WeWork (WeWork) ROCE % : -27.01% (As of Sep. 2023)

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What is WeWork 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. WeWork's annualized ROCE % for the quarter that ended in Sep. 2023 was -27.01%.

WeWork ROCE % Historical Data

The historical data trend for WeWork'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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WeWork ROCE % Chart

WeWork Annual Data

Trend

Dec18

Dec19

Dec20

Dec21

Dec22

ROCE %

-12.94

-14.27

-20.49

-11.53

WeWork Quarterly Data
	Dec18	Dec19	Jun20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23
ROCE %	Get a 7-Day Free Trial										-13.26	-11.49	-5.68	-8.80	-27.01

WeWork ROCE % Calculation

WeWork's annualized ROCE % for the fiscal year that ended in Dec. 2022 is calculated as:

ROCE %	=	EBIT	/	( (Capital Employed	+	Capital Employed)	/ count )
		(A: Dec. 2022 )		(A: Dec. 2021 )		(A: Dec. 2022 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(A: Dec. 2022 )		(A: Dec. 2021 )		(A: Dec. 2022 )
	=	-2032	/	( ( (21756 - 2133)	+	(17863 - 2230) )	/ 2 )
	=	-2032	/	( (19623	+	15633)	/ 2 )
	=	-2032	/	17628
	=	-11.53 %

WeWork's ROCE % of for the quarter that ended in Sep. 2023 is calculated as:

ROCE %	=	EBIT ⁽¹⁾	/	( (Capital Employed	+	Capital Employed)	/ count )
		(Q: Sep. 2023 )		(Q: Jun. 2023 )		(Q: Sep. 2023 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(Q: Sep. 2023 )		(Q: Jun. 2023 )		(Q: Sep. 2023 )
	=	-2892	/	( ( (15063 - 2189)	+	(13877 - 5337) )	/ 2 )
	=	-2892	/	( ( 12874	+	8540 )	/ 2 )
	=	-2892	/	10707
	=	-27.01 %

(1) Note: The EBIT data used here is four times the quarterly (Sep. 2023) EBIT data.

WeWork (OTCPK:WEWOQ) 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.

WeWork ROCE % Related Terms

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WeWork (WeWork) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Real Estate » Real Estate » WeWork Inc (OTCPK:WEWOQ) » Definitions » ROCE %

Comparable Companies

Traded in Other Exchanges

WEWKQ:USA

Address

75 Rockefeller Plaza, 10th floor, New York, NY, USA, 10019

Website

https://www.wework.com

WeWork Inc is a commercial real estate company that provides flexible workspaces for technology startups and services for other enterprises. It designs and builds physical and virtual shared spaces and office services for entrepreneurs and companies. The company's revenue categories are; Membership revenue consists of fees from members, net of discounts for the access to office space provided, and Service revenue consists of additional billings to members for the ancillary services provided through their memberships in excess of monthly allowances included in membership revenue, commissions earned by the Company on various services.