Westfield Trust (ASX:WFT) ROIC %: -5.18% (As of Dec. 2003)


What is Westfield Trust ROIC %?

Westfield Trust ASX:WFT ROIC % is -5.18% as of Dec. 2003.

ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. Westfield Trust's annualized return on invested capital (ROIC %) for the quarter that ended in Dec. 2003 was -5.18%.

As of today (2026-06-27), Westfield Trust's WACC % is 0.00%. Westfield Trust's ROIC % is 0.00% (calculated using TTM income statement data). Westfield Trust earns returns that do not match up to its cost of capital. It will destroy value as it grows.

Westfield Trust  (ASX:WFT) ROIC % Explanation

ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. The reason book values of debt and equity are used is because the book values are the capital the company received when issuing the debt or receiving the equity investments.

There are four key components to this definition. The first is the use of operating income or EBIT rather than net income in the numerator. The second is the tax adjustment to this operating income or EBIT, computed as a hypothetical tax based on an effective or marginal tax rate. The third is the use of book values for invested capital, rather than market values. The final is the timing difference; the capital invested is from the end of the prior year whereas the operating income or EBIT is the current year's number.

Why is ROIC % important?

Because it costs money to raise capital. A firm that generates higher returns on investment than it costs the company to raise the capital needed for that investment is earning excess returns. A firm that expects to continue generating positive excess returns on new investments in the future will see its value increase as growth increases, whereas a firm that earns returns that do not match up to its cost of capital will destroy value as it grows.

As of today, Westfield Trust's WACC % is 0.00%. Westfield Trust's ROIC % is 0.00% (calculated using TTM income statement data). Westfield Trust earns returns that do not match up to its cost of capital. It will destroy value as it grows.

Be Aware

Like ROE % and ROA %, ROIC % is calculated with only 12 months of data. Fluctuations in the company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Westfield Trust ROIC % Related Terms

Westfield Trust ROIC % Historical Data

* Premium members only.

The historical data trend for Westfield Trust's ROIC % 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.

Westfield Trust ROIC % Chart

Westfield Trust Annual Data
Trend Dec95 Dec96 Dec97 Dec98 Dec99 Dec00 Dec01 Dec02
ROIC %
Get a 7-Day Free Trial -1.66 -1.22 -1.21 -2.23 -1.29

Westfield Trust Semi-Annual Data
Dec95 Dec96 Dec97 Dec98 Dec99 Dec00 Dec01 Dec02 Dec03
ROIC % Get a 7-Day Free Trial Premium Member Only -1.22 -1.21 -2.23 -1.29 -5.18

Westfield Trust ROIC % Competitor Comparison

For the Real Estate - Development subindustry, Westfield Trust's ROIC %, along with its competitors' market caps and ROIC % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

Westfield Trust ROIC % vs Real Estate Industry

For the Real Estate industry and Real Estate sector, Westfield Trust's ROIC % distribution charts can be found below:

* The bar in red indicates where Westfield Trust's ROIC % falls into.


Westfield Trust ROIC % Calculation

Westfield Trust's annualized Return on Invested Capital (ROIC %) for the fiscal year that ended in Dec. 2002 is calculated as:

ROIC % (A: Dec. 2002 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: Dec. 2001 ) + Invested Capital (A: Dec. 2002 ))/ count )
=-242.8 * ( 1 - 50.01% )/( (9152.8 + 9649.6)/ 2 )
=-121.37572/9401.2
=-1.29 %

where

Invested Capital(A: Dec. 2001 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=9020.9 - 206.9 - ( 0 - max(0, 428.9 - 90.1+0))
=9152.8

Invested Capital(A: Dec. 2002 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=9743.3 - 495.9 - ( 0 - max(0, 495.9 - 93.7+0))
=9649.6

Westfield Trust's annualized Return on Invested Capital (ROIC %) for the quarter that ended in Dec. 2003 is calculated as:

ROIC % (Q: Dec. 2003 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Dec. 2002 ) + Invested Capital (Q: Dec. 2003 ))/ count )
=-1165.101 * ( 1 - 50.03% )/( (9649.6 + 12838.5)/ 2 )
=-582.2009697/11244.05
=-5.18 %

where

Invested Capital(Q: Dec. 2002 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=9743.3 - 495.9 - ( 0 - max(0, 495.9 - 93.7+0))
=9649.6

Invested Capital(Q: Dec. 2003 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=12603.3 - 589.5 - ( 0 - max(0, 1015.4 - 190.7+0))
=12838.5

Note: The Operating Income data used here is one times the annual (Dec. 2003) data. The tax rate is limited to between 0% and 100%.

* 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 ROIC % →
What does a ROIC % of -5.18% mean?
Westfield Trust (ASX:WFT) has a ROIC % of -5.18% as of Dec. 2003. Return on invested capital is the ratio of current-period net income to average two-period invested capital. View historical data on Westfield Trust and its competitors.
Is Westfield Trust's ROIC % too high?
Westfield Trust's current ROIC % is -5.18%.
How does Westfield Trust's ROIC % compare to competitors?
Westfield Trust's ROIC % of -5.18% can be compared against companies in the Real Estate industry. The industry median ROIC % is 2.19. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROIC % for a Real Estate company?
The median ROIC % among Real Estate companies is 2.19, based on 1,757 companies in the industry. Companies in the top quartile (top 25%) have a ROIC % significantly above this median, while those in the bottom quartile fall well below. However, ROIC % 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 ROIC % mean?
A high ROIC % can signal that a stock is expensive relative to its fundamentals. Return on invested capital is the ratio of current-period net income to average two-period invested capital. View historical data on Westfield Trust and its competitors. For the Real Estate industry, the median ROIC % is 2.19 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Westfield Trust's current ROIC % is -5.18%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Westfield Trust stock overvalued right now?
Westfield Trust (ASX:WFT) has a current ROIC % of -5.18%. The current ROIC % is -5.18%. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROIC % calculated?
ROIC % is calculated from a company's financial statements. For Westfield Trust (ASX:WFT), the current ROIC % is -5.18% as of Dec. 2003. 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.

Westfield Trust Business Description

Westfield Trust (WFT) comprises interests in 50 shopping centres in Australia and New Zealand, with 3.1m sqm2 of gross lettable area servicing more than 9,400 retailers who generate in excess of $13.9 billion of retail sales.