Wartość ROIC organizacji Toyam Industries Limited to 0.58%
Return on invested capital (ROIC) is a financial ratio that measures how efficient a company is at allocating the capital under its control to profitable investments.
= NOPAT / Invested capital = EBIT * (1 - tax rate) / (2-year average liabilities + 2-year average shareholder equity)
Return on invested capital (ROIC) ratio gives investors a sense of how well a company is using money under its control to generate profitable returns.
ROIC can be used as a benchmark to calculate the valuation of companies across industries. A higher ROIC means the company is doing a better job of investing the money from shareholders and bondholders to run the business. A company is creating value if its ROIC exceeds 2%. If its ROIC is under 2%, the company is likely destroying value and has no excess capital to invest in future growth.
You can calculate ROIC with the following formula:
NOPAT = Net operating profit after tax
Invested Capital = Average total liabilities + Average shareholders' equity
The averages of liabilities and shareholders' equity are calculated as geometrical averages of the last two annual values from the company's balance sheet.
Toyam Industries Limited engages in the commodity trading activities in India. The company operates through three segments: Commodity Business, Finance Business, and Restaurant Business. It sells textiles and agro commodities. The company is also involved in the finance and restaurant businesses. The company was formerly known as Ojas Asset Reconstruction Company Limited and changed its name to Toyam Industries Limited in December 2016. Toyam Industries Limited was incorporated in 1985 and is based in Mumbai, India.