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Synthetic MR AB (XSAT:SYNT) ROIC % : -18.82% (As of Sep. 2024)


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What is Synthetic MR AB 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 %. Synthetic MR AB's annualized return on invested capital (ROIC %) for the quarter that ended in Sep. 2024 was -18.82%.

As of today (2024-12-12), Synthetic MR AB's WACC % is 15.30%. Synthetic MR AB's ROIC % is -2.80% (calculated using TTM income statement data). Synthetic MR AB earns returns that do not match up to its cost of capital. It will destroy value as it grows.


Synthetic MR AB ROIC % Historical Data

The historical data trend for Synthetic MR AB'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.

Synthetic MR AB ROIC % Chart

Synthetic MR AB Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
ROIC %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 17.75 10.85 15.80 5.46 10.65

Synthetic MR AB Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
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 15.99 21.48 6.91 -24.19 -18.82

Competitive Comparison of Synthetic MR AB's ROIC %

For the Health Information Services subindustry, Synthetic MR AB'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.


Synthetic MR AB's ROIC % Distribution in the Healthcare Providers & Services Industry

For the Healthcare Providers & Services industry and Healthcare sector, Synthetic MR AB's ROIC % distribution charts can be found below:

* The bar in red indicates where Synthetic MR AB's ROIC % falls into.



Synthetic MR AB ROIC % Calculation

Synthetic MR AB's annualized Return on Invested Capital (ROIC %) for the fiscal year that ended in Dec. 2023 is calculated as:

ROIC % (A: Dec. 2023 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: Dec. 2022 ) + Invested Capital (A: Dec. 2023 ))/ count )
=14.077 * ( 1 - 23.45% )/( (84.171 + 118.282)/ 2 )
=10.7759435/101.2265
=10.65 %

where

Synthetic MR AB's annualized Return on Invested Capital (ROIC %) for the quarter that ended in Sep. 2024 is calculated as:

ROIC % (Q: Sep. 2024 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Jun. 2024 ) + Invested Capital (Q: Sep. 2024 ))/ count )
=-21.332 * ( 1 - -0.85% )/( (115.301 + 113.269)/ 2 )
=-21.513322/114.285
=-18.82 %

where

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


Synthetic MR AB  (XSAT:SYNT) 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, Synthetic MR AB's WACC % is 15.30%. Synthetic MR AB's ROIC % is -2.80% (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.


Synthetic MR AB ROIC % Related Terms

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Synthetic MR AB Business Description

Traded in Other Exchanges
Address
Storgatan 11, Linkoping, SWE, SE-582 23
Synthetic MR AB develops innovative software solutions for Magnetic Resonance Imaging that supports shorter exam times and delivers more information to the clinician. Its product is available in different packages. SyMRI IMAGE provides high MRI workflows and enables automatic segmentation of brain tissue, providing objective decision support, MAGiC is a customer-specific version of SyMRI IMAGE marketed and sold by GE Healthcare under a licence agreement, SyMRI NEURO includes contrast images, biomarker segmentation, volumetric measurements of brain tissues and quantitative parametric maps, and SyMRI Research Edition includes contrast images, volumetric measurements and quantitative maps to provide more information to the researcher.

Synthetic MR AB Headlines

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