The Kroger Co (WBO:KR) ROCE % : 7.71% (As of Oct. 2024)

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What is The Kroger Co 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. The Kroger Co's annualized ROCE % for the quarter that ended in Oct. 2024 was 7.71%.

The Kroger Co ROCE % Historical Data

The historical data trend for The Kroger 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.

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The Kroger Co ROCE % Chart

The Kroger Co Annual Data

Trend

Jan15

Jan16

Jan17

Jan18

Jan19

Jan20

Jan21

Jan22

Jan23

Jan24

ROCE %

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9.54

11.63

8.23

10.81

9.76

The Kroger Co Quarterly Data
	Jan20	Apr20	Jul20	Oct20	Jan21	Apr21	Jul21	Oct21	Jan22	Apr22	Jul22	Oct22	Jan23	Apr23	Jul23	Oct23	Jan24	Apr24	Jul24	Oct24
ROCE %	Get a 7-Day Free Trial															11.39	11.86	15.21	7.90	7.71

The Kroger Co ROCE % Calculation

The Kroger Co's annualized ROCE % for the fiscal year that ended in Jan. 2024 is calculated as:

ROCE %	=	EBIT	/	( (Capital Employed	+	Capital Employed)	/ count )
		(A: Jan. 2024 )		(A: Jan. 2023 )		(A: Jan. 2024 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(A: Jan. 2024 )		(A: Jan. 2023 )		(A: Jan. 2024 )
	=	3008.286	/	( ( (46050.144 - 15996.864)	+	(46380.114 - 14757.768) )	/ 2 )
	=	3008.286	/	( (30053.28	+	31622.346)	/ 2 )
	=	3008.286	/	30837.813
	=	9.76 %

The Kroger Co's ROCE % of for the quarter that ended in Oct. 2024 is calculated as:

ROCE %	=	EBIT ⁽¹⁾	/	( (Capital Employed	+	Capital Employed)	/ count )
		(Q: Oct. 2024 )		(Q: Jul. 2024 )		(Q: Oct. 2024 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(Q: Oct. 2024 )		(Q: Jul. 2024 )		(Q: Oct. 2024 )
	=	3268.08	/	( ( (47430.446 - 14873.704)	+	(57299.724 - 14939.532) )	/ 2 )
	=	3268.08	/	( ( 32556.742	+	42360.192 )	/ 2 )
	=	3268.08	/	37458.467
	=	8.72 %

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

The Kroger Co (WBO:KR) 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.

The Kroger Co ROCE % Related Terms

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The Kroger Co Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Consumer Defensive » Retail - Defensive » The Kroger Co (WBO:KR) » Definitions » ROCE %

Comparable Companies

Traded in Other Exchanges

KR:USA 1KR:Italy 0JS2:UK KOG:Germany KOG:Germany

Address

1014 Vine Street, Cincinnati, OH, USA, 45202

Website

https://www.thekrogerco.com

Kroger is one of the largest grocery retailers in the United States with more than 2,700 stores across a portfolio of over 20 supermarket banners. The company boasts an ingrained presence in US communities, citing that it is a top-two grocer in most of its major market areas. Over one fourth of Kroger's roughly $110 billion in nonperishable and fresh food sales (about 75% of revenue) stems from its private-label portfolio, of which the company manufactures about 30% of units via its 33 food production plants. The firm also operates fuel stations and pharmacies at 60% and 80% of its locations, respectively.