Sing Tao News (FRA:PVGB) ROIC % : -4.10% (As of Dec. 2023)

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

What is Sing Tao News 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 %. Sing Tao News's annualized return on invested capital (ROIC %) for the quarter that ended in Dec. 2023 was -4.10%.

As of today (2024-05-11), Sing Tao News's WACC % is 8.28%. Sing Tao News's ROIC % is -5.05% (calculated using TTM income statement data). Sing Tao News earns returns that do not match up to its cost of capital. It will destroy value as it grows.

Sing Tao News ROIC % Historical Data

The historical data trend for Sing Tao News'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.

Sing Tao News ROIC % Chart

Sing Tao News Annual Data

Trend

Dec14

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

ROIC %

Get a 7-Day Free Trial

-1.72

-3.91

-10.94

-10.35

-4.86

Sing Tao News Semi-Annual Data
	Jun14	Dec14	Jun15	Dec15	Jun16	Dec16	Jun17	Dec17	Jun18	Dec18	Jun19	Dec19	Jun20	Dec20	Jun21	Dec21	Jun22	Dec22	Jun23	Dec23
ROIC %	Get a 7-Day Free Trial															-13.07	-15.71	-5.37	-6.61	-4.10

Competitive Comparison of Sing Tao News's ROIC %

For the Publishing subindustry, Sing Tao News'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.

Sing Tao News's ROIC % Distribution in the Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, Sing Tao News's ROIC % distribution charts can be found below:

* The bar in red indicates where Sing Tao News's ROIC % falls into.

Sing Tao News ROIC % Calculation

Sing Tao News's annualized Return on Invested Capital (ROIC %) for the fiscal year that ended in Dec. 2023 is calculated as:

	ROIC % (A: Dec. 2023 )
=	NOPAT	/	Average Invested Capital
=	Operating Income * ( 1 - Tax Rate % )	/	( (Invested Capital (A: Dec. 2022 )	+	Invested Capital (A: Dec. 2023 ))	/ count )
=	-7.899 * ( 1 - -4.71% )	/	( (178.346	+	162.065)	/ 2 )
=	-8.2710429	/	170.2055
=	-4.86 %

where

	Invested Capital		(A: Dec. 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	))
=	249.131	-	13.275	-	( 57.51	-	max(0, 21.336	-	92.848	+	57.51	))
=	178.346

	Invested Capital		(A: Dec. 2023 )
=	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	))
=	236.149	-	12.302	-	( 61.782	-	max(0, 19.188	-	91.017	+	61.782	))
=	162.065

Sing Tao News's annualized Return on Invested Capital (ROIC %) for the quarter that ended in Dec. 2023 is calculated as:

	ROIC % (Q: Dec. 2023 )
=	NOPAT	/	Average Invested Capital
=	Operating Income * ( 1 - Tax Rate % )	/	( (Invested Capital (Q: Jun. 2023 )	+	Invested Capital (Q: Dec. 2023 ))	/ count )
=	-4.9 * ( 1 - -33.69% )	/	( (157.119	+	162.065)	/ 2 )
=	-6.55081	/	159.592
=	-4.10 %

where

	Invested Capital		(Q: Jun. 2023 )
=	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	))
=	234.756	-	17.125	-	( 60.512	-	max(0, 18.705	-	88.251	+	60.512	))
=	157.119

	Invested Capital		(Q: Dec. 2023 )
=	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	))
=	236.149	-	12.302	-	( 61.782	-	max(0, 19.188	-	91.017	+	61.782	))
=	162.065

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

Sing Tao News (FRA:PVGB) 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, Sing Tao News's WACC % is 8.28%. Sing Tao News's ROIC % is -5.05% (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.

Sing Tao News ROIC % Related Terms

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

Sing Tao News (FRA:PVGB) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Communication Services » Media - Diversified » Sing Tao News Corp Ltd (FRA:PVGB) » Definitions » ROIC %

Traded in Other Exchanges

STAOF:USA 01105:Hong Kong

Address

7 Chun Cheong Street, Sing Tao News Corporation Building, Tseung Kwan O Industrial Estate, Tseung Kwan O, New Territories, Hong Kong, HKG

Website

https://www.singtaonewscorp.com

Sing Tao News Corp Ltd is an investment holding company. It is principally engaged in the business of publishing and distribution of newspapers, magazines and books to readers in Hong Kong, Canada, the United States of America and Europe, and sales of respective content of such publications in the People's Republic of China including Hong Kong.

Sing Tao News (FRA:PVGB) Headlines

No Headlines