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PL (Planet Labs PBC) ROIC % : -20.66% (As of Oct. 2024)


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What is Planet Labs PBC ROIC %?

ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. Planet Labs PBC's annualized return on invested capital (ROIC %) for the quarter that ended in Oct. 2024 was -20.66%.

As of today (2024-12-13), Planet Labs PBC's WACC % is 13.72%. Planet Labs PBC's ROIC % is -30.13% (calculated using TTM income statement data). Planet Labs PBC earns returns that do not match up to its cost of capital. It will destroy value as it grows.


Planet Labs PBC ROIC % Historical Data

The historical data trend for Planet Labs PBC'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.

* Premium members only.

Planet Labs PBC ROIC % Chart

Planet Labs PBC Annual Data
Trend Jan20 Jan21 Jan22 Jan23 Jan24
ROIC %
-30.01 -24.53 -35.05 -47.10 -41.92

Planet Labs PBC Quarterly Data
Jan20 Jul20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24 Jul24 Oct24
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 -47.33 -30.48 -32.11 -36.91 -20.66

Competitive Comparison of Planet Labs PBC's ROIC %

For the Aerospace & Defense subindustry, Planet Labs PBC'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.


Planet Labs PBC's ROIC % Distribution in the Aerospace & Defense Industry

For the Aerospace & Defense industry and Industrials sector, Planet Labs PBC's ROIC % distribution charts can be found below:

* The bar in red indicates where Planet Labs PBC's ROIC % falls into.



Planet Labs PBC ROIC % Calculation

Planet Labs PBC's annualized Return on Invested Capital (ROIC %) for the fiscal year that ended in Jan. 2024 is calculated as:

ROIC % (A: Jan. 2024 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: Jan. 2023 ) + Invested Capital (A: Jan. 2024 ))/ count )
=-169.748 * ( 1 - -0.58% )/( (371.587 + 443.051)/ 2 )
=-170.7325384/407.319
=-41.92 %

where

Invested Capital(A: Jan. 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))
=752.723 - 27.738 - ( 408.76 - max(0, 122.257 - 475.655+408.76))
=371.587

Invested Capital(A: Jan. 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))
=701.997 - 25.444 - ( 298.907 - max(0, 136.649 - 370.151+298.907))
=443.051

Planet Labs PBC's annualized Return on Invested Capital (ROIC %) for the quarter that ended in Oct. 2024 is calculated as:

ROIC % (Q: Oct. 2024 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Jul. 2024 ) + Invested Capital (Q: Oct. 2024 ))/ count )
=-90.432 * ( 1 - -0.12% )/( (446.818 + 429.716)/ 2 )
=-90.5405184/438.267
=-20.66 %

where

Invested Capital(Q: Oct. 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))
=630.764 - 28.538 - ( 242.224 - max(0, 129.084 - 301.594+242.224))
=429.716

Note: The Operating Income data used here is four times the quarterly (Oct. 2024) data.

* 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.


Planet Labs PBC  (NYSE:PL) 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, Planet Labs PBC's WACC % is 13.72%. Planet Labs PBC's ROIC % is -30.13% (calculated using TTM income statement data).


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.


Planet Labs PBC ROIC % Related Terms

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Planet Labs PBC Business Description

Traded in Other Exchanges
N/A
Address
645 Harrison Street, 4th Floor, San Francisco, CA, USA, 94107
Planet Labs PBC is an Earth-imaging company. The company provides daily satellite data that helps businesses, governments, researchers, and journalists understand the physical world and take action.
Executives
Ashley F. Johnson officer: See Remarks C/O PLANET LABS PBC, 645 HARRISON STREET, FLOOR 4, SAN FRANCISCO CA 94107
William Spencer Marshall director, officer: See Remarks C/O PLANET LABS PBC, 645 HARRISON STREET, FLOOR 4, SAN FRANCISCO CA 94107
Kevin Weil officer: President, Product & Business C/O PLANET LABS PBC,, 645 HARRISON STREET, FLOOR 4, SAN FRANCISCO CA 94107
Kristen Robinson director 2101 WEBSTER STREET #1650, OAKLAND CA 94612
Masi Niccolo De director, officer: Chief Executive Officer 500 HOWARD ST., SUITE 300, SAN FRANCISCO CA 94105
Ita M Brennan director 5453 GREAT AMERICA PARKWAY, SANTA CLARA CA 95054
Xxvi Holdings Inc. 10 percent owner 1600 AMPHITHEATRE PARKWAY, MOUNTAIN VIEW CA 94043
Vijaya Gadde director C/O TWITTER INC, 1355 MARKET STREET SUITE 900, SAN FRANCISCO CA 94103
Roizen Jo Ann Heidi director
Carl Bass director C/O AUTODESK INC, 111 MELNNIS PARKWAY, SAN RAFAEL CA 94903
Alphabet Inc. 10 percent owner 1600 AMPHITHEATRE PARKWAY, MOUNTAIN VIEW CA 94043
Google Llc 10 percent owner 1600 AMPHITHEATRE PARKWAY, MOUNTAIN VIEW CA 94043
Robert H Schingler director, officer: See Remarks C/O PLANET LABS PBC, 645 HARRISON STREET, FLOOR 4, SAN FRANCISCO CA 94107
Darla Anderson director C/O GLU MOBILE INC., 875 HOWARD STREET, SUITE 100, SAN FRANCISCO CA 94103
Dmy Sponsor Iv, Llc director, 10 percent owner 1180 NORTH TOWN CENTER DRIVE, SUITE 100, LAS VEGAS NV 89144