Houlihan Lokey (STU:2HL) ROCE % : 17.61% (As of Dec. 2023)

View and export this data going back to 2020. Start your Free Trial

What is Houlihan Lokey 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. Houlihan Lokey's annualized ROCE % for the quarter that ended in Dec. 2023 was 17.61%.

Houlihan Lokey ROCE % Historical Data

The historical data trend for Houlihan Lokey'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.

Houlihan Lokey ROCE % Chart

Houlihan Lokey Annual Data

Trend

Mar15

Mar16

Mar17

Mar18

Mar19

Mar20

Mar21

Mar22

Mar23

Mar24

ROCE %

Get a 7-Day Free Trial

22.01

28.33

38.18

18.38

16.58

Houlihan Lokey 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															18.39	14.05	17.33	17.61	18.13

Houlihan Lokey ROCE % Calculation

Houlihan Lokey'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 )
	=	319.183	/	( ( (2621.223 - 1062.19)	+	(2772.872 - 859.273) )	/ 2 )
	=	319.183	/	( (1559.033	+	1913.599)	/ 2 )
	=	319.183	/	1736.316
	=	18.38 %

Houlihan Lokey'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 )
	=	354.108	/	( ( (2606.315 - 642.002)	+	(2713.319 - 656.958) )	/ 2 )
	=	354.108	/	( ( 1964.313	+	2056.361 )	/ 2 )
	=	354.108	/	2010.337
	=	17.61 %

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

Houlihan Lokey (STU:2HL) 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.

Houlihan Lokey ROCE % Related Terms

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

Houlihan Lokey (STU:2HL) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Financial Services » Capital Markets » Houlihan Lokey Inc (STU:2HL) » Definitions » ROCE %

Comparable Companies

Traded in Other Exchanges

HLI:USA 2HL:Germany

Address

10250 Constellation Boulevard, 5th Floor, Los Angeles, CA, USA, 90067

Website

https://www.hl.com

Houlihan Lokey Inc is an investment bank with expertise in mergers and acquisitions, capital markets, financial restructuring, valuation, and strategic consulting. The firm serves corporations, institutions, and governments worldwide with offices in the United States, Europe, and the Asia-Pacific region. The company operates in three segments. In the Corporate Finance business segment, it provides M&A and capital markets advisory services. Through the Financial Restructuring business segment, the company advises on some of the complex restructurings around the world. Financial and Valuation Advisory Services business segment provides valuation and financial opinion, and financial and strategic consulting practices in the United States.

Houlihan Lokey (STU:2HL) Headlines

No Headlines