Tata Power Co (NSE:TATAPOWER) ROCE % : 10.88% (As of Mar. 2024)

View and export this data going back to 1996. Start your Free Trial

What is Tata Power Co 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. Tata Power Co's annualized ROCE % for the quarter that ended in Mar. 2024 was 10.88%.

Tata Power Co ROCE % Historical Data

The historical data trend for Tata Power Co'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.

Tata Power Co ROCE % Chart

Tata Power Co Annual Data

Trend

Mar15

Mar16

Mar17

Mar18

Mar19

Mar20

Mar21

Mar22

Mar23

Mar24

ROCE %

Get a 7-Day Free Trial

11.36

8.91

9.31

12.41

11.36

Tata Power Co Quarterly Data
	Jun19	Sep19	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23	Mar24
ROCE %	Get a 7-Day Free Trial															11.17	12.80	10.75	11.51	10.88

Tata Power Co ROCE % Calculation

Tata Power Co's annualized ROCE % for the fiscal year that ended in Mar. 2024 is calculated as:

ROCE %	=	EBIT	/	( (Capital Employed	+	Capital Employed)	/ count )
		(A: Mar. 2024 )		(A: Mar. 2023 )		(A: Mar. 2024 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(A: Mar. 2024 )		(A: Mar. 2023 )		(A: Mar. 2024 )
	=	103652.4	/	( ( (1283488.9 - 440927.8)	+	(1395534.9 - 412515.3) )	/ 2 )
	=	103652.4	/	( (842561.1	+	983019.6)	/ 2 )
	=	103652.4	/	912790.35
	=	11.36 %

Tata Power Co's ROCE % of for the quarter that ended in Mar. 2024 is calculated as:

ROCE %	=	EBIT ⁽¹⁾	/	( (Capital Employed	+	Capital Employed)	/ count )
		(Q: Mar. 2024 )		(Q: Dec. 2023 )		(Q: Mar. 2024 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(Q: Mar. 2024 )		(Q: Dec. 2023 )		(Q: Mar. 2024 )
	=	106910	/	( ( (0 - 0)	+	(1395534.9 - 412515.3) )	/ 1 )
	=	106910	/	( ( 0	+	983019.6 )	/ 1 )
	=	106910	/	983019.6
	=	10.88 %

(1) Note: The EBIT data used here is four times the quarterly (Mar. 2024) EBIT data.

Tata Power Co (NSE:TATAPOWER) 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.

Tata Power Co ROCE % Related Terms

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

Tata Power Co (NSE:TATAPOWER) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Utilities » Utilities - Independent Power Producers » Tata Power Co Ltd (NSE:TATAPOWER) » Definitions » ROCE %

Traded in Other Exchanges

500400:India

Address

34 Sant Tukaram Road, Corporate Center B, Carnac Bunder, Mumbai, MH, IND, 400 009

Website

https://www.tatapower.com

Tata Power Co Ltd is an Indian electric utility company within the Tata Group multinational conglomerate that builds, operates, and maintains power generation and distribution facilities. With the help of its seven key subsidiaries and numerous joint-venture companies, Tata Power generates Most of its revenue through the generation, transmission, distribution, and trading of electricity throughout India. Most of this energy is produced from thermal fuel sources, such as coal, oil, and gas. Additionally, Tata Power engages in the production of energy from hydroelectric and renewable sources, including multiple hydroelectric and wind power projects located throughout Africa. Its segment comprises Generation; Renewables; Transmission and Distribution; and Others.

Tata Power Co (NSE:TATAPOWER) Headlines

No Headlines