Artedz Fabs (NSE:ARTEDZ) ROIC %: 22.03% (As of Sep. 2018)


What is Artedz Fabs ROIC %?

Artedz Fabs NSE:ARTEDZ ROIC % is 22.03% as of Sep. 2018.

ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. Artedz Fabs's annualized return on invested capital (ROIC %) for the quarter that ended in Sep. 2018 was 22.03%.

As of today (2026-06-30), Artedz Fabs's WACC % is 0.00%. Artedz Fabs's ROIC % is 0.00% (calculated using TTM income statement data). Artedz Fabs earns returns that do not match up to its cost of capital. It will destroy value as it grows.

Artedz Fabs  (NSE:ARTEDZ) 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, Artedz Fabs's WACC % is 0.00%. Artedz Fabs's ROIC % is 0.00% (calculated using TTM income statement data). Artedz Fabs 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.

Artedz Fabs ROIC % Related Terms

Artedz Fabs ROIC % Historical Data

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The historical data trend for Artedz Fabs'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.

Artedz Fabs ROIC % Chart

Artedz Fabs Annual Data
Trend Mar14 Mar15 Mar16 Mar17 Mar18
ROIC %
6.09 6.68 9.15 15.24 18.63

Artedz Fabs Semi-Annual Data
Mar14 Mar15 Mar16 Mar17 Mar18 Sep18
ROIC % Get a 7-Day Free Trial 0.00 0.00 0.00 0.00 22.03

NSE:ARTEDZ vs : ROIC % Comparison

For the Textile Manufacturing subindustry, Artedz Fabs'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.

Artedz Fabs ROIC % vs Manufacturing - Apparel & Accessories Industry

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

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


Artedz Fabs ROIC % Calculation

Artedz Fabs's annualized Return on Invested Capital (ROIC %) for the fiscal year that ended in Mar. 2018 is calculated as:

ROIC % (A: Mar. 2018 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: Mar. 2017 ) + Invested Capital (A: Mar. 2018 ))/ count )
=89.92 * ( 1 - 29.53% )/( (315.741 + 364.434)/ 2 )
=63.366624/340.0875
=18.63 %

where

Invested Capital(A: Mar. 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))
=442.521 - 126.274 - ( 0.506 - max(0, 254.152 - 363.978+0.506))
=315.741

Invested Capital(A: Mar. 2018 )
=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))
=614.814 - 250.142 - ( 0.238 - max(0, 377.16 - 549.5+0.238))
=364.434

Artedz Fabs's annualized Return on Invested Capital (ROIC %) for the quarter that ended in Sep. 2018 is calculated as:

ROIC % (Q: Sep. 2018 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Mar. 2018 ) + Invested Capital (Q: Sep. 2018 ))/ count )
=118.362 * ( 1 - 27.75% )/( (364.434 + 412.048)/ 2 )
=85.516545/388.241
=22.03 %

where

Invested Capital(Q: Mar. 2018 )
=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))
=614.814 - 250.142 - ( 0.238 - max(0, 377.16 - 549.5+0.238))
=364.434

Invested Capital(Q: Sep. 2018 )
=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))
=740.86 - 328.417 - ( 0.395 - max(0, 471.41 - 680.165+0.395))
=412.048

Note: The Operating Income data used here is two times the semi-annual (Sep. 2018) 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 22.03% mean?
Artedz Fabs (NSE:ARTEDZ) has a ROIC % of 22.03% as of Sep. 2018. Return on invested capital is the ratio of current-period net income to average two-period invested capital. View historical data on Artedz Fabs and its competitors.
Is Artedz Fabs' ROIC % too high?
Artedz Fabs' current ROIC % is 22.03%. The Manufacturing - Apparel & Accessories industry median ROIC % is 2.91. Artedz Fabs' value of 22.03% is 657% above this industry median.
How does Artedz Fabs' ROIC % compare to ?
Artedz Fabs' ROIC % of 22.03% can be compared against companies in the Manufacturing - Apparel & Accessories industry. The industry median ROIC % is 2.91. Artedz Fabs' value of 22.03% is 657% 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 Manufacturing - Apparel & Accessories company?
The median ROIC % among Manufacturing - Apparel & Accessories companies is 2.91, based on 1,047 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. Artedz Fabs's current ROIC % of 22.03% is 657% 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 Artedz Fabs 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. Artedz Fabs's current ROIC % is 22.03%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Artedz Fabs stock overvalued right now?
Artedz Fabs (NSE:ARTEDZ) has a current ROIC % of 22.03%. The current ROIC % is 22.03% and 657% above the Manufacturing - Apparel & Accessories industry median of 2.91. 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 Artedz Fabs (NSE:ARTEDZ), the current ROIC % is 22.03% as of Sep. 2018. 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.

Artedz Fabs Business Description

Comparable Companies
Address Off Aarey Road, 206, Gambhir Industrial Estate, Opposite Paramount Print, Hanuman Tekdi, Mumbai, MH, IND, 400063
Artedz Fabs Ltd is a leading manufacturer of cotton yarn dyed fabrics in India. The portfolio encompasses manufacturing of premium quality apparel fabrics for men's clothing by producing various fabric blends and selling directly to manufacturers, retailers and global brands. Besides the regular cotton qualities, it also deals in fancy yarns like slubs, blended yarns like tensil linens, cotton modals, cotton linens and lycra.