The Directors' Brief

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The Directors' Brief
The Directors' Brief
ROC vs ROIC: What’s the Difference
CPD Business Concepts

ROC vs ROIC: What’s the Difference

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Richard Winfield
Jun 03, 2025
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The Directors' Brief
The Directors' Brief
ROC vs ROIC: What’s the Difference
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To the untrained eye, Return on Capital (ROC) and Return on Invested Capital (ROIC) might look like financial twins. But for boards, investors, and strategy leaders, the distinction is key to understanding how capital is actually performing.

Let’s break it down 👇

ROC (Return on Capital)

Measures how much profit a company generates from the capital it uses…

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