Premier Veterinary Group (AQSE:PVG.GB) ROIC % : -237.63% (As of Mar. 2020)

View and export this data going back to 2014. Start your Free Trial

What is Premier Veterinary Group ROIC %?

ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. Premier Veterinary Group's annualized return on invested capital (ROIC %) for the quarter that ended in Mar. 2020 was -237.63%.

As of today (2024-05-28), Premier Veterinary Group's WACC % is 0.00%. Premier Veterinary Group's ROIC % is 0.00% (calculated using TTM income statement data). Premier Veterinary Group earns returns that do not match up to its cost of capital. It will destroy value as it grows.

Premier Veterinary Group ROIC % Historical Data

The historical data trend for Premier Veterinary Group's ROIC % 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.

Premier Veterinary Group ROIC % Chart

Premier Veterinary Group Annual Data

Trend

Dec10

Dec11

Dec12

Dec13

Sep14

Sep15

Sep16

Sep17

Sep18

Sep19

ROIC %

Get a 7-Day Free Trial

-17.25

-115.93

-326.55

-403.72

-262.72

Premier Veterinary Group Semi-Annual Data
	Jun10	Dec10	Jun11	Dec11	Jun12	Dec12	Jun13	Dec13	Jun14	Dec14	Sep15	Mar16	Sep16	Mar17	Sep17	Mar18	Sep18	Mar19	Sep19	Mar20
ROIC %	Get a 7-Day Free Trial															-564.99	-451.88	-382.66	-268.47	-237.63

Competitive Comparison of Premier Veterinary Group's ROIC %

For the Personal Services subindustry, Premier Veterinary Group's ROIC %, along with its competitors' market caps and ROIC % 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.

Premier Veterinary Group's ROIC % Distribution in the Personal Services Industry

For the Personal Services industry and Consumer Cyclical sector, Premier Veterinary Group's ROIC % distribution charts can be found below:

* The bar in red indicates where Premier Veterinary Group's ROIC % falls into.

Premier Veterinary Group ROIC % Calculation

Premier Veterinary Group's annualized Return on Invested Capital (ROIC %) for the fiscal year that ended in Sep. 2019 is calculated as:

	ROIC % (A: Sep. 2019 )
=	NOPAT	/	Average Invested Capital
=	Operating Income * ( 1 - Tax Rate % )	/	( (Invested Capital (A: Sep. 2018 )	+	Invested Capital (A: Sep. 2019 ))	/ count )
=	-2.455 * ( 1 - 1.12% )	/	( (0.876	+	0.972)	/ 2 )
=	-2.427504	/	0.924
=	-262.72 %

where

	Invested Capital		(A: Sep. 2018 )
=	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	))
=	1.685	-	0.463	-	( 0.648	-	max(0, 0.836	-	1.182	+	0.648	))
=	0.876

	Invested Capital		(A: Sep. 2019 )
=	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	))
=	1.752	-	0.596	-	( 0.686	-	max(0, 1.071	-	1.255	+	0.686	))
=	0.972

Premier Veterinary Group's annualized Return on Invested Capital (ROIC %) for the quarter that ended in Mar. 2020 is calculated as:

	ROIC % (Q: Mar. 2020 )
=	NOPAT	/	Average Invested Capital
=	Operating Income * ( 1 - Tax Rate % )	/	( (Invested Capital (Q: Sep. 2019 )	+	Invested Capital (Q: Mar. 2020 ))	/ count )
=	-1.686 * ( 1 - 0% )	/	( (0.972	+	0.447)	/ 2 )
=	-1.686	/	0.7095
=	-237.63 %

where

	Invested Capital		(Q: Sep. 2019 )
=	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	))
=	1.752	-	0.596	-	( 0.686	-	max(0, 1.071	-	1.255	+	0.686	))
=	0.972

	Invested Capital		(Q: Mar. 2020 )
=	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	))
=	1.38	-	1.261	-	( 0.459	-	max(0, 1.261	-	0.933	+	0.459	))
=	0.447

Note: The Operating Income data used here is two times the semi-annual (Mar. 2020) data.

Premier Veterinary Group (AQSE:PVG.GB) ROIC % Explanation

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

Be Aware

Like ROE % and ROA %, ROIC % 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.

Premier Veterinary Group ROIC % Related Terms

Thank you for viewing the detailed overview of Premier Veterinary Group's ROIC % provided by GuruFocus.com. Please click on the following links to see related term pages.

Premier Veterinary Group (AQSE:PVG.GB) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Personal Services » Premier Veterinary Group PLC (AQSE:PVG.GB) » Definitions » ROIC %

Comparable Companies

Traded in Other Exchanges

N/A

Address

Bond Street, New Bond House, Bristol, GBR, BS2 9AG

Website

http://www.premiervetgroup.co.uk

Premier Veterinary Group PLC is a non-medical service provides mainly to veterinary centers. The company business operates in the veterinary industry and mainly provides support services for day to day running of veterinary centers. The company business is organized into three geographical regions: Premier Pet Care Plan (PPCP) the United Kingdom, PPCP Europe (including the Republic of Ireland), and PPCP US. Most of its revenues are generated from the Premier Pet Care Plan - UK.

Premier Veterinary Group (AQSE:PVG.GB) Headlines

No Headlines