Alibaba Group Holding (MEX:BABA) ROCE % : 16.64% (As of Sep. 2024)

View and export this data going back to 2014. Start your Free Trial

What is Alibaba Group Holding 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. Alibaba Group Holding's annualized ROCE % for the quarter that ended in Sep. 2024 was 16.64%.

Alibaba Group Holding ROCE % Historical Data

The historical data trend for Alibaba Group Holding'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.

Alibaba Group Holding ROCE % Chart

Alibaba Group Holding Annual Data

Trend

Mar15

Mar16

Mar17

Mar18

Mar19

Mar20

Mar21

Mar22

Mar23

Mar24

ROCE %

Get a 7-Day Free Trial

19.90

13.87

6.11

7.22

8.25

Alibaba Group Holding 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															11.37	6.56	5.14	10.92	16.64

Alibaba Group Holding ROCE % Calculation

Alibaba Group Holding's annualized ROCE % for the fiscal year that ended in Mar. 2024 is calculated as:

ROCE %	=	EBIT	/	( (Capital Employed	+	Capital Employed)	/ count )
		(A: Mar. 2024 )		(A: Mar. 2023 )		(A: Mar. 2024 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(A: Mar. 2024 )		(A: Mar. 2023 )		(A: Mar. 2024 )
	=	275410.49	/	( ( (4585557.489 - 1007989.054)	+	(4067146.027 - 971386.191) )	/ 2 )
	=	275410.49	/	( (3577568.435	+	3095759.836)	/ 2 )
	=	275410.49	/	3336664.1355
	=	8.25 %

Alibaba Group Holding'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 )
	=	582973.128	/	( ( (4507749.892 - 1168923.936)	+	(4905077.458 - 1237928.827) )	/ 2 )
	=	582973.128	/	( ( 3338825.956	+	3667148.631 )	/ 2 )
	=	582973.128	/	3502987.2935
	=	16.64 %

(1) Note: The EBIT data used here is four times the quarterly (Sep. 2024) EBIT data.

Alibaba Group Holding (MEX:BABA) 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.

Alibaba Group Holding ROCE % Related Terms

Thank you for viewing the detailed overview of Alibaba Group Holding's ROCE % provided by GuruFocus.com. Please click on the following links to see related term pages.

Alibaba Group Holding Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Retail - Cyclical » Alibaba Group Holding Ltd (MEX:BABA) » Definitions » ROCE %

Comparable Companies

Traded in Other Exchanges

BABAF:USA BABA:USA 9988:Mexico 09988:Hong Kong AHLAd:UK AHLA:Germany BABA34:Brazil AHLA:Bulgaria AHLA:Austria BABA:Argentina

Address

1 Matheson Street, Causeway Bay, 26th Floor, Tower One, Times Square, Hong Kong, HKG

Website

https://www.alibabagroup.com

Alibaba is the world's largest online and mobile commerce company as measured by gross merchandise volume. It operates China's online marketplaces, including Taobao (consumer-to-consumer) and Tmall (business-to-consumer). The China commerce retail division is the most valuable cash flow-generating business at Alibaba. Additional revenue sources include China commerce wholesale, international commerce retail/wholesale, local consumer services, cloud computing, digital media and entertainment platforms, Cainiao logistics services, and innovation initiatives/other.