Vertu Motors (Vertu Motors) ROCE % : 5.68% (As of Feb. 2024)

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What is Vertu Motors 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. Vertu Motors's annualized ROCE % for the quarter that ended in Feb. 2024 was 5.68%.

Vertu Motors ROCE % Historical Data

The historical data trend for Vertu Motors'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.

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Vertu Motors ROCE % Chart

Vertu Motors Annual Data

Trend

Feb15

Feb16

Feb17

Feb18

Feb19

Feb20

Feb21

Feb22

Feb23

Feb24

ROCE %

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4.50

7.76

18.38

7.79

10.30

Vertu Motors Semi-Annual Data
	Aug14	Feb15	Aug15	Feb16	Aug16	Feb17	Aug17	Feb18	Aug18	Feb19	Aug19	Feb20	Aug20	Feb21	Aug21	Feb22	Aug22	Feb23	Aug23	Feb24
ROCE %	Get a 7-Day Free Trial															12.86	11.72	4.86	14.53	5.68

Vertu Motors ROCE % Calculation

Vertu Motors's annualized ROCE % for the fiscal year that ended in Feb. 2024 is calculated as:

ROCE %	=	EBIT	/	( (Capital Employed	+	Capital Employed)	/ count )
		(A: Feb. 2024 )		(A: Feb. 2023 )		(A: Feb. 2024 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(A: Feb. 2024 )		(A: Feb. 2023 )		(A: Feb. 2024 )
	=	72.342	/	( ( (1669.645 - 985.978)	+	(1864.021 - 1143.227) )	/ 2 )
	=	72.342	/	( (683.667	+	720.794)	/ 2 )
	=	72.342	/	702.2305
	=	10.30 %

Vertu Motors's ROCE % of for the quarter that ended in Feb. 2024 is calculated as:

ROCE %	=	EBIT ⁽¹⁾	/	( (Capital Employed	+	Capital Employed)	/ count )
		(Q: Feb. 2024 )		(Q: Aug. 2023 )		(Q: Feb. 2024 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(Q: Feb. 2024 )		(Q: Aug. 2023 )		(Q: Feb. 2024 )
	=	41.596	/	( ( (1749.489 - 1005.067)	+	(1864.021 - 1143.227) )	/ 2 )
	=	41.596	/	( ( 744.422	+	720.794 )	/ 2 )
	=	41.596	/	732.608
	=	5.68 %

(1) Note: The EBIT data used here is two times the semi-annual (Feb. 2024) EBIT data.

Vertu Motors (OTCPK:VTMTF) 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.

Vertu Motors ROCE % Related Terms

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Vertu Motors (Vertu Motors) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Vehicles & Parts » Vertu Motors PLC (OTCPK:VTMTF) » Definitions » ROCE %

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VTU.GB:UK VTU:UK

Address

Vertu House, 5th Avenue Business Park, Team Valley, Gateshead, Tyne and Wear, GBR, NE11 0XA

Website

https://www.vertumotors.com

Vertu Motors PLC is an automotive retailer in the United Kingdom. The business activity of the group includes selling new cars, motorcycles, commercial vehicles, and used vehicles, together with after-sale services. It operates through various franchise dealerships, such as Volkswagen, Land Rover, Audi, Mercedes-Benz, Jaguar, Kia, Toyota, and many others. The company generates maximum revenue from Used cars.