Suncor Energy (TSX:SU) ROCE %

: 18.88% (As of Dec. 2023)

View and export this data going back to 1966. Start your Free Trial

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. Suncor Energy's annualized ROCE % for the quarter that ended in Dec. 2023 was 18.88%.

Suncor Energy ROCE % Historical Data

The historical data trend for Suncor Energy'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.

Suncor Energy Annual Data

Trend

Dec14

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

ROCE %

4.45

-6.62

8.86

18.23

15.10

Suncor Energy Quarterly Data
	Mar19	Jun19	Sep19	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23
ROCE %																21.13	16.21	14.01	12.77	18.88

Suncor Energy ROCE % Calculation

Suncor Energy's annualized ROCE % for the fiscal year that ended in Dec. 2023 is calculated as:

ROCE %	=	EBIT	/	( (Capital Employed	+	Capital Employed)	/ count )
		(A: Dec. 2023 )		(A: Dec. 2022 )		(A: Dec. 2023 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(A: Dec. 2023 )		(A: Dec. 2022 )		(A: Dec. 2023 )
	=	11375	/	( ( (84618 - 12869)	+	(88539 - 9597) )	/ 2 )
	=	11375	/	( (71749	+	78942)	/ 2 )
	=	11375	/	75345.5
	=	15.10 %

Suncor Energy'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 )
	=	14348	/	( ( (85389 - 12318)	+	(88539 - 9597) )	/ 2 )
	=	14348	/	( ( 73071	+	78942 )	/ 2 )
	=	14348	/	76006.5
	=	18.88 %

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

Suncor Energy (TSX:SU) 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.

Suncor Energy ROCE % Related Terms

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

Suncor Energy (TSX:SU) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Energy » Oil & Gas » Suncor Energy Inc (TSX:SU) » Definitions » ROCE %

Comparable Companies

Traded in Other Exchanges

SU:USA SUU:Mexico SM3:Germany SM3:Germany

Address

150 - 6th Avenue S.W., P.O. Box 2844, Calgary, AB, CAN, T2P 3E3

Website

https://www.suncor.com

Suncor Energy Inc is an integrated energy company. The company's operations include oil sands development, production and upgrading, offshore oil and gas, petroleum refining in Canada and the U.S. and the company's Petro-Canada retail and wholesale distribution networks. The company is developing petroleum resources while advancing the transition to a low-emissions future through investment in power, renewable fuels and hydrogen. It also conducts energy trading activities focused principally on the marketing and trading of crude oil, natural gas, byproducts, refined products and power.