Reckitt Benckiser (Bangladesh) (DHA:RECKITTBEN) ROIC %: 114.80% (As of Sep. 2025)

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DHA:RECKITTBEN Reckitt Benckiser (Bangladesh) PLC DHA:RECKITTBEN
71 GF Score
Price BDT3,324.80
GF Value BDT5,336.36
Valuation Possible Value Trap
! 7 Warning Signs
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What is Reckitt Benckiser (Bangladesh) ROIC %?

Reckitt Benckiser (Bangladesh) DHA:RECKITTBEN +0.11% 71 ROIC % is 114.80% as of Sep. 2025. GuruFocus rates DHA:RECKITTBEN with a GF Score™ of 71/100 and a GF Value™ of BDT5,336.36 (Possible Value Trap). The stock has 7 warning signs investors should review.

ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. Reckitt Benckiser (Bangladesh)'s annualized return on invested capital (ROIC %) for the quarter that ended in Sep. 2025 was 114.80%.

As of today (2026-07-17), Reckitt Benckiser (Bangladesh)'s WACC % is 10.43%. Reckitt Benckiser (Bangladesh)'s ROIC % is 84.57% (calculated using TTM income statement data). Reckitt Benckiser (Bangladesh) generates higher returns on investment than it costs the company to raise the capital needed for that investment. It 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.


Reckitt Benckiser (Bangladesh)  (DHA:RECKITTBEN) 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, Reckitt Benckiser (Bangladesh)'s WACC % is 10.43%. Reckitt Benckiser (Bangladesh)'s ROIC % is 84.57% (calculated using TTM income statement data). Reckitt Benckiser (Bangladesh) generates higher returns on investment than it costs the company to raise the capital needed for that investment. It 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.


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.


Reckitt Benckiser (Bangladesh) ROIC % Related Terms


Reckitt Benckiser (Bangladesh) ROIC % Historical Data

* Premium members only.

The historical data trend for Reckitt Benckiser (Bangladesh)'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.

Reckitt Benckiser (Bangladesh) ROIC % Chart

Reckitt Benckiser (Bangladesh) Annual Data
Trend Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
ROIC %
Get a 7-Day Free Trial 87.03 88.08 76.47 84.21 74.38

Reckitt Benckiser (Bangladesh) Quarterly Data
Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25
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 81.08 95.59 62.38 68.20 114.80

DHA:RECKITTBEN vs PG, CL, KVUE: ROIC % Comparison

For the Household & Personal Products subindustry, Reckitt Benckiser (Bangladesh)'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.


Reckitt Benckiser (Bangladesh) ROIC % vs Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Reckitt Benckiser (Bangladesh)'s ROIC % distribution charts can be found below:

* The bar in red indicates where Reckitt Benckiser (Bangladesh)'s ROIC % falls into.


DHA:RECKITTBEN
71GF Score
Reckitt Benckiser (Bangladesh) PLC DHA:RECKITTBEN
ROIC % is just one metric. See GF Score™, valuation, warning signs, and more.
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Reckitt Benckiser (Bangladesh) ROIC % Calculation

Reckitt Benckiser (Bangladesh)'s annualized Return on Invested Capital (ROIC %) for the fiscal year that ended in Dec. 2024 is calculated as:

ROIC % (A: Dec. 2024 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: Dec. 2023 ) + Invested Capital (A: Dec. 2024 ))/ count )
=1059.33 * ( 1 - 26.79% )/( (1005.403 + 1080.07)/ 2 )
=775.535493/1042.7365
=74.38 %

where

Invested Capital(A: Dec. 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))
=4492.146 - 2917.955 - ( 2919.49 - max(0, 3121.2 - 3689.988+2919.49))
=1005.403

Invested Capital(A: Dec. 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))
=3858.529 - 1705.668 - ( 2202.589 - max(0, 1992.146 - 3064.937+2202.589))
=1080.07

Reckitt Benckiser (Bangladesh)'s annualized Return on Invested Capital (ROIC %) for the quarter that ended in Sep. 2025 is calculated as:

ROIC % (Q: Sep. 2025 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Jun. 2025 ) + Invested Capital (Q: Sep. 2025 ))/ count )
=1345.648 * ( 1 - 26.21% )/( (872.668 + 857.158)/ 2 )
=992.9536592/864.913
=114.80 %

where

Invested Capital(Q: Jun. 2025 )
=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))
=2600.843 - 1990.384 - ( 944.373 - max(0, 2022.847 - 1760.638+944.373))
=872.668

Invested Capital(Q: Sep. 2025 )
=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))
=2943.166 - 2081.708 - ( 1208.075 - max(0, 2118.703 - 2123.003+1208.075))
=857.158

Note: The Operating Income data used here is four times the quarterly (Sep. 2025) 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 114.80% mean?
Reckitt Benckiser (Bangladesh) (DHA:RECKITTBEN) has a ROIC % of 114.80% as of Sep. 2025. Return on invested capital is the ratio of current-period net income to average two-period invested capital. View historical data on Reckitt Benckiser (Bangladesh) and its competitors.
Is Reckitt Benckiser (Bangladesh)'s ROIC % too high?
Reckitt Benckiser (Bangladesh)'s current ROIC % is 114.80%. The Consumer Packaged Goods industry median ROIC % is 5.21. Reckitt Benckiser (Bangladesh)'s value of 114.80% is 2105.6% above this industry median. Overall, Reckitt Benckiser (Bangladesh) has a GF Score™ of 71/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Reckitt Benckiser (Bangladesh)'s ROIC % compare to PG and CL?
Reckitt Benckiser (Bangladesh)'s ROIC % of 114.80% can be compared against companies in the Consumer Packaged Goods industry. The industry median ROIC % is 5.21. Reckitt Benckiser (Bangladesh)'s value of 114.80% is 2105.6% 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 ROIC % for a Consumer Packaged Goods company?
The median ROIC % among Consumer Packaged Goods companies is 5.21, based on 1,952 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. Reckitt Benckiser (Bangladesh)'s current ROIC % of 114.80% is 2105.6% 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 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 Reckitt Benckiser (Bangladesh) and its competitors. For the Consumer Packaged Goods industry, the median ROIC % is 5.21 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Reckitt Benckiser (Bangladesh)'s current ROIC % is 114.80%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Reckitt Benckiser (Bangladesh) stock overvalued right now?
Based on GuruFocus' analysis, Reckitt Benckiser (Bangladesh) (DHA:RECKITTBEN) is currently considered Possible Value Trap. The stock's GF Value™ is BDT5,336.36, compared to a current price of BDT3,324.80 — trading 37.7% below its estimated fair value. The current ROIC % is 114.80% and 2105.6% above the Consumer Packaged Goods industry median of 5.21. Reckitt Benckiser (Bangladesh)'s overall GF Score™ is 71/100 with 7 warning signs to review. 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 Reckitt Benckiser (Bangladesh) (DHA:RECKITTBEN), the current ROIC % is 114.80% 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 Reckitt Benckiser (Bangladesh) (DHA:RECKITTBEN) Overvalued in 2026?

Based on GuruFocus' analysis, Reckitt Benckiser (Bangladesh) stock appears to be undervalued. The current stock price of BDT3,324.80 is trading 37.7% below its estimated GF Value™ of BDT5,336.36. GuruFocus considers Reckitt Benckiser (Bangladesh) to be Possible Value Trap.

Key valuation signals for DHA:RECKITTBEN:

  • ROIC %: 114.80%
  • GF Value™: BDT5,336.36 vs. price of BDT3,324.80 (37.7% below fair value)
  • GF Score™: 71/100 with 7 warning signs
  • Industry Position: 2105.6% above the Consumer Packaged Goods median

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


Reckitt Benckiser (Bangladesh) Business Description

Address 38 Gulshan Avenue, The Glass House, 9th & 10th Floors, Plot-2, Block-SE B, Dhaka, BGD, 1212
Reckitt Benckiser (Bangladesh) PLC is engaged in the manufacturing and marketing of household, toiletries, and pharmaceutical products. It provides products related to surface care, fabric care, dishwashing, home care, health, personal care, and food. It operates through the segments Hygiene, Health, and Nutrition, where the majority of the revenue comes from the Hygiene segment. Geographically, it operates in UK, U.S. and all other countries.
71GF Score

Get the complete analysis for DHA:RECKITTBEN

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

BDT3,324.80
Price
BDT5,336.36
GF Value