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Rambus (LTS:0QYL) ROCE % : 20.27% (As of Sep. 2024)


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What is Rambus 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. Rambus's annualized ROCE % for the quarter that ended in Sep. 2024 was 20.27%.


Rambus ROCE % Historical Data

The historical data trend for Rambus'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.

Rambus ROCE % Chart

Rambus Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
ROCE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -5.70 -2.16 3.19 -0.64 18.36

Rambus Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
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 40.49 22.31 12.10 15.61 20.27

Rambus ROCE % Calculation

Rambus's annualized ROCE % for the fiscal year that ended in Dec. 2023 is calculated as:

ROCE %=EBIT/( (Capital Employed+Capital Employed)/ count )
(A: Dec. 2023 )  (A: Dec. 2022 )(A: Dec. 2023 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(A: Dec. 2023 )  (A: Dec. 2022 )(A: Dec. 2023 )
=188.65/( ( (1012.594 - 126.709) + (1258.227 - 89.121) )/ 2 )
=188.65/( (885.885+1169.106)/ 2 )
=188.65/1027.4955
=18.36 %

Rambus's ROCE % of for the quarter that ended in Sep. 2024 is calculated as:

ROCE %=EBIT (1)/( (Capital Employed+Capital Employed)/ count )
(Q: Sep. 2024 )  (Q: Jun. 2024 )(Q: Sep. 2024 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(Q: Sep. 2024 )  (Q: Jun. 2024 )(Q: Sep. 2024 )
=237.448/( ( (1250.623 - 85.034) + (1251.57 - 74.127) )/ 2 )
=237.448/( ( 1165.589 + 1177.443 )/ 2 )
=237.448/1171.516
=20.27 %

(1) Note: The EBIT data used here is four times the quarterly (Sep. 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.


Rambus  (LTS:0QYL) 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.


Rambus ROCE % Related Terms

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Rambus Business Description

Address
4453 North First Street, Suite 100, San Jose, CA, USA, 95134
Rambus Inc is a semiconductor solutions provider offering high-speed, high-security computer chips and Silicon intellectual property. The company's key products include memory interface chips, built for high speed and efficiency; silicon IP, providing high-speed memory and chip-to-chip connection technology; and architecture licenses, which allow customers to use portions of Rambus' patented inventions for their own digital electronics. The firm receives the majority of its revenue from the United States, Taiwan, Asia, Japan, and Singapore.

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