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IG Group Holdings (LSE:IGG) ROCE % : 21.48% (As of May. 2024)


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What is IG Group Holdings ROCE %?

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. IG Group Holdings's annualized ROCE % for the quarter that ended in May. 2024 was 21.48%.


IG Group Holdings ROCE % Historical Data

The historical data trend for IG Group Holdings'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.

* Premium members only.

IG Group Holdings ROCE % Chart

IG Group Holdings Annual Data
Trend May15 May16 May17 May18 May19 May20 May21 May22 May23 May24
ROCE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 30.27 39.31 27.06 19.49 18.48

IG Group Holdings Semi-Annual Data
Nov14 May15 Nov15 May16 Nov16 May17 Nov17 May18 Nov18 May19 Nov19 May20 Nov20 May21 Nov21 May22 Nov22 May23 Nov23 May24
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 21.34 20.91 18.34 16.30 21.48

IG Group Holdings ROCE % Calculation

IG Group Holdings's annualized ROCE % for the fiscal year that ended in May. 2024 is calculated as:

ROCE %=EBIT/( (Capital Employed+Capital Employed)/ count )
(A: May. 2024 )  (A: May. 2023 )(A: May. 2024 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(A: May. 2024 )  (A: May. 2023 )(A: May. 2024 )
=428.9/( ( (2995.2 - 607.7) + (2940.9 - 685.6) )/ 2 )
=428.9/( (2387.5+2255.3)/ 2 )
=428.9/2321.4
=18.48 %

IG Group Holdings's ROCE % of for the quarter that ended in May. 2024 is calculated as:

ROCE %=EBIT (1)/( (Capital Employed+Capital Employed)/ count )
(Q: May. 2024 )  (Q: Nov. 2023 )(Q: May. 2024 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(Q: May. 2024 )  (Q: Nov. 2023 )(Q: May. 2024 )
=481.6/( ( (2777 - 548.6) + (2940.9 - 685.6) )/ 2 )
=481.6/( ( 2228.4 + 2255.3 )/ 2 )
=481.6/2241.85
=21.48 %

(1) Note: The EBIT data used here is two times the semi-annual (May. 2024) 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.


IG Group Holdings  (LSE:IGG) 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.


IG Group Holdings ROCE % Related Terms

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IG Group Holdings Business Description

Traded in Other Exchanges
Address
Cannon Bridge House, 25 Dowgate Hill, London, GBR, EC4R 2YA
IG Group Holdings PLC provides online trading services to its clients. The majority of the company's revenue stems from its derivative products and contracts for difference (CFDs). The company operates through various segments which are The U.K. segment which derives its revenue from financial spread bets, CFDs, binary options, and execution-only stockbroking. The Australian segment derives its revenue from CFDs and binary options. The European segment derives its revenue from CFDs, binary options, and execution-only stockbroking. The Rest of the World segment derives its revenue from the operation of a regulated futures and options exchange as well as CFDs and binary options. The company generates more than half of its revenue from the U.K., followed by Europe and Australia.

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