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M & A Equity Holdings Bhd (XKLS:7082) ROIC % : 0.07% (As of Dec. 2024)


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What is M & A Equity Holdings Bhd 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 %. M & A Equity Holdings Bhd's annualized return on invested capital (ROIC %) for the quarter that ended in Dec. 2024 was 0.07%.

As of today (2025-04-03), M & A Equity Holdings Bhd's WACC % is 6.66%. M & A Equity Holdings Bhd's ROIC % is -5.39% (calculated using TTM income statement data). M & A Equity Holdings Bhd earns returns that do not match up to its cost of capital. It will destroy value as it grows.


M & A Equity Holdings Bhd ROIC % Historical Data

The historical data trend for M & A Equity Holdings 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.

* Premium members only.

M & A Equity Holdings Bhd ROIC % Chart

M & A Equity Holdings Bhd Annual Data
Trend Jul15 Jul16 Jul17 Jul18 Jul19 Jul20 Jul21 Jul22 Jun23 Jun24
ROIC %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -6.90 1.99 -1.12 - -1.31

M & A Equity Holdings Bhd Quarterly Data
Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24
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 6.71 6.47 -28.60 -1.82 0.07

Competitive Comparison of M & A Equity Holdings Bhd's ROIC %

For the Capital Markets subindustry, M & A Equity Holdings 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.


M & A Equity Holdings Bhd's ROIC % Distribution in the Capital Markets Industry

For the Capital Markets industry and Financial Services sector, M & A Equity Holdings Bhd's ROIC % distribution charts can be found below:

* The bar in red indicates where M & A Equity Holdings Bhd's ROIC % falls into.


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M & A Equity Holdings Bhd ROIC % Calculation

M & A Equity Holdings Bhd's annualized Return on Invested Capital (ROIC %) for the fiscal year that ended in Jun. 2024 is calculated as:

ROIC % (A: Jun. 2024 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: Jun. 2023 ) + Invested Capital (A: Jun. 2024 ))/ count )
=-5.618 * ( 1 - 26.25% )/( (0 + 317.241)/ 1 )
=-4.143275/317.241
=-1.31 %

where

Invested Capital(A: Jun. 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))
=557.774 - 75.292 - ( 165.241 - max(0, 104.573 - 416.791+165.241))
=317.241

M & A Equity Holdings Bhd's annualized Return on Invested Capital (ROIC %) for the quarter that ended in Dec. 2024 is calculated as:

ROIC % (Q: Dec. 2024 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Sep. 2024 ) + Invested Capital (Q: Dec. 2024 ))/ count )
=0.256 * ( 1 - 29.36% )/( (269.184 + 277.639)/ 2 )
=0.1808384/273.4115
=0.07 %

where

Invested Capital(Q: Sep. 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))
=646.565 - 177.563 - ( 199.818 - max(0, 190.24 - 519.7+199.818))
=269.184

Invested Capital(Q: Dec. 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))
=568.573 - 95.341 - ( 195.593 - max(0, 109.226 - 437.667+195.593))
=277.639

Note: The Operating Income data used here is four times the quarterly (Dec. 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.


M & A Equity Holdings Bhd  (XKLS:7082) 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, M & A Equity Holdings Bhd's WACC % is 6.66%. M & A Equity Holdings Bhd's ROIC % is -5.39% (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.


M & A Equity Holdings Bhd ROIC % Related Terms

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M & A Equity Holdings Bhd Business Description

Traded in Other Exchanges
N/A
Address
Lingkaran Syed Putra, No. 47-11, The Boulevard Mid Valley City, Kuala Lumpur, SGR, MYS, 59200
M & A Equity Holdings Bhd is an investment holding company operating in Malaysia. The company along with its subsidiaries, operates in the following segments, Financial services, Property investment and development, and Investment holding. The majority of its revenue is generated from the Financial services segment which represents the company's business, offering a range of financial services to its clients, comprising stock brokerage services, corporate finance and advisory services, nominee agents and registration services, financing activities and other related services, and provision of fund management. The Property investment and development segment includes property development, holding, and investments. The investment holding segment includes management services activities.

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