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Inland Printers (BOM:530787) ROIC % : -11.40% (As of Dec. 2023)


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What is Inland Printers ROIC %?

ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. Inland Printers's annualized return on invested capital (ROIC %) for the quarter that ended in Dec. 2023 was -11.40%.

As of today (2024-05-27), Inland Printers's WACC % is -2.27%. Inland Printers's ROIC % is -9.48% (calculated using TTM income statement data). Inland Printers earns returns that do not match up to its cost of capital. It will destroy value as it grows.


Inland Printers ROIC % Historical Data

The historical data trend for Inland Printers'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.

* Premium members only.

Inland Printers ROIC % Chart

Inland Printers Annual Data
Trend Mar14 Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23
ROIC %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -16.69 -33.35 -109,300.00 -16.07 -7.46

Inland Printers Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
ROIC % 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 -3.24 -14.36 -6.33 -7.77 -11.40

Competitive Comparison of Inland Printers's ROIC %

For the Specialty Business Services subindustry, Inland Printers'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.


Inland Printers's ROIC % Distribution in the Business Services Industry

For the Business Services industry and Industrials sector, Inland Printers's ROIC % distribution charts can be found below:

* The bar in red indicates where Inland Printers's ROIC % falls into.



Inland Printers ROIC % Calculation

Inland Printers's annualized Return on Invested Capital (ROIC %) for the fiscal year that ended in Mar. 2023 is calculated as:

ROIC % (A: Mar. 2023 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: Mar. 2022 ) + Invested Capital (A: Mar. 2023 ))/ count )
=-2.075 * ( 1 - 0.32% )/( (25.318 + 30.12)/ 2 )
=-2.06836/27.719
=-7.46 %

where

Inland Printers's annualized Return on Invested Capital (ROIC %) for the quarter that ended in Dec. 2023 is calculated as:

ROIC % (Q: Dec. 2023 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Sep. 2023 ) + Invested Capital (Q: Dec. 2023 ))/ count )
=-3.48 * ( 1 - 0.22% )/( (30.459 + 0)/ 1 )
=-3.472344/30.459
=-11.40 %

where

Note: The Operating Income data used here is four times the quarterly (Dec. 2023) 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.


Inland Printers  (BOM:530787) 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, Inland Printers's WACC % is -2.27%. Inland Printers's ROIC % is -9.48% (calculated using TTM income statement data).


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.


Inland Printers ROIC % Related Terms

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Inland Printers (BOM:530787) Business Description

Traded in Other Exchanges
N/A
Address
Sahakar Road, 800, 8th Floor, Sangita Ellipse, Vile Parle (East), Mumbai, MH, IND, 400057
Inland Printers Ltd engages in the e-commerce activity relating to the printing stationery business in India. It provides standard impression paper and printing brochures using the offset printing process. The company produces/markets printed products such as memorandum and articles of association, annual reports, dividend warrants, interest warrants, continuous stationery, and computer forms, prospectuses and other documents, corporate profiles, application, and business forms, brochures, publicity material, product literature, and books.

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