ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. Ibraco Bhd's annualized return on invested capital (ROIC %) for the quarter that ended in Mar. 2026 was 6.57%.
As of today (2026-07-04), Ibraco Bhd's WACC % is 4.81%. Ibraco Bhd's ROIC % is 6.83% (calculated using TTM income statement data).
Ibraco Bhd generates higher returns on investment than it costs the company to raise the capital needed for that investment. It 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.
Ibraco Bhd (XKLS:5084) 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, Ibraco Bhd's WACC % is 4.81%. Ibraco Bhd's ROIC % is 6.83% (calculated using TTM income statement data).
Ibraco Bhd generates higher returns on investment than it costs the company to raise the capital needed for that investment. It 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.
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.
Ibraco Bhd ROIC % Related Terms
Ibraco Bhd ROIC % Historical Data
* Premium members only.
The historical data trend for Ibraco Bhd'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.
For the Real Estate - Diversified subindustry, Ibraco Bhd'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.
Ibraco Bhd ROIC % vs Real Estate Industry
For the Real Estate industry and Real Estate sector, Ibraco Bhd's ROIC % distribution charts can be found below:
* The bar in red indicates where Ibraco Bhd's ROIC % falls into.
Note:
The Operating Income data used here is four times the quarterly (Mar. 2026) 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.
Ibraco Bhd (XKLS:5084) has a ROIC % of 6.57% as of Mar. 2026. Return on invested capital is the ratio of current-period net income to average two-period invested capital. View historical data on Ibraco Bhd and its competitors.
Is Ibraco Bhd's ROIC % too high?
Ibraco Bhd's current ROIC % is 6.57%. The Real Estate industry median ROIC % is 2.19. Ibraco Bhd's value of 6.57% is 200% above this industry median. Overall, Ibraco Bhd has a GF Score™ of 85/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Ibraco Bhd's ROIC % compare to competitors?
Ibraco Bhd's ROIC % of 6.57% can be compared against companies in the Real Estate industry. The industry median ROIC % is 2.19. Ibraco Bhd's value of 6.57% is 200% 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 Real Estate company?
The median ROIC % among Real Estate companies is 2.19, based on 1,755 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. Ibraco Bhd's current ROIC % of 6.57% is 200% 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 Ibraco Bhd and its competitors. For the Real Estate industry, the median ROIC % is 2.19 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Ibraco Bhd's current ROIC % is 6.57%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ibraco Bhd stock overvalued right now?
Based on GuruFocus' analysis, Ibraco Bhd (XKLS:5084) is currently considered Modestly Undervalued. The stock's GF Value™ is RM1.43, compared to a current price of RM1.20 — trading 16.1% below its estimated fair value. The current ROIC % is 6.57% and 200% above the Real Estate industry median of 2.19. Ibraco Bhd's overall GF Score™ is 85/100 with 8 warning signs to review. 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 Ibraco Bhd (XKLS:5084), the current ROIC % is 6.57% as of Mar. 2026. 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.
Is Ibraco Bhd (XKLS:5084) Overvalued in 2026?
Based on GuruFocus' analysis, Ibraco Bhd stock appears to be undervalued.
The current stock price of RM1.20 is trading 16.1% below its estimated GF Value™ of RM1.43.
GuruFocus considers Ibraco Bhd to be Modestly Undervalued.
Key valuation signals for XKLS:5084:
ROIC %: 6.57%
GF Value™: RM1.43 vs. price of RM1.20 (16.1% below fair value)
Industry Position: 200% above the Real Estate median
No single metric tells the full story. See the XKLS:5084 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Ibraco Bhd is an integrated property development company based in Malaysia, with ongoing property development projects in Sarawak and West Malaysia. It is mainly engaged in realty development, investment holding, and clubhouse operation. Its segments include property development, which generates maximum revenue and involves the development and sales of residential and commercial properties; construction works; quarry operation and sales of stone products; manufacturing of ready mixed concrete, premix, and mild steel cement-lined pipe; clubhouse operation; and property holding and management involving property management services and lease of retail and education facilities. All operations of the Company are held in Malaysia.
85GF Score
Get the complete analysis for XKLS:5084
ROIC % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
XKLS:5084 has been successfully added to your 
