ROCE

Return on capital employed

One of the 61 measures in Stock Scorer, under Quality — How much of the revenue is really kept — and what did it take to earn it?

How it is worked out

Operating income ÷ (total assets − current liabilities) × 100

Capital employed is everything the company owns less what it owes within the year, so it counts the whole asset base rather than only the part funded by investors. Return on capital nets cash out and counts only the funded part; this one does neither, which is why it reads lower for the same company.

How to read it

a wider base than return on invested capital, so it reads lower for the same filer. Not moved by how the balance sheet is funded, which return on equity is

Which figures it needs

Computed from 3 figures taken from the filing:

• operating_income
• assets
• current_liabilities

The XBRL tags behind it

These are the element names looked for in a filing, in order. The first one a company reports is the one used, and the company page names which it was — so any figure here can be checked against the filing it came from.

• OperatingIncomeLoss
• ProfitLossFromOperatingActivities
• Assets
• LiabilitiesCurrent
• CurrentLiabilities

Whether it counts

This measure is not counted by default. It can be added to Quality on the dashboard, and it then takes its share of that dimension.