**Id:**`return_on_cap`

**Type:**`fundamentals`

**Subtype:**`ratios`

**Units:**`percentage`

**Decimal Points:**`2`

**Currency Convertible:**`No`

**Tags:**`“return on capital”, “ROC”, “return on total capital”, “capital profitability”, “capital efficiency”`

A percentage that shows how much profit an investment makes for the people who provide the capital. It reflects how well a company uses its capital to generate earnings.
The formula for Return on Capital is:
Where:
- TTM Net Income (TM002, ttm_net_inc) is the operating income minus taxes for the trailing twelve months.
- TTM Minority Interest is TM003, ttm_minority_int
- TTM Interest Expense is TM004, ttm_int_exp
- TTM Effective Tax Rate is TM005, ttm_eff_tax_rt
- Total Capital is BS075, bs_tot_cap

`Return on Capital = ((TTM Net Income + TTM Minority Interest + TTM Interest Expense * (1 - (TTM Effective Tax Rate / 100))) / Average of Total Capital) * 100`