Kontoor Brands (FRA:3KO) ROCE % : 26.68% (As of Mar. 2024)

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What is Kontoor Brands ROCE %?

ROCE % measures how well a company generates profits from its capital. It is calculated as EBIT divided by Capital Employed, where Capital Employed is calculated as Total Assets minus Total Current Liabilities. Kontoor Brands's annualized ROCE % for the quarter that ended in Mar. 2024 was 26.68%.

Kontoor Brands ROCE % Historical Data

The historical data trend for Kontoor Brands's ROCE % 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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Kontoor Brands ROCE % Chart

Kontoor Brands Annual Data

Trend

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

ROCE %

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11.64

10.34

26.63

32.91

25.72

Kontoor Brands Quarterly Data
	Jun19	Sep19	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23	Mar24
ROCE %	Get a 7-Day Free Trial															31.11	19.69	27.13	24.02	26.68

Kontoor Brands ROCE % Calculation

Kontoor Brands's annualized ROCE % for the fiscal year that ended in Dec. 2023 is calculated as:

ROCE %	=	EBIT	/	( (Capital Employed	+	Capital Employed)	/ count )
		(A: Dec. 2023 )		(A: Dec. 2022 )		(A: Dec. 2023 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(A: Dec. 2023 )		(A: Dec. 2022 )		(A: Dec. 2023 )
	=	286.386	/	( ( (1493.654 - 415.765)	+	(1508.868 - 360.048) )	/ 2 )
	=	286.386	/	( (1077.889	+	1148.82)	/ 2 )
	=	286.386	/	1113.3545
	=	25.72 %

Kontoor Brands's ROCE % of for the quarter that ended in Mar. 2024 is calculated as:

ROCE %	=	EBIT ⁽¹⁾	/	( (Capital Employed	+	Capital Employed)	/ count )
		(Q: Mar. 2024 )		(Q: Dec. 2023 )		(Q: Mar. 2024 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(Q: Mar. 2024 )		(Q: Dec. 2023 )		(Q: Mar. 2024 )
	=	309.016	/	( ( (1508.868 - 360.048)	+	(1528.522 - 361.227) )	/ 2 )
	=	309.016	/	( ( 1148.82	+	1167.295 )	/ 2 )
	=	309.016	/	1158.0575
	=	26.68 %

(1) Note: The EBIT data used here is four times the quarterly (Mar. 2024) EBIT data.

Kontoor Brands (FRA:3KO) ROCE % Explanation

ROCE % can be especially useful when comparing the performance of capital-intensive companies. Unlike ROE %, which indicates the profitability of Shareholders Equity, ROCE % also considers long-term debt in Capital Employed. This can be helpful when analyzing companies with significant debt, as the result is neutralized by taking debt into consideration.

Generally speaking, a higher ROCE % indicates a stonger profitability for a company. Moreover, it is important to look at the ratio from a long term perspective. Investors tend to favor companies with stable and rising ROCE % trend over those with volatile ones.

Kontoor Brands ROCE % Related Terms

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Kontoor Brands (FRA:3KO) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Manufacturing - Apparel & Accessories » Kontoor Brands Inc (FRA:3KO) » Definitions » ROCE %

Comparable Companies

Traded in Other Exchanges

KTB:USA

Address

400 N. Elm Street, Greensboro, NC, USA, 27401

Website

https://www.kontoorbrands.com

Kontoor Brands Inc is a lifestyle apparel company. It is engaged in designing, manufacturing, sourcing, marketing, and distribution of its portfolio of brands, including Wrangler and Lee. It manufactures its products in owned and leased facilities and distributes the products through both brick and mortar and e-commerce retailers. It generates the majority of its revenue from the Wrangler segment. The company's geographical segments are the United States and International, of which the majority of its revenue comes from the United States.

Kontoor Brands (FRA:3KO) Headlines

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