Sonic Automotive (STU:SA8A) ROCE % : 16.74% (As of Dec. 2024)

View and export this data going back to 2017. Start your Free Trial

What is Sonic Automotive 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. Sonic Automotive's annualized ROCE % for the quarter that ended in Dec. 2024 was 16.74%.

Sonic Automotive ROCE % Historical Data

The historical data trend for Sonic Automotive'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.

Sonic Automotive ROCE % Chart

Sonic Automotive Annual Data

Trend

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Dec24

ROCE %

Get a 7-Day Free Trial

1.53

21.31

10.43

13.22

14.65

Sonic Automotive Quarterly Data
	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23	Mar24	Jun24	Sep24	Dec24
ROCE %	Get a 7-Day Free Trial															12.91	13.64	13.58	13.86	16.74

Sonic Automotive ROCE % Calculation

Sonic Automotive's annualized ROCE % for the fiscal year that ended in Dec. 2024 is calculated as:

ROCE %	=	EBIT	/	( (Capital Employed	+	Capital Employed)	/ count )
		(A: Dec. 2024 )		(A: Dec. 2023 )		(A: Dec. 2024 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(A: Dec. 2024 )		(A: Dec. 2023 )		(A: Dec. 2024 )
	=	434.239	/	( ( (4919.338 - 2102.589)	+	(5630.394 - 2519.004) )	/ 2 )
	=	434.239	/	( (2816.749	+	3111.39)	/ 2 )
	=	434.239	/	2964.0695
	=	14.65 %

Sonic Automotive's ROCE % of for the quarter that ended in Dec. 2024 is calculated as:

ROCE %	=	EBIT ⁽¹⁾	/	( (Capital Employed	+	Capital Employed)	/ count )
		(Q: Dec. 2024 )		(Q: Sep. 2024 )		(Q: Dec. 2024 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(Q: Dec. 2024 )		(Q: Sep. 2024 )		(Q: Dec. 2024 )
	=	503.096	/	( ( (5188.138 - 2287.189)	+	(5630.394 - 2519.004) )	/ 2 )
	=	503.096	/	( ( 2900.949	+	3111.39 )	/ 2 )
	=	503.096	/	3006.1695
	=	16.74 %

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

Sonic Automotive (STU:SA8A) 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.

Sonic Automotive ROCE % Related Terms

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

Sonic Automotive Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Vehicles & Parts » Sonic Automotive Inc (STU:SA8A) » Definitions » ROCE %

Comparable Companies

Traded in Other Exchanges

SAH:USA SA8A:Germany

Address

4401 Colwick Road, Charlotte, NC, USA, 28211

Website

https://www.sonicautomotive.com

Sonic Automotive is one of the largest auto dealership groups in the United States. The company has 108 franchised stores in 18 states, primarily in metropolitan areas in California, Texas, and the Southeast, plus 18 EchoPark used-vehicle stores, 16 collision centers, and 15 powersports locations. The franchise stores derive revenue from new and used vehicles plus parts and collision repair, finance, insurance, and wholesale auctions. Luxury and import dealerships make up about 86% of franchise new-vehicle revenue, while Honda, BMW, Mercedes, and Toyota constitute about 59% of new-vehicle revenue. BMW is the largest brand at about 25%. 2024's revenue was $14.2 billion, with Texas and California comprising 51% of the total. EchoPark's portion was $2.1 billion.

Sonic Automotive Headlines

No Headlines