A&W Food Services of Canada (TSX:AW) ROCE %: 8.20% (As of Mar. 2026)


TSX:AW A&W Food Services of Canada Inc TSX:AW
16 GF Score
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What is A&W Food Services of Canada ROCE %?

A&W Food Services of Canada TSX:AW +0.63% 16 ROCE % is 8.20% as of Mar. 2026. GuruFocus rates TSX:AW with a GF Score™ of 16/100. The stock has 6 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. A&W Food Services of Canada's annualized ROCE % for the quarter that ended in Mar. 2026 was 8.20%.

A&W Food Services of Canada  (TSX:AW) 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.

A&W Food Services of Canada ROCE % Related Terms

A&W Food Services of Canada ROCE % Historical Data

* Premium members only.

The historical data trend for A&W Food Services of Canada'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.

A&W Food Services of Canada ROCE % Chart

A&W Food Services of Canada Annual Data
Trend Dec22 Dec23 Dec24 Dec25
ROCE %
0.00 8.96 8.21 10.44

A&W Food Services of Canada Quarterly Data
Dec22 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
ROCE % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only 8.02 9.76 11.81 12.86 8.20
TSX:AW
16GF Score
A&W Food Services of Canada Inc TSX:AW
ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.
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A&W Food Services of Canada ROCE % Calculation

A&W Food Services of Canada's annualized ROCE % for the fiscal year that ended in Dec. 2025 is calculated as:

ROCE %=EBIT/( (Capital Employed+Capital Employed)/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=118.044/( ( (1254.837 - 123.047) + (1237.892 - 109.282) )/ 2 )
=118.044/( (1131.79+1128.61)/ 2 )
=118.044/1130.2
=10.44 %

A&W Food Services of Canada'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: Dec. 2025 )(Q: Mar. 2026 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(Q: Mar. 2026 )  (Q: Dec. 2025 )(Q: Mar. 2026 )
=91.932/( ( (1237.892 - 109.282) + (1234.658 - 120.258) )/ 2 )
=91.932/( ( 1128.61 + 1114.4 )/ 2 )
=91.932/1121.505
=8.20 %

(1) Note: The EBIT data used here is four times the quarterly (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 8.20% mean?
A&W Food Services of Canada (TSX:AW) has a ROCE % of 8.20% as of Mar. 2026.
Is A&W Food Services of Canada's ROCE % too high?
A&W Food Services of Canada's current ROCE % is 8.20%. The Restaurants industry median ROCE % is 6.12. A&W Food Services of Canada's value of 8.20% is 34% above this industry median. Overall, A&W Food Services of Canada has a GF Score™ of 16/100, reflecting its overall financial health beyond just this single metric.
How does A&W Food Services of Canada's ROCE % compare to MCD and SBUX?
A&W Food Services of Canada's ROCE % of 8.20% can be compared against companies in the Restaurants industry. The industry median ROCE % is 6.12. A&W Food Services of Canada's value of 8.20% is 34% 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 Restaurants company?
The median ROCE % among Restaurants companies is 6.12, based on 350 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. A&W Food Services of Canada's current ROCE % of 8.20% is 34% 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 Restaurants industry, the median ROCE % is 6.12 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. A&W Food Services of Canada's current ROCE % is 8.20%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is A&W Food Services of Canada stock overvalued right now?
A&W Food Services of Canada (TSX:AW) has a current ROCE % of 8.20%. The current ROCE % is 8.20% and 34% above the Restaurants industry median of 6.12. A&W Food Services of Canada's overall GF Score™ is 16/100 with 6 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 A&W Food Services of Canada (TSX:AW), the current ROCE % is 8.20% 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.

A&W Food Services of Canada Business Description

Other Exchanges 75X:Germany
Address 171 West Esplanade, Suite 300, North Vancouver, BC, CAN, V7M 3K9
A&W Food Services of Canada Inc is in the business of developing and franchising quick service restaurants in Canada and owns the A&W trademarks used in the A&W quick service restaurant business in Canada. The Company also has one geographic segment as all assets and operations are in Canada.
16GF Score

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