova Technologies Co has a GF Score™ of 11/100, reflecting its overall financial health beyond just this single metric.
How does Reconova Technologies Co's ROCE % compare to IBM and ACN?
Reconova Technologies Co's ROCE % of -52.74% can be compared against companies in the Software industry. The industry median ROCE % is 5.33. 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 Software company?
The median ROCE % among Software companies is 5.33, based on 2,726 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. 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 Software industry, the median ROCE % is 5.33 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Reconova Technologies Co's current ROCE % is -52.74%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Reconova Technologies Co stock overvalued right now?
Reconova Technologies Co (HKSE:07656) has a current ROCE % of -52.74%. The current ROCE % is -52.74%. Reconova Technologies Co's overall GF Score™ is 11/100 with 2 warning signs to review. 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 Reconova Technologies Co (HKSE:07656), the current ROCE % is -52.74% 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.

Reconova Technologies Co Business Description

Address No. 3185 Sha He West Road, Xi Li Road, Floor 4-5, Block F, Nanshan Zhi Gu Industry Park, Nanshan District, Guangdong Province, Shenzhen, CHN
Reconova Technologies Co Ltd is an AI company that provides visual AI technologies and products for enterprise clients. It is engaged in the research and development, design and sale of Visual Intelligents, commercial robots and intelligent passage devices. The company's product offerings include visual perception, visual cognition, and visual reasoning solutions applied across sectors including civil aviation, commercial spaces, and driving safety. The majority of the company's revenue is derived from the sale of Intelligent Civil Aviation, which covers the entire passenger journey including check-in, security screening, boarding, and customer service. Geographically, the maximum revenue is generated from the Chinese Mainland.
11GF Score

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

HK$32.32
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