Cradle Arc (LSE:ALO) ROCE %: -15.15% (As of Jun. 2018)


What is Cradle Arc ROCE %?

Cradle Arc LSE:ALO ROCE % is -15.15% as of Jun. 2018. 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. Cradle Arc's annualized ROCE % for the quarter that ended in Jun. 2018 was -15.15%.

Cradle Arc  (LSE:ALO) 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.

Cradle Arc ROCE % Related Terms

Cradle Arc ROCE % Historical Data

* Premium members only.

The historical data trend for Cradle Arc'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.

Cradle Arc ROCE % Chart

Cradle Arc Annual Data
Trend Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17
ROCE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -25.73 -13.84 -4.51 -24.56 -34.29

Cradle Arc Semi-Annual Data
Dec08 Jun09 Dec09 Jun10 Dec10 Jun11 Dec11 Jun12 Dec12 Jun13 Dec13 Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18
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 -3.19 -45.16 -6.06 -42.89 -15.15

Cradle Arc ROCE % Calculation

Cradle Arc's annualized ROCE % for the fiscal year that ended in Dec. 2017 is calculated as:

ROCE %=EBIT/( (Capital Employed+Capital Employed)/ count )
(A: Dec. 2017 )  (A: Dec. 2016 )(A: Dec. 2017 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(A: Dec. 2017 )  (A: Dec. 2016 )(A: Dec. 2017 )
=-12.964/( ( (18.087 - 0.43) + (86.21 - 28.251) )/ 2 )
=-12.964/( (17.657+57.959)/ 2 )
=-12.964/37.808
=-34.29 %

Cradle Arc's ROCE % of for the quarter that ended in Jun. 2018 is calculated as:

ROCE %=EBIT (1)/( (Capital Employed+Capital Employed)/ count )
(Q: Jun. 2018 )  (Q: Dec. 2017 )(Q: Jun. 2018 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(Q: Jun. 2018 )  (Q: Dec. 2017 )(Q: Jun. 2018 )
=-9.228/( ( (86.21 - 28.251) + (88.571 - 24.746) )/ 2 )
=-9.228/( ( 57.959 + 63.825 )/ 2 )
=-9.228/60.892
=-15.15 %

(1) Note: The EBIT data used here is two times the semi-annual (Jun. 2018) 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 -15.15% mean?
Cradle Arc (LSE:ALO) has a ROCE % of -15.15% as of Jun. 2018.
Is Cradle Arc's ROCE % too high?
Cradle Arc's current ROCE % is -15.15%.
How does Cradle Arc's ROCE % compare to competitors?
Cradle Arc's ROCE % of -15.15% can be compared against companies in the Metals & Mining industry. 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 Metals & Mining company?
A good ROCE % depends on the Metals & Mining industry context. 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. Cradle Arc's current ROCE % is -15.15%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Cradle Arc stock overvalued right now?
Cradle Arc (LSE:ALO) has a current ROCE % of -15.15%. The current ROCE % is -15.15%. 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 Cradle Arc (LSE:ALO), the current ROCE % is -15.15% as of Jun. 2018. 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.

Cradle Arc Business Description

Address 27/28 Eastcastle Street, Eastcastle House, London, GBR, W1W 8DH
Cradle Arc PLC, formerly known as Alecto Minerals PLC is engaged in exploration and development of precious and base metals. Its main countries of operation are Botswana, Zambia and Mali. The company's properties include Mowana Copper Mine, and Matala Gold Mine.