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Hitek Global (Hitek Global) ROCE % : 5.38% (As of Dec. 2023)


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What is Hitek Global 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. Hitek Global's annualized ROCE % for the quarter that ended in Dec. 2023 was 5.38%.

Hitek Global ROCE % Historical Data

The historical data trend for Hitek Global'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.

* Premium members only.

Hitek Global ROCE % Chart

Hitek Global Annual Data
Trend Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
ROCE %
Get a 7-Day Free Trial 26.67 17.23 16.77 13.74 7.78

Hitek Global Semi-Annual Data
Dec17 Jun18 Dec18 Jun19 Dec19 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23
ROCE % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only 15.13 13.00 13.61 9.97 5.38

Hitek Global ROCE % Calculation

Hitek Global'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 )
=1.908/( ( (21.205 - 4.204) + (35.428 - 3.373) )/ 2 )
=1.908/( (17.001+32.055)/ 2 )
=1.908/24.528
=7.78 %

Hitek Global's ROCE % of for the quarter that ended in Dec. 2023 is calculated as:

ROCE %=EBIT (1)/( (Capital Employed+Capital Employed)/ count )
(Q: Dec. 2023 )  (Q: Jun. 2023 )(Q: Dec. 2023 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(Q: Dec. 2023 )  (Q: Jun. 2023 )(Q: Dec. 2023 )
=1.6/( ( (33.182 - 5.708) + (35.428 - 3.373) )/ 2 )
=1.6/( ( 27.474 + 32.055 )/ 2 )
=1.6/29.7645
=5.38 %

(1) Note: The EBIT data used here is two times the semi-annual (Dec. 2023) EBIT 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.

Hitek Global  (NAS:HKIT) 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.

Hitek Global ROCE % Related Terms

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Hitek Global (Hitek Global) Business Description

Industry
GURUFOCUS.COM » STOCK LIST » Technology » Software » Hitek Global Inc (NAS:HKIT) » Definitions » ROCE %
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Traded in Other Exchanges
4JX:Germany
Address
No. 30 Guanri Road, Siming District, Unit 304, Fujian Province, Phase II, Software Park, Xiamen, CHN
Website
http://www.xmhitek.com
Hitek Global Inc is a provider of information technology consulting and solutions services. The company has two lines of businesses such as services to small and medium businesses, which consist of Anti-Counterfeiting Tax Control System tax devices, including Golden Tax Disk and printers, ACTCS services, and IT services; and services to large businesses, which include hardware sales and software sales. It generates revenues from hardware sales, software sales, IT services, and tax devices and services.