MySQUAR (LSE:MYSQ) ROIC %: -111.55% (As of Dec. 2017)


What is MySQUAR ROIC %?

MySQUAR LSE:MYSQ ROIC % is -111.55% as of Dec. 2017. The stock has 5 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 %. MySQUAR's annualized return on invested capital (ROIC %) for the quarter that ended in Dec. 2017 was -111.55%.

As of today (2026-07-05), MySQUAR's WACC % is 15.11%. MySQUAR's ROIC % is -115.20% (calculated using TTM income statement data). MySQUAR earns returns that do not match up to its cost of capital. It will destroy value as it grows.

MySQUAR  (LSE:MYSQ) 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, MySQUAR's WACC % is 15.11%. MySQUAR's ROIC % is -115.20% (calculated using TTM income statement data). MySQUAR 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.

MySQUAR ROIC % Related Terms

MySQUAR ROIC % Historical Data

* Premium members only.

The historical data trend for MySQUAR'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.

MySQUAR ROIC % Chart

MySQUAR Annual Data
Trend Jun14 Jun15 Jun16 Jun17
ROIC %
-434.45 -205.34 -92.73 -78.89

MySQUAR Semi-Annual Data
Jun14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17
ROIC % Get a 7-Day Free Trial -164.39 -52.33 -182.20 -73.79 -111.55

LSE:MYSQ vs WDDD, ATEA, ITLL: ROIC % Comparison

For the Software - Application subindustry, MySQUAR'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.

MySQUAR ROIC % vs Software Industry

For the Software industry and Technology sector, MySQUAR's ROIC % distribution charts can be found below:

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


MySQUAR ROIC % Calculation

MySQUAR's annualized Return on Invested Capital (ROIC %) for the fiscal year that ended in Jun. 2017 is calculated as:

ROIC % (A: Jun. 2017 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: Jun. 2016 ) + Invested Capital (A: Jun. 2017 ))/ count )
=-1.489 * ( 1 - 0% )/( (1.393 + 2.382)/ 2 )
=-1.489/1.8875
=-78.89 %

where

Invested Capital(A: Jun. 2016 )
=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))
=1.505 - 0.215 - ( 0.001 - max(0, 0.394 - 0.291+0.001))
=1.393

Invested Capital(A: Jun. 2017 )
=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))
=3.06 - 0.098 - ( 0.58 - max(0, 0.247 - 1.281+0.58))
=2.382

MySQUAR's annualized Return on Invested Capital (ROIC %) for the quarter that ended in Dec. 2017 is calculated as:

ROIC % (Q: Dec. 2017 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Jun. 2017 ) + Invested Capital (Q: Dec. 2017 ))/ count )
=-2.718 * ( 1 - 0% )/( (2.382 + 2.491)/ 2 )
=-2.718/2.4365
=-111.55 %

where

Invested Capital(Q: Jun. 2017 )
=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))
=3.06 - 0.098 - ( 0.58 - max(0, 0.247 - 1.281+0.58))
=2.382

Invested Capital(Q: Dec. 2017 )
=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))
=2.84 - 0.298 - ( 0.051 - max(0, 0.356 - 1.314+0.051))
=2.491

Note: The Operating Income data used here is two times the semi-annual (Dec. 2017) 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 -111.55% mean?
MySQUAR (LSE:MYSQ) has a ROIC % of -111.55% as of Dec. 2017. Return on invested capital is the ratio of current-period net income to average two-period invested capital. View historical data on MySQUAR and its competitors.
Is MySQUAR's ROIC % too high?
MySQUAR's current ROIC % is -111.55%.
How does MySQUAR's ROIC % compare to WDDD and ATEA?
MySQUAR's ROIC % of -111.55% can be compared against companies in the Software industry. The industry median ROIC % is 3.05. 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 Software company?
The median ROIC % among Software companies is 3.05, based on 2,823 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 MySQUAR and its competitors. For the Software industry, the median ROIC % is 3.05 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. MySQUAR's current ROIC % is -111.55%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is MySQUAR stock overvalued right now?
MySQUAR (LSE:MYSQ) has a current ROIC % of -111.55%. The current ROIC % is -111.55%. 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 MySQUAR (LSE:MYSQ), the current ROIC % is -111.55% as of Dec. 2017. 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.

MySQUAR Business Description

MySQUAR Ltd is engaged in designing, developing and commercializing Myanmar- focused internet-based mobile services, mobile messaging applications including social networks, digital content, mobile gaming. It also offers in-app advertising, news aggregation, transaction-based monetisation and e-commerce services. The mobile applications developed by the company include CallHome, Fastsell, Mychat, Mysocial, Chakra Ninja and Hawk Hero. The company has three segments namely Technical Integration, Mobile gaming, and Advertising. The majority of the company's revenue comes from Its Technical Integration segment.