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The Descartes Systems Group (FRA:DC2) 1-Year ROIIC % : 6.62% (As of Oct. 2024)


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What is The Descartes Systems Group 1-Year ROIIC %?

1-Year Return on Invested Incremental Capital (1-Year ROIIC %) measures the change in earnings as a percentage of change in investment over 1-year. The Descartes Systems Group's 1-Year ROIIC % for the quarter that ended in Oct. 2024 was 6.62%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.

The industry rank for The Descartes Systems Group's 1-Year ROIIC % or its related term are showing as below:

FRA:DC2's 1-Year ROIIC % is ranked better than
53.45% of 2692 companies
in the Software industry
Industry Median: 3.31 vs FRA:DC2: 6.62

The Descartes Systems Group 1-Year ROIIC % Historical Data

The historical data trend for The Descartes Systems Group's 1-Year ROIIC % 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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The Descartes Systems Group 1-Year ROIIC % Chart

The Descartes Systems Group Annual Data
Trend Jan15 Jan16 Jan17 Jan18 Jan19 Jan20 Jan21 Jan22 Jan23 Jan24
1-Year ROIIC %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.87 256.21 84.85 11.92 20.02

The Descartes Systems Group Quarterly Data
Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24 Jul24 Oct24
1-Year ROIIC % 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 18.65 20.02 21.23 12.43 6.62

Competitive Comparison of The Descartes Systems Group's 1-Year ROIIC %

For the Software - Application subindustry, The Descartes Systems Group's 1-Year ROIIC %, along with its competitors' market caps and 1-Year ROIIC % 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.


The Descartes Systems Group's 1-Year ROIIC % Distribution in the Software Industry

For the Software industry and Technology sector, The Descartes Systems Group's 1-Year ROIIC % distribution charts can be found below:

* The bar in red indicates where The Descartes Systems Group's 1-Year ROIIC % falls into.



The Descartes Systems Group 1-Year ROIIC % Calculation

The Descartes Systems Group's 1-Year ROIIC % for the quarter that ended in Oct. 2024 is calculated as:

1-Year ROIIC %=1-Year Incremental Net Operating Profit After Taxes (NOPAT)**/1-Year Incremental Invested Capital
=( 128.3844 (Oct. 2024) - 111.2835 (Oct. 2023) )/( 1356.933 (Oct. 2024) - 1116.841 (Oct. 2023) )
=17.1009/240.092
=7.12%***

* 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.

** TTM data of NOPAT and Invested Capital was used to calculate 1-Year ROIIC %.
*** Please be aware that the ROIIC (Return on Invested Capital) calculations are based on company-level data using the primary share class. The calculated data provided is for demonstration purposes and may slightly differ from the results displayed in the title due to potential variations caused by currency exchange rate differences throughout the year.


The Descartes Systems Group  (FRA:DC2) 1-Year ROIIC % Explanation

Return on Incremental Invested Capital (ROIIC) is an extension of Return on Investment Capital (ROIC). ROIC % tells investors how efficiently that profitability is earned per dollar of company capital. ROIIC narrows the focus even further and shows how profitable each additional unit of capital investment could be. ROIIC % is a more powerful metric than ROIC because it measures how much money the company can generate going forward on future capital investments.

High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.

Be Aware

It's important to keep in mind that when tracking ROIIC, the metric is better suited to forecasting the trend of future returns rather than measuring current return on investment.


The Descartes Systems Group 1-Year ROIIC % Related Terms

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The Descartes Systems Group Business Description

Traded in Other Exchanges
Address
120 Randall Drive, Waterloo, ON, CAN, N2V 1C6
Descartes Systems Group provides a software solution that allows users in the shipping industry to communicate with one another. Its core product is the Global Logistics Network, which is best understood as transaction-driven. Descartes charges clients to send/receive messages, data, and documents on the GLN. Customers typically contract for a monthly minimum over a multiyear period. The GLN platform allows Descartes to upsell additional software modules as well, typically provided via a software-as-a-service model.

The Descartes Systems Group Headlines

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