ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. Maxland Bhd's annualized return on invested capital (ROIC %) for the quarter that ended in Feb. 2026 was -6.63%.
As of today (2026-07-07), Maxland Bhd's WACC % is 26.46%. Maxland Bhd's ROIC % is -13.57% (calculated using TTM income statement data).
Maxland Bhd earns returns that do not match up to its cost of capital. It will destroy value as it grows.
Maxland Bhd (XKLS:7123) 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, Maxland Bhd's WACC % is 26.46%. Maxland Bhd's ROIC % is -13.57% (calculated using TTM income statement data).
Maxland Bhd 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.
Maxland Bhd ROIC % Related Terms
Maxland Bhd ROIC % Historical Data
* Premium members only.
The historical data trend for Maxland 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 Lumber & Wood Production subindustry, Maxland 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.
Maxland Bhd ROIC % vs Forest Products Industry
For the Forest Products industry and Basic Materials sector, Maxland Bhd's ROIC % distribution charts can be found below:
* The bar in red indicates where Maxland Bhd's ROIC % falls into.
Note:
The Operating Income data used here is four times the quarterly (Feb. 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.
Maxland Bhd (XKLS:7123) has a ROIC % of -6.63% as of Feb. 2026. Return on invested capital is the ratio of current-period net income to average two-period invested capital. View historical data on Maxland Bhd and its competitors.
Is Maxland Bhd's ROIC % too high?
Maxland Bhd's current ROIC % is -6.63%.
How does Maxland Bhd's ROIC % compare to SSD and UFPI?
Maxland Bhd's ROIC % of -6.63% can be compared against companies in the Forest Products industry. The industry median ROIC % is 1.47. 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 Forest Products company?
The median ROIC % among Forest Products companies is 1.47, based on 276 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. 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 Maxland Bhd and its competitors. For the Forest Products industry, the median ROIC % is 1.47 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Maxland Bhd's current ROIC % is -6.63%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Maxland Bhd stock overvalued right now?
Based on GuruFocus' analysis, Maxland Bhd (XKLS:7123) is currently considered Possible Value Trap. The stock's GF Value™ is RM12.01, compared to a current price of RM0.04 — trading 99.7% below its estimated fair value. The current ROIC % is -6.63%. 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 Maxland Bhd (XKLS:7123), the current ROIC % is -6.63% as of Feb. 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.
Maxland Bhd is Malaysian timber and wood-based products industry. The company's Segments are the logging segment involved in the extraction, the sale of logs, and tree planting, the manufacturing segment is in the business of manufacturing and sale of plywood, raw and laminated particleboard, veneer, sawn timber, bare core board, finger joints, molded timber, wooden doors and window frames, and fire doors, the engineering segment is involved in the provision of marine services, including repair and maintenance of tugboats and barges amongst others; and the other segment is involved in investment holding and the provision of hiring services. The majority of its revenue is derived from manufacturing segment.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
XKLS:7123 has been successfully added to your 