Royal Arc Electrodes (NSE:ROYALARC) ROCE %: 20.36% (As of Mar. 2026)


NSE:ROYALARC Royal Arc Electrodes Ltd NSE:ROYALARC
19 GF Score
Price ₹146.05
! 4 Warning Signs
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What is Royal Arc Electrodes ROCE %?

Royal Arc Electrodes NSE:ROYALARC 19 ROCE % is 20.36% as of Mar. 2026. GuruFocus rates NSE:ROYALARC with a GF Score™ of 19/100. The stock has 4 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. Royal Arc Electrodes's annualized ROCE % for the quarter that ended in Mar. 2026 was 20.36%.

Royal Arc Electrodes  (NSE:ROYALARC) 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.

Royal Arc Electrodes ROCE % Related Terms

Royal Arc Electrodes ROCE % Historical Data

* Premium members only.

The historical data trend for Royal Arc Electrodes'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.

Royal Arc Electrodes ROCE % Chart

Royal Arc Electrodes Annual Data
Trend Mar22 Mar23 Mar24 Mar25 Mar26
ROCE %
15.21 47.45 42.78 20.95 17.79

Royal Arc Electrodes Semi-Annual Data
Mar22 Mar23 Mar24 Sep24 Mar25 Mar26
ROCE % Get a 7-Day Free Trial 0.00 0.00 18.95 26.39 20.36
NSE:ROYALARC
19GF Score
Royal Arc Electrodes Ltd NSE:ROYALARC
ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Royal Arc Electrodes ROCE % Calculation

Royal Arc Electrodes's annualized ROCE % for the fiscal year that ended in Mar. 2026 is calculated as:

ROCE %=EBIT/( (Capital Employed+Capital Employed)/ count )
(A: Mar. 2026 )  (A: Mar. 2025 )(A: Mar. 2026 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(A: Mar. 2026 )  (A: Mar. 2025 )(A: Mar. 2026 )
=138.562/( ( (808.528 - 76.505) + (912.312 - 86.275) )/ 2 )
=138.562/( (732.023+826.037)/ 2 )
=138.562/779.03
=17.79 %

Royal Arc Electrodes's ROCE % of for the quarter that ended in Mar. 2026 is calculated as:

ROCE %=EBIT (1)/( (Capital Employed+Capital Employed)/ count )
(Q: Mar. 2026 )  (Q: Mar. 2025 )(Q: Mar. 2026 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(Q: Mar. 2026 )  (Q: Mar. 2025 )(Q: Mar. 2026 )
=158.624/( ( (808.528 - 76.505) + (912.312 - 86.275) )/ 2 )
=158.624/( ( 732.023 + 826.037 )/ 2 )
=158.624/779.03
=20.36 %

(1) Note: The EBIT data used here is two times the semi-annual (Mar. 2026) 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 20.36% mean?
Royal Arc Electrodes (NSE:ROYALARC) has a ROCE % of 20.36% as of Mar. 2026.
Is Royal Arc Electrodes' ROCE % too high?
Royal Arc Electrodes' current ROCE % is 20.36%. The Industrial Products industry median ROCE % is 7.04. Royal Arc Electrodes' value of 20.36% is 189.4% above this industry median. Overall, Royal Arc Electrodes has a GF Score™ of 19/100, reflecting its overall financial health beyond just this single metric.
How does Royal Arc Electrodes' ROCE % compare to VRT and BE?
Royal Arc Electrodes' ROCE % of 20.36% can be compared against companies in the Industrial Products industry. The industry median ROCE % is 7.04. Royal Arc Electrodes' value of 20.36% is 189.4% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROCE % for an Industrial Products company?
The median ROCE % among Industrial Products companies is 7.04, based on 3,024 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. Royal Arc Electrodes's current ROCE % of 20.36% is 189.4% above the industry median. 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 Industrial Products industry, the median ROCE % is 7.04 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Royal Arc Electrodes's current ROCE % is 20.36%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Royal Arc Electrodes stock overvalued right now?
Royal Arc Electrodes (NSE:ROYALARC) has a current ROCE % of 20.36%. The current ROCE % is 20.36% and 189.4% above the Industrial Products industry median of 7.04. Royal Arc Electrodes' overall GF Score™ is 19/100 with 4 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 Royal Arc Electrodes (NSE:ROYALARC), the current ROCE % is 20.36% as of Mar. 2026. 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.

Royal Arc Electrodes Business Description

Address S.V. Road, 72 B, Bombay Talkies Compound, Malad West, Mumbai, MH, IND, 400064
Royal Arc Electrodes Ltd is engaged in the business of manufacturing welding consumables such as welding electrodes, flux cored wire, MIG/TIG wires, which finds its application in the welding of tanks, boilers, heavy structures, beams, pipes, cylinders, pressure vessels, etc. which are used in industries like railways, roadways, airport infrastructure, refineries, shipyards, mines, sugar industries, telecom industries, thermal power stations, PEB sectors, etc. Further, the Company is also engaged in the business of trading ancillary/incidental products like wheels, electro slag, welding flux cored wire, electro slag strip cladding, saw flux, and TIG /MIG wires. It manufactures its products from copper coated wire, MS Strips, MS wire, SS strip, SS wire, nickel wire, ferro alloy powder, etc.
19GF Score

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

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