In a world where capital is no longer cheap, Return on Capital (ROC) has become one of the most telling indicators of business performance.
So, what is it?
ROC measures how effectively a company turns its invested capital into profits.
In simple terms:
“For every pound (or dollar) we put into the business, how much value are we generating back?”
The formula:
Keep reading with a 7-day free trial
Subscribe to The Directors' Brief to keep reading this post and get 7 days of free access to the full post archives.