Name: Return on Capital Employed (ROCE)

Definition: ROCE looks at how effectively the company uses all long-term capital — both debt and equity — to generate profits. It’s a good way to compare companies with different financing structures. Higher ROCE means the company makes good returns on every dollar invested in its business operations.

Interpretation:
• In '2021', O's return on capital employed was 2.3%, indicating returns achieved on invested capital. Industry average for Real Estate Investment Trusts in '2021' stood at 4.2%.
• In '2022', O's return on capital employed was 2.8%, indicating returns achieved on invested capital. The increase since '2021' reflects strengthening financial performance. Industry average for Real Estate Investment Trusts in '2022' stood at 4.4%. Industry average increased by 0.2% compared to previous year.
• In '2023', O's return on capital employed was 3.1%, indicating returns achieved on invested capital. The increase since '2022' reflects strengthening financial performance. Industry average for Real Estate Investment Trusts in '2023' stood at 3.6%. Industry average declined by 0.9% from previous year.
• In '2024', O's return on capital employed was 2.9%, indicating returns achieved on invested capital. The decline from '2023' may indicate some operational or financial challenges. Industry average for Real Estate Investment Trusts in '2024' stood at 3.6%. Industry average increased by 0.0% compared to previous year.
Overall, O's return on capital employed has been volatile but generally stable over the past 4 years.

Formula: ROCE = EBIT / (Total Assets - Current Liabilities)

Good Range: Often 8%-20%.