Taiba Kuwaiti Holding Co KSC (KUW:TAIBA) ROIC %: 34.17% (As of Sep. 2014)


What is Taiba Kuwaiti Holding Co KSC ROIC %?

Taiba Kuwaiti Holding Co KSC KUW:TAIBA ROIC % is 34.17% as of Sep. 2014.

ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. Taiba Kuwaiti Holding Co KSC's annualized return on invested capital (ROIC %) for the quarter that ended in Sep. 2014 was 34.17%.

As of today (2026-07-12), Taiba Kuwaiti Holding Co KSC's WACC % is 0.00%. Taiba Kuwaiti Holding Co KSC's ROIC % is 0.00% (calculated using TTM income statement data). Taiba Kuwaiti Holding Co KSC earns returns that do not match up to its cost of capital. It will destroy value as it grows.


Taiba Kuwaiti Holding Co KSC  (KUW:TAIBA) 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, Taiba Kuwaiti Holding Co KSC's WACC % is 0.00%. Taiba Kuwaiti Holding Co KSC's ROIC % is 0.00% (calculated using TTM income statement data). Taiba Kuwaiti Holding Co KSC 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.


Taiba Kuwaiti Holding Co KSC ROIC % Related Terms


Taiba Kuwaiti Holding Co KSC ROIC % Historical Data

* Premium members only.

The historical data trend for Taiba Kuwaiti Holding Co KSC'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.

Taiba Kuwaiti Holding Co KSC ROIC % Chart

Taiba Kuwaiti Holding Co KSC Annual Data
Trend Dec07 Dec08 Dec09 Dec10 Dec11
ROIC %
81.53 -76.35 -22.85 -10.31 9.90

Taiba Kuwaiti Holding Co KSC Quarterly Data
Mar12 Jun12 Sep12 Jun13 Sep13 Jun14 Sep14
ROIC % Get a 7-Day Free Trial -24.03 1,221.79 0.00 49.71 34.17

Taiba Kuwaiti Holding Co KSC ROIC % Competitor Comparison

For the Credit Services subindustry, Taiba Kuwaiti Holding Co KSC'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.


Taiba Kuwaiti Holding Co KSC ROIC % vs Credit Services Industry

For the Credit Services industry and Financial Services sector, Taiba Kuwaiti Holding Co KSC's ROIC % distribution charts can be found below:

* The bar in red indicates where Taiba Kuwaiti Holding Co KSC's ROIC % falls into.



Taiba Kuwaiti Holding Co KSC ROIC % Calculation

Taiba Kuwaiti Holding Co KSC's annualized Return on Invested Capital (ROIC %) for the fiscal year that ended in Dec. 2011 is calculated as:

ROIC % (A: Dec. 2011 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: Dec. 2010 ) + Invested Capital (A: Dec. 2011 ))/ count )
=1.704 * ( 1 - 3.49% )/( (16.53 + 16.69)/ 2 )
=1.6445304/16.61
=9.90 %

where

Taiba Kuwaiti Holding Co KSC's annualized Return on Invested Capital (ROIC %) for the quarter that ended in Sep. 2014 is calculated as:

ROIC % (Q: Sep. 2014 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Jun. 2014 ) + Invested Capital (Q: Sep. 2014 ))/ count )
=278.48 * ( 1 - 0% )/( (643.391 + 986.447)/ 2 )
=278.48/814.919
=34.17 %

where

Invested Capital(Q: Jun. 2014 )
=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))
=1327.645 - 776.41 - ( 515.14 - max(0, 776.41 - 684.254+515.14))
=643.391

Invested Capital(Q: Sep. 2014 )
=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))
=1505.333 - 935.029 - ( 496.226 - max(0, 1134.386 - 718.243+496.226))
=986.447

Note: The Operating Income data used here is four times the quarterly (Sep. 2014) 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 34.17% mean?
Taiba Kuwaiti Holding Co KSC (KUW:TAIBA) has a ROIC % of 34.17% as of Sep. 2014. Return on invested capital is the ratio of current-period net income to average two-period invested capital. View historical data on Taiba Kuwaiti Holding Co KSC and its competitors.
Is Taiba Kuwaiti Holding Co KSC's ROIC % too high?
Taiba Kuwaiti Holding Co KSC's current ROIC % is 34.17%. The Credit Services industry median ROIC % is 1.98. Taiba Kuwaiti Holding Co KSC's value of 34.17% is 1630.1% above this industry median.
How does Taiba Kuwaiti Holding Co KSC's ROIC % compare to competitors?
Taiba Kuwaiti Holding Co KSC's ROIC % of 34.17% can be compared against companies in the Credit Services industry. The industry median ROIC % is 1.98. Taiba Kuwaiti Holding Co KSC's value of 34.17% is 1630.1% 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 Credit Services company?
The median ROIC % among Credit Services companies is 1.98, based on 418 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. Taiba Kuwaiti Holding Co KSC's current ROIC % of 34.17% is 1630.1% 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 Taiba Kuwaiti Holding Co KSC and its competitors. For the Credit Services industry, the median ROIC % is 1.98 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Taiba Kuwaiti Holding Co KSC's current ROIC % is 34.17%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Taiba Kuwaiti Holding Co KSC stock overvalued right now?
Taiba Kuwaiti Holding Co KSC (KUW:TAIBA) has a current ROIC % of 34.17%. The current ROIC % is 34.17% and 1630.1% above the Credit Services industry median of 1.98. 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 Taiba Kuwaiti Holding Co KSC (KUW:TAIBA), the current ROIC % is 34.17% as of Sep. 2014. 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.

Taiba Kuwaiti Holding Co KSC Business Description

Comparable Companies KUW:ARZANKUW:FACIL
Taiba Kuwaiti Holding Co operates as an investment holding company. It holds shares of other companies, extends loans to investee companies, provides guarantees for third parties and acquires industrial trademarks, among others.