Southern Steel Bhd (XKLS:5665) ROCE %: -9.22% (As of Sep. 2025)


XKLS:5665 Southern Steel Bhd XKLS:5665
31 GF Score
Price RM0.39
GF Value RM0.26
Valuation Significantly Overvalued
! 3 Warning Signs
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What is Southern Steel Bhd ROCE %?

Southern Steel Bhd XKLS:5665 31 ROCE % is -9.22% as of Sep. 2025. GuruFocus rates XKLS:5665 with a GF Score™ of 31/100 and a GF Value™ of RM0.26 (Significantly Overvalued). The stock has 3 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. Southern Steel Bhd's annualized ROCE % for the quarter that ended in Sep. 2025 was -9.22%.

Southern Steel Bhd  (XKLS:5665) 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.

Southern Steel Bhd ROCE % Related Terms

Southern Steel Bhd ROCE % Historical Data

* Premium members only.

The historical data trend for Southern Steel 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.

Southern Steel Bhd ROCE % Chart

Southern Steel Bhd Annual Data
Trend Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24
ROCE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -17.66 9.90 11.91 -12.01 -5.85

Southern Steel Bhd Quarterly Data
Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25
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 -7.47 -3.28 -17.58 1.94 -9.22
XKLS:5665
31GF Score
Southern Steel Bhd XKLS:5665
ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Southern Steel Bhd ROCE % Calculation

Southern Steel Bhd's annualized ROCE % for the fiscal year that ended in Jun. 2024 is calculated as:

ROCE %=EBIT/( (Capital Employed+Capital Employed)/ count )
(A: Jun. 2024 )  (A: Jun. 2023 )(A: Jun. 2024 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(A: Jun. 2024 )  (A: Jun. 2023 )(A: Jun. 2024 )
=-49.33/( ( (1926.61 - 1014.729) + (1846.144 - 1072.19) )/ 2 )
=-49.33/( (911.881+773.954)/ 2 )
=-49.33/842.9175
=-5.85 %

Southern Steel Bhd's ROCE % of for the quarter that ended in Sep. 2025 is calculated as:

ROCE %=EBIT (1)/( (Capital Employed+Capital Employed)/ count )
(Q: Sep. 2025 )  (Q: Jun. 2025 )(Q: Sep. 2025 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(Q: Sep. 2025 )  (Q: Jun. 2025 )(Q: Sep. 2025 )
=-87.552/( ( (1401.2 - 430.627) + (1411.246 - 483.644) )/ 2 )
=-87.552/( ( 970.573 + 927.602 )/ 2 )
=-87.552/949.0875
=-9.22 %

(1) Note: The EBIT data used here is four times the quarterly (Sep. 2025) 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 -9.22% mean?
Southern Steel Bhd (XKLS:5665) has a ROCE % of -9.22% as of Sep. 2025.
Is Southern Steel Bhd's ROCE % too high?
Southern Steel Bhd's current ROCE % is -9.22%. Overall, Southern Steel Bhd has a GF Score™ of 31/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Southern Steel Bhd's ROCE % compare to NUE and STLD?
Southern Steel Bhd's ROCE % of -9.22% can be compared against companies in the Steel industry. The industry median ROCE % is 5.63. 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 Steel company?
The median ROCE % among Steel companies is 5.63, based on 624 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. 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 Steel industry, the median ROCE % is 5.63 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Southern Steel Bhd's current ROCE % is -9.22%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Southern Steel Bhd stock overvalued right now?
Based on GuruFocus' analysis, Southern Steel Bhd (XKLS:5665) is currently considered Significantly Overvalued. The stock's GF Value™ is RM0.26, compared to a current price of RM0.39 — trading 50% above its estimated fair value. The current ROCE % is -9.22%. Southern Steel Bhd's overall GF Score™ is 31/100 with 3 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 Southern Steel Bhd (XKLS:5665), the current ROCE % is -9.22% as of Sep. 2025. 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 Southern Steel Bhd (XKLS:5665) Overvalued in 2026?

Based on GuruFocus' analysis, Southern Steel Bhd stock appears to be overvalued. The current stock price of RM0.39 is trading 50% above its estimated GF Value™ of RM0.26. GuruFocus considers Southern Steel Bhd to be Significantly Overvalued.

Key valuation signals for XKLS:5665:

  • ROCE %: -9.22%
  • GF Value™: RM0.26 vs. price of RM0.39 (50% above fair value)
  • GF Score™: 31/100 with 3 warning signs

No single metric tells the full story. See the XKLS:5665 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Southern Steel Bhd Business Description

Address 2723, Lorong Perusahaan 12, Prai Industrial Estate, Prai, PNG, MYS, 13600
Southern Steel Bhd is an investment holding company involved in the manufacturing, sale and trading of steel bars and related products, while the principal activities of its subsidiaries include the manufacturing, sale and trading in billets, steel bars, wire rods, pre-stressed concrete strands, bars and wires, steel pipes, steel wires, and other related products, as well as rental of properties and investment holding. The company comprises the following reportable segments: Steel products, Investment holding and others and Hot rolled coil operation. The company derived the majority of revenue from the sale of its products: bars, wire rod, wire mesh, cut and bend and pre-stressed concrete wire.
31GF Score

Get the complete analysis for XKLS:5665

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

RM0.39
Price
RM0.26
GF Value