Nippon Road Co (TSE:1884) ROCE %: 9.24% (As of Mar. 2025)


TSE:1884 Nippon Road Co Ltd TSE:1884
17 GF Score
Price 円2,511.00
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What is Nippon Road Co ROCE %?

Nippon Road Co TSE:1884 -0.16% 17 ROCE % is 9.24% as of Mar. 2025. GuruFocus rates TSE:1884 with a GF Score™ of 17/100.

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. Nippon Road Co's annualized ROCE % for the quarter that ended in Mar. 2025 was 9.24%.

Nippon Road Co  (TSE:1884) 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.

Nippon Road Co ROCE % Related Terms

Nippon Road Co ROCE % Historical Data

* Premium members only.

The historical data trend for Nippon Road Co'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.

Nippon Road Co ROCE % Chart

Nippon Road Co Annual Data
Trend Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25
ROCE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 11.49 8.60 8.42 7.32 8.50

Nippon Road Co Quarterly Data
Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25
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 1.06 9.15 14.83 9.24 6.31
TSE:1884
17GF Score
Nippon Road Co Ltd TSE:1884
ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Nippon Road Co ROCE % Calculation

Nippon Road Co's annualized ROCE % for the fiscal year that ended in Mar. 2025 is calculated as:

ROCE %=EBIT/( (Capital Employed+Capital Employed)/ count )
(A: Mar. 2025 )  (A: Mar. 2024 )(A: Mar. 2025 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(A: Mar. 2025 )  (A: Mar. 2024 )(A: Mar. 2025 )
=9536/( ( (149926 - 40430) + (156741 - 41904) )/ 2 )
=9536/( (109496+114837)/ 2 )
=9536/112166.5
=8.50 %

Nippon Road Co's ROCE % of for the quarter that ended in Mar. 2025 is calculated as:

ROCE %=EBIT (1)/( (Capital Employed+Capital Employed)/ count )
(Q: Mar. 2025 )  (Q: Dec. 2024 )(Q: Mar. 2025 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(Q: Mar. 2025 )  (Q: Dec. 2024 )(Q: Mar. 2025 )
=10496/( ( (153099 - 40777) + (156741 - 41904) )/ 2 )
=10496/( ( 112322 + 114837 )/ 2 )
=10496/113579.5
=9.24 %

(1) Note: The EBIT data used here is four times the quarterly (Mar. 2025) 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 9.24% mean?
Nippon Road Co (TSE:1884) has a ROCE % of 9.24% as of Mar. 2025.
Is Nippon Road Co's ROCE % too high?
Nippon Road Co's current ROCE % is 9.24%. The Construction industry median ROCE % is 8.22. Nippon Road Co's value of 9.24% is 12.4% above this industry median. Overall, Nippon Road Co has a GF Score™ of 17/100, reflecting its overall financial health beyond just this single metric.
How does Nippon Road Co's ROCE % compare to PWR and EME?
Nippon Road Co's ROCE % of 9.24% can be compared against companies in the Construction industry. The industry median ROCE % is 8.22. Nippon Road Co's value of 9.24% is 12.4% 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 a Construction company?
The median ROCE % among Construction companies is 8.22, based on 1,749 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. Nippon Road Co's current ROCE % of 9.24% is 12.4% 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 Construction industry, the median ROCE % is 8.22 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Nippon Road Co's current ROCE % is 9.24%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nippon Road Co stock overvalued right now?
Nippon Road Co (TSE:1884) has a current ROCE % of 9.24%. The current ROCE % is 9.24% and 12.4% above the Construction industry median of 8.22. Nippon Road Co's overall GF Score™ is 17/100. 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 Nippon Road Co (TSE:1884), the current ROCE % is 9.24% as of Mar. 2025. 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.

Nippon Road Co Business Description

Address 6-5, Shimbashi 1-chome, Minato-ku, Tokyo, JPN, 105-0004
Nippon Road Co Ltd is engaged in the business of general construction. The company is involved in the construction design, supervision, and management activities, road construction and paving work, general civil engineering works, building construction, construction of environmental, and sport and leisure facilities. In addition, it also manufactures and sells asphalt mixture materials and is also in the consulting business.
17GF 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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