Varia Bhd (XKLS:5006) ROCE %: 18.17% (As of Mar. 2026)

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

XKLS:5006 Varia Bhd XKLS:5006
51 GF Score
Price RM0.85
GF Value RM2.63
Valuation Possible Value Trap
! 5 Warning Signs
View Full Analysis

What is Varia Bhd ROCE %?

Varia Bhd XKLS:5006 51 ROCE % is 18.17% as of Mar. 2026. GuruFocus rates XKLS:5006 with a GF Score™ of 51/100 and a GF Value™ of RM2.63 (Possible Value Trap). The stock has 5 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. Varia Bhd's annualized ROCE % for the quarter that ended in Mar. 2026 was 18.17%.

Varia Bhd  (XKLS:5006) 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.

Varia Bhd ROCE % Related Terms

Varia Bhd ROCE % Historical Data

* Premium members only.

The historical data trend for Varia Bhd'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.

Varia Bhd ROCE % Chart

Varia Bhd Annual Data
Trend Jan14 Jan15 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Jun25
ROCE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 8.85 5.99 9.47 -17.20 5.46

Varia Bhd Quarterly Data
Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
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 -3.01 2.04 4.71 29.39 18.17
XKLS:5006
51GF Score
Varia Bhd XKLS:5006
ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Varia Bhd ROCE % Calculation

Varia Bhd's annualized ROCE % for the fiscal year that ended in Jun. 2025 is calculated as:

ROCE %=EBIT/( (Capital Employed+Capital Employed)/ count )
(A: Jun. 2025 )  (A: Mar. 2023 )(A: Jun. 2025 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(A: Jun. 2025 )  (A: Mar. 2023 )(A: Jun. 2025 )
=14.091/( ( (70.018 - 29.029) + (734.318 - 258.971) )/ 2 )
=14.091/( (40.989+475.347)/ 2 )
=14.091/258.168
=5.46 %

Varia Bhd'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 )
=96.96/( ( (889.696 - 359.124) + (1020.782 - 484.113) )/ 2 )
=96.96/( ( 530.572 + 536.669 )/ 2 )
=96.96/533.6205
=18.17 %

(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 18.17% mean?
Varia Bhd (XKLS:5006) has a ROCE % of 18.17% as of Mar. 2026.
Is Varia Bhd's ROCE % too high?
Varia Bhd's current ROCE % is 18.17%. The Construction industry median ROCE % is 8.23. Varia Bhd's value of 18.17% is 120.9% above this industry median. Overall, Varia Bhd has a GF Score™ of 51/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Varia Bhd's ROCE % compare to PWR and EME?
Varia Bhd's ROCE % of 18.17% can be compared against companies in the Construction industry. The industry median ROCE % is 8.23. Varia Bhd's value of 18.17% is 120.9% 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 8.23, based on 1,760 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. Varia Bhd's current ROCE % of 18.17% is 120.9% 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 8.23 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Varia Bhd's current ROCE % is 18.17%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Varia Bhd stock overvalued right now?
Based on GuruFocus' analysis, Varia Bhd (XKLS:5006) is currently considered Possible Value Trap. The stock's GF Value™ is RM2.63, compared to a current price of RM0.85 — trading 67.7% below its estimated fair value. The current ROCE % is 18.17% and 120.9% above the Construction industry median of 8.23. Varia Bhd's overall GF Score™ is 51/100 with 5 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 Varia Bhd (XKLS:5006), the current ROCE % is 18.17% 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.

Is Varia Bhd (XKLS:5006) Overvalued in 2026?

Based on GuruFocus' analysis, Varia Bhd stock appears to be undervalued. The current stock price of RM0.85 is trading 67.7% below its estimated GF Value™ of RM2.63. GuruFocus considers Varia Bhd to be Possible Value Trap.

Key valuation signals for XKLS:5006:

  • ROCE %: 18.17%
  • GF Value™: RM2.63 vs. price of RM0.85 (67.7% below fair value)
  • GF Score™: 51/100 with 5 warning signs
  • Industry Position: 120.9% above the Construction median

No single metric tells the full story. See the XKLS:5006 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Varia Bhd Business Description

Address Pusat Dagangan Phileo Damansara 1, No. 9, Jalan 16/11, Off Jalan Damansara, 1105, Block E, Level 11, Petaling Jaya, SGR, MYS, 46350
Varia Bhd formerly Stella Holdings Bhd is an investment holding company. The company's segment includes Investment holding; Construction; Property investment; Property development; and others. It generates maximum revenue from the Construction segment. The Construction segment includes Construction of civil and structural, mechanical and electrical works and project management.
51GF Score

Get the complete analysis for XKLS:5006

ROCE % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

RM0.85
Price
RM2.63
GF Value