Hamid Fabrics (DHA:HFL) ROIC %: -3.43% (As of Sep. 2024)

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DHA:HFL Hamid Fabrics PLC DHA:HFL
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What is Hamid Fabrics ROIC %?

Hamid Fabrics DHA:HFL -0.65% 10 ROIC % is -3.43% as of Sep. 2024. GuruFocus rates DHA:HFL with a GF Score™ of 10/100.

ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. Hamid Fabrics's annualized return on invested capital (ROIC %) for the quarter that ended in Sep. 2024 was -3.43%.

As of today (2026-07-26), Hamid Fabrics's WACC % is 0.00%. Hamid Fabrics's ROIC % is 0.00% (calculated using TTM income statement data). Hamid Fabrics earns returns that do not match up to its cost of capital. It will destroy value as it grows.


Hamid Fabrics  (DHA:HFL) 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, Hamid Fabrics's WACC % is 0.00%. Hamid Fabrics's ROIC % is 0.00% (calculated using TTM income statement data). Hamid Fabrics 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.


Hamid Fabrics ROIC % Related Terms


Hamid Fabrics ROIC % Historical Data

* Premium members only.

The historical data trend for Hamid Fabrics'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.

Hamid Fabrics ROIC % Chart

Hamid Fabrics Annual Data
Trend Jun14 Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23
ROIC %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 4.37 2.21 -1.01 2.89 0.95

Hamid Fabrics Quarterly Data
Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Sep24
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 0.00 3.14 1.01 -1.71 -3.43

Hamid Fabrics ROIC % Competitor Comparison

For the Textile Manufacturing subindustry, Hamid Fabrics'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.


Hamid Fabrics ROIC % vs Manufacturing - Apparel & Accessories Industry

For the Manufacturing - Apparel & Accessories industry and Consumer Cyclical sector, Hamid Fabrics's ROIC % distribution charts can be found below:

* The bar in red indicates where Hamid Fabrics's ROIC % falls into.


DHA:HFL
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Hamid Fabrics PLC DHA:HFL
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Hamid Fabrics ROIC % Calculation

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

ROIC % (A: Jun. 2023 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: Jun. 2022 ) + Invested Capital (A: Jun. 2023 ))/ count )
=183.144 * ( 1 - 76.71% )/( (4463.016 + 4558.668)/ 2 )
=42.6542376/4510.842
=0.95 %

where

Invested Capital(A: Jun. 2022 )
=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))
=5165.058 - 548.797 - ( 153.245 - max(0, 1375.471 - 2170.751+153.245))
=4463.016

Invested Capital(A: Jun. 2023 )
=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))
=4969.981 - 332.088 - ( 79.225 - max(0, 1228.607 - 2031.056+79.225))
=4558.668

Hamid Fabrics's annualized Return on Invested Capital (ROIC %) for the quarter that ended in Sep. 2024 is calculated as:

ROIC % (Q: Sep. 2024 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Mar. 2024 ) + Invested Capital (Q: Sep. 2024 ))/ count )
=-163.8 * ( 1 - 0% )/( (4639.889 + 4913.992)/ 2 )
=-163.8/4776.9405
=-3.43 %

where

Invested Capital(Q: Mar. 2024 )
=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))
=4742.28 - 94.214 - ( 8.177 - max(0, 902.964 - 1928.642+8.177))
=4639.889

Invested Capital(Q: Sep. 2024 )
=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))
=5710.62 - 782.806 - ( 13.822 - max(0, 1610.402 - 2946.897+13.822))
=4913.992

Note: The Operating Income data used here is four times the quarterly (Sep. 2024) 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 -3.43% mean?
Hamid Fabrics (DHA:HFL) has a ROIC % of -3.43% as of Sep. 2024. Return on invested capital is the ratio of current-period net income to average two-period invested capital. View historical data on Hamid Fabrics and its competitors.
Is Hamid Fabrics' ROIC % too high?
Hamid Fabrics' current ROIC % is -3.43%. Overall, Hamid Fabrics has a GF Score™ of 10/100, reflecting its overall financial health beyond just this single metric.
How does Hamid Fabrics' ROIC % compare to competitors?
Hamid Fabrics' ROIC % of -3.43% can be compared against companies in the Manufacturing - Apparel & Accessories industry. The industry median ROIC % is 2.91. 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 Manufacturing - Apparel & Accessories company?
The median ROIC % among Manufacturing - Apparel & Accessories companies is 2.91, based on 1,045 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 Hamid Fabrics and its competitors. For the Manufacturing - Apparel & Accessories industry, the median ROIC % is 2.91 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hamid Fabrics's current ROIC % is -3.43%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hamid Fabrics stock overvalued right now?
Hamid Fabrics (DHA:HFL) has a current ROIC % of -3.43%. The current ROIC % is -3.43%. Hamid Fabrics' overall GF Score™ is 10/100. 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 Hamid Fabrics (DHA:HFL), the current ROIC % is -3.43% as of Sep. 2024. 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.

Hamid Fabrics Business Description

Address 24, Gulshan C/A, Circle-2, Hamid Tower (7th Floor), Dhaka, BGD, 1212
Hamid Fabrics PLC is a manufacturer of solid-dye fabric for the readymade garment industry. The company's product range includes cotton fabrics as well as blended fabrics such as cotton/polyester, cotton/viscose, nylon/cotton and cotton/lycra. The weaving unit produces grey fabrics in various designs and constructions such as Twill, Canvas, Oxford, Rib stop, Rib cord, Ottoman, Herringbone, and various dobby designs of different weight ranges. The finishing mix of Hamid Fabrics Limited comprises water repellent, fireproof, wrinkle-free, Teflon coating, aero finish and chintz finish. The company caters to the markets in the United States of American and the European Union.
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ROIC % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

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