Omnia Wellness (Omnia Wellness) ROC % : -22.65% (As of Sep. 2022)

View and export this data going back to 2018. Start your Free Trial

What is Omnia Wellness ROC %?

ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. Omnia Wellness's annualized return on capital (ROC %) for the quarter that ended in Sep. 2022 was -22.65%.

As of today (2024-05-24), Omnia Wellness's WACC % is 0.00%. Omnia Wellness's ROC % is 0.00% (calculated using TTM income statement data). Omnia Wellness earns returns that do not match up to its cost of capital. It will destroy value as it grows.

Omnia Wellness ROC % Historical Data

The historical data trend for Omnia Wellness's ROC % 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.

Omnia Wellness ROC % Chart

Omnia Wellness Annual Data

Trend

Mar16

Mar17

Mar18

Mar19

Mar20

Mar21

Mar22

ROC %

Get a 7-Day Free Trial

-540.00

-175.00

-226.67

-56.99

-55.62

Omnia Wellness Quarterly Data
	Dec17	Mar18	Jun18	Sep18	Dec18	Mar19	Jun19	Sep19	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22
ROC %	Get a 7-Day Free Trial															-42.06	-36.13	-77.77	-19.06	-22.65

Omnia Wellness ROC % Calculation

Omnia Wellness's annualized Return on Capital (ROC %) for the fiscal year that ended in Mar. 2022 is calculated as:

	ROC % (A: Mar. 2022 )
=	NOPAT	/	Average Invested Capital
=	Operating Income * ( 1 - Tax Rate % )	/	( (Invested Capital (A: Mar. 2021 )	+	Invested Capital (A: Mar. 2022 ))	/ count )
=	-3.396 * ( 1 - 0% )	/	( (5.68	+	6.531)	/ 2 )
=	-3.396	/	6.1055
=	-55.62 %

where

	Invested Capital		(A: Mar. 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	))
=	2.162	-	0.533	-	( 0.029	-	max(0, 4.297	-	0.246	+	0.029	))
=	5.68

	Invested Capital		(A: Mar. 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	))
=	2.362	-	1.177	-	( 0.002	-	max(0, 5.582	-	0.236	+	0.002	))
=	6.531

Omnia Wellness's annualized Return on Capital (ROC %) for the quarter that ended in Sep. 2022 is calculated as:

	ROC % (Q: Sep. 2022 )
=	NOPAT	/	Average Invested Capital
=	Operating Income * ( 1 - Tax Rate % )	/	( (Invested Capital (Q: Jun. 2022 )	+	Invested Capital (Q: Sep. 2022 ))	/ count )
=	-1.808 * ( 1 - 0% )	/	( (7.994	+	7.97)	/ 2 )
=	-1.808	/	7.982
=	-22.65 %

where

	Invested Capital		(Q: Jun. 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	))
=	2.316	-	1.469	-	( -0.001	-	max(0, 7.398	-	0.251	+	-0.001	))
=	7.994

	Invested Capital		(Q: Sep. 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	))
=	2.137	-	1.875	-	( 0	-	max(0, 7.876	-	0.168	+	0	))
=	7.97

Note: The Operating Income data used here is four times the quarterly (Sep. 2022) data.

Omnia Wellness (OTCPK:OMWS) ROC % Explanation

ROC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROIC %. 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 ROC % 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, Omnia Wellness's WACC % is 0.00%. Omnia Wellness's ROC % is 0.00% (calculated using TTM income statement data). Omnia Wellness 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 %, ROC % 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.

Omnia Wellness ROC % Related Terms

Thank you for viewing the detailed overview of Omnia Wellness's ROC % provided by GuruFocus.com. Please click on the following links to see related term pages.

Omnia Wellness (Omnia Wellness) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Travel & Leisure » Omnia Wellness Inc (OTCPK:OMWS) » Definitions » ROC %

Comparable Companies

Traded in Other Exchanges

N/A

Address

999 18th Street, Suite 3000, Denver, CO, USA, 80202

Website

https://www.omniawellness.com

Omnia Wellness Inc Endo-Kinetic treatment provides a dynamic and effective full-body treatment to help soothe the body from pain, stress and exercise. Through SolaJet, AquaVive, SolaPro and Bodystop brands, the company is delivering wellness and value to users and professionals across the United States. Its flagship proprietary SolaJet Dry-Hydrotherapy System produces deep tissue penetration combined with therapeutic heat and sequential compression that combines three therapies in one to deliver the feeling of an hour-long traditional massage in as little as 15 minutes at an affordable price point for the user.