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Amica Mature Lifestyles (TSX:ACC) ROIC % : 1.62% (As of Aug. 2015)


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What is Amica Mature Lifestyles 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 %. Amica Mature Lifestyles's annualized return on invested capital (ROIC %) for the quarter that ended in Aug. 2015 was 1.62%.

As of today (2024-05-27), Amica Mature Lifestyles's WACC % is 0.00%. Amica Mature Lifestyles's ROIC % is 0.00% (calculated using TTM income statement data). Amica Mature Lifestyles earns returns that do not match up to its cost of capital. It will destroy value as it grows.


Amica Mature Lifestyles ROIC % Historical Data

The historical data trend for Amica Mature Lifestyles'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.

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Amica Mature Lifestyles ROIC % Chart

Amica Mature Lifestyles Annual Data
Trend May06 May07 May08 May09 May10 May11 May12 May13 May14 May15
ROIC %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -0.61 -2.65 -0.05 0.59 0.98

Amica Mature Lifestyles Quarterly Data
Nov10 Feb11 May11 Aug11 Nov11 Feb12 May12 Aug12 Nov12 Feb13 May13 Aug13 Nov13 Feb14 May14 Aug14 Nov14 Feb15 May15 Aug15
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 1.05 1.16 1.04 0.96 1.62

Competitive Comparison of Amica Mature Lifestyles's ROIC %

For the Medical Care Facilities subindustry, Amica Mature Lifestyles'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.


Amica Mature Lifestyles's ROIC % Distribution in the Healthcare Providers & Services Industry

For the Healthcare Providers & Services industry and Healthcare sector, Amica Mature Lifestyles's ROIC % distribution charts can be found below:

* The bar in red indicates where Amica Mature Lifestyles's ROIC % falls into.



Amica Mature Lifestyles ROIC % Calculation

Amica Mature Lifestyles's annualized Return on Invested Capital (ROIC %) for the fiscal year that ended in May. 2015 is calculated as:

ROIC % (A: May. 2015 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: May. 2014 ) + Invested Capital (A: May. 2015 ))/ count )
=10.427 * ( 1 - 16.44% )/( (912.127 + 865.91)/ 2 )
=8.7128012/889.0185
=0.98 %

where

Amica Mature Lifestyles's annualized Return on Invested Capital (ROIC %) for the quarter that ended in Aug. 2015 is calculated as:

ROIC % (Q: Aug. 2015 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: May. 2015 ) + Invested Capital (Q: Aug. 2015 ))/ count )
=14.036 * ( 1 - 0% )/( (865.91 + 872.269)/ 2 )
=14.036/869.0895
=1.62 %

where

Note: The Operating Income data used here is four times the quarterly (Aug. 2015) 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.


Amica Mature Lifestyles  (TSX:ACC) 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, Amica Mature Lifestyles's WACC % is 0.00%. Amica Mature Lifestyles's ROIC % is 0.00% (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.


Amica Mature Lifestyles ROIC % Related Terms

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Amica Mature Lifestyles (TSX:ACC) Business Description

Traded in Other Exchanges
N/A
Address
Amica Mature Lifestyles Inc was incorporated on November 5, 1996 under the Business Corporations Act (Alberta) and on December 7, 1998, was continued under the Canada Business Corporations Act. The Company is engaged in the design, development, marketing, management and ownership of luxury seniors residences. The Company earns revenues from the ownership and operation of senior residences, management fees based on gross revenue of the seniors residences, design and marketing fees during the development, construction and lease-up of the seniors residences, guarantee fees on the co-tenancy debt that the Company has guaranteed and interest income on loans advanced by the Company to the co-tenancies.

Amica Mature Lifestyles (TSX:ACC) Headlines