NTPC (BOM:532555) ROCE % : 9.09% (As of Dec. 2023)

View and export this data going back to 2004. Start your Free Trial

What is NTPC 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. NTPC's annualized ROCE % for the quarter that ended in Dec. 2023 was 9.09%.

NTPC ROCE % Historical Data

The historical data trend for NTPC'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.

NTPC ROCE % Chart

NTPC Annual Data

Trend

Mar14

Mar15

Mar16

Mar17

Mar18

Mar19

Mar20

Mar21

Mar22

Mar23

ROCE %

Get a 7-Day Free Trial

8.23

8.17

7.88

9.02

10.10

NTPC Quarterly Data
	Dec18	Mar19	Jun19	Sep19	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Sep23	Dec23
ROCE %	Get a 7-Day Free Trial															8.17	13.08	9.56	10.39	9.09

NTPC ROCE % Calculation

NTPC's annualized ROCE % for the fiscal year that ended in Mar. 2023 is calculated as:

ROCE %	=	EBIT	/	( (Capital Employed	+	Capital Employed)	/ count )
		(A: Mar. 2023 )		(A: Mar. 2022 )		(A: Mar. 2023 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(A: Mar. 2023 )		(A: Mar. 2022 )		(A: Mar. 2023 )
	=	351722.2	/	( ( (4165964.1 - 789502.1)	+	(4460214.5 - 874854.5) )	/ 2 )
	=	351722.2	/	( (3376462	+	3585360)	/ 2 )
	=	351722.2	/	3480911
	=	10.10 %

NTPC'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: Sep. 2023 )		(Q: Dec. 2023 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(Q: Dec. 2023 )		(Q: Sep. 2023 )		(Q: Dec. 2023 )
	=	335378.4	/	( ( (4541387.4 - 850026.3)	+	(0 - 0) )	/ 1 )
	=	335378.4	/	( ( 3691361.1	+	0 )	/ 1 )
	=	335378.4	/	3691361.1
	=	9.09 %

(1) Note: The EBIT data used here is four times the quarterly (Dec. 2023) EBIT data.

NTPC (BOM:532555) 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.

NTPC ROCE % Related Terms

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

NTPC (BOM:532555) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Utilities » Utilities - Regulated » NTPC Ltd (BOM:532555) » Definitions » ROCE %

Comparable Companies

Traded in Other Exchanges

NTPC:India

Address

NTPC Bhawan, Lodhi Road, 7 Institutional Area, Scope Complex, New Delhi, IND, 110 003

Website

https://www.ntpc.co.in

NTPC Ltd is an Indian state-owned electric utility company. It is the largest power producer in India and supplies a significant amount of the nation's total needs. The company primarily generates revenue through the sale of electricity to state-owned Indian power distribution companies from its stations throughout the country. NTPC also brings in a significant amount of revenue through its consultancy wing, which provides project management and supervision, energy trading, oil and gas exploration and coal mining. While the vast majority of its facilities use coal and gas fuel sources, NTPC has also increased its capacity through renewable energy sources, such as hydroelectric, solar, and thermal power, and plans to continue this trend going forward.

NTPC (BOM:532555) Headlines

No Headlines