Return on capital employed calculator

ROCE stands for Return on Capital Employed. It is a financial ratio that measures the profitability and efficiency of a company’s capital investments. ROCE indicates how well a company is generating profits from its invested capital.

ROCE is used as a performance metric by investors, analysts, and managers to assess a company’s profitability and the efficiency with which it utilizes its capital. A higher ROCE indicates that the company is generating more profits relative to the capital invested, which is generally considered favorable.

It’s important to note that ROCE can vary across industries, so it is often more meaningful to compare a company’s ROCE to its industry peers to get a better understanding of its performance.