Airtificial Intelligence Structures (XMAD:AI) ROIC % : 0.44% (As of Jun. 2024)

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What is Airtificial Intelligence Structures 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 %. Airtificial Intelligence Structures's annualized return on invested capital (ROIC %) for the quarter that ended in Jun. 2024 was 0.44%.

As of today (2024-12-14), Airtificial Intelligence Structures's WACC % is 17.16%. Airtificial Intelligence Structures's ROIC % is 0.22% (calculated using TTM income statement data). Airtificial Intelligence Structures earns returns that do not match up to its cost of capital. It will destroy value as it grows.

Airtificial Intelligence Structures ROIC % Historical Data

The historical data trend for Airtificial Intelligence Structures'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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Airtificial Intelligence Structures ROIC % Chart

Airtificial Intelligence Structures Annual Data

Trend

Dec13

Dec14

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

ROIC %

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1.28

-8.05

-7.85

-6.85

-0.65

Airtificial Intelligence Structures Semi-Annual Data
	Jun14	Dec14	Jun15	Dec15	Jun16	Dec16	Jun17	Dec17	Jun18	Dec18	Jun19	Dec19	Jun20	Dec20	Jun21	Dec21	Jun22	Dec22	Jun23	Jun24
ROIC %	Get a 7-Day Free Trial															-10.23	-0.59	-0.65	-0.29	0.44

Competitive Comparison of Airtificial Intelligence Structures's ROIC %

For the Specialty Industrial Machinery subindustry, Airtificial Intelligence Structures'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.

Airtificial Intelligence Structures's ROIC % Distribution in the Industrial Products Industry

For the Industrial Products industry and Industrials sector, Airtificial Intelligence Structures's ROIC % distribution charts can be found below:

* The bar in red indicates where Airtificial Intelligence Structures's ROIC % falls into.

Airtificial Intelligence Structures ROIC % Calculation

Airtificial Intelligence Structures's annualized Return on Invested Capital (ROIC %) for the fiscal year that ended in Dec. 2022 is calculated as:

	ROIC % (A: Dec. 2022 )
=	NOPAT	/	Average Invested Capital
=	Operating Income * ( 1 - Tax Rate % )	/	( (Invested Capital (A: Dec. 2021 )	+	Invested Capital (A: Dec. 2022 ))	/ count )
=	-1.013 * ( 1 - -3.74% )	/	( (163.071	+	161.181)	/ 2 )
=	-1.0508862	/	162.126
=	-0.65 %

where

	Invested Capital		(A: Dec. 2021 )
=	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	))
=	206.655	-	26.694	-	( 16.89	-	max(0, 55.61	-	81.582	+	16.89	))
=	163.071

	Invested Capital		(A: Dec. 2022 )
=	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	))
=	195.999	-	26.834	-	( 7.984	-	max(0, 63.568	-	72.093	+	7.984	))
=	161.181

Airtificial Intelligence Structures's annualized Return on Invested Capital (ROIC %) for the quarter that ended in Jun. 2024 is calculated as:

	ROIC % (Q: Jun. 2024 )
=	NOPAT	/	Average Invested Capital
=	Operating Income * ( 1 - Tax Rate % )	/	( (Invested Capital (Q: Jun. 2023 )	+	Invested Capital (Q: Jun. 2024 ))	/ count )
=	0.664 * ( 1 - -6.27% )	/	( (152.107	+	170.021)	/ 2 )
=	0.7056328	/	161.064
=	0.44 %

where

	Invested Capital		(Q: Jun. 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	))
=	201.642	-	45.119	-	( 4.416	-	max(0, 73.785	-	78.36	+	4.416	))
=	152.107

	Invested Capital		(Q: 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	))
=	198.965	-	40.781	-	( 9.387	-	max(0, 91.103	-	79.266	+	9.387	))
=	170.021

Note: The Operating Income data used here is two times the semi-annual (Jun. 2024) data.

Airtificial Intelligence Structures (XMAD:AI) 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, Airtificial Intelligence Structures's WACC % is 17.16%. Airtificial Intelligence Structures's ROIC % is 0.22% (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.

Airtificial Intelligence Structures ROIC % Related Terms

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Airtificial Intelligence Structures Business Description

Industry

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Comparable Companies

Traded in Other Exchanges

AITLF:USA 0EVB:UK IRG:Germany

Address

General Diaz Porlier 49, Madrid, ESP, 28001

Website

https://www.airtificial.com

Airtificial Intelligence Structures SA is a prominent Spanish company in the field of Artificial Intelligence, Robotics, and the Development of Intelligent Structures. The company provides design and manufacturing technology solutions for the automotive, aeronautics, infrastructure, and other industrial sectors. It operates in the Aerospace & Defense, Infrastructure, and Intelligent Robots segments. The majority of the company's revenues are derived from the Intelligent Robots segment that caters to the automotive sector, specifically, in assembly, test, and test lines.