Arad

Arad ROCE

The Return on Capital Employed (ROCE) of Arad (ARD.TA) as of Oct 21, 2026 is 19.75 %. In the previous year, Return on Capital Employed (ROCE) was 21.85 % — a change of -9.61% (lower).

ROCE

19.75 %

YoY

-9.61%

Last updated:

In 2025, Arad's return on capital employed (ROCE) was 19.75 %, a -9.61% increase from the 21.85 % ROCE in the previous year.

The Arad ROCE history

  • 3 Years

  • 10 Years

  • 25 Years

  • Max

ROCE
Date
ROCE
Jan 1, 2018
21.58 USD
Jan 1, 2019
23.42 USD
Jan 1, 2020
17.09 USD
Jan 1, 2021
18.41 USD
Jan 1, 2022
22.60 USD
Jan 1, 2023
21.10 USD
Jan 1, 2024
21.85 USD
Jan 1, 2025
19.75 USD
The Arad ROCE history
YEARROCEYoY
19.75 %-9.61%
21.85 %+3.56%
21.10 %-6.63%
22.60 %+22.77%
18.41 %+7.69%
17.09 %-27.04%
23.42 %+8.52%
21.58 %+91.08%
11.30 %-45.06%
20.56 %-1.55%
20.88 %-0.79%
21.05 %—

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Arad Stock analysis

What does Arad do? Arad Ltd provides water measurement solutions through its specialized technologies, developing, manufacturing, and marketing water metering and management systems for domestic, waterworks networks, industrial applications, and agricultural sectors. The company's product portfolio includes automated reading systems for touch, walk by, and fixed area network systems, developed and manufactured by Arad Technologies Ltd, a subsidiary within the capital group. Master Meter Inc and Contazara, also part of the capital group, produce electronic water measuring solutions that serve the same markets. The firm's customers span across municipal water utilities, industrial facilities, and agricultural operations requiring precise water usage data. Arad Ltd generates revenue through the sale of water metering systems and related services to municipal water utilities, industrial clients, and agricultural enterprises. The capital group structure allows Arad Ltd to leverage subsidiaries like Arad Technologies Ltd for automated reading systems and Master Meter Inc and Contazara for electronic measuring solutions, expanding its market reach. These products are tailored to meet the needs of waterworks networks, domestic infrastructure, and agricultural applications, ensuring consistent demand from established customer segments. The company's business model relies on the integration of its subsidiaries' capabilities to deliver comprehensive water measurement solutions. Arad Technologies Ltd focuses on automated reading systems for touch, walk by, and fixed area networks, while Master Meter Inc and Contazara specialize in electronic water measuring solutions. This diversified product range caters to the domestic, waterworks, industrial, and agricultural markets, with all segments contributing to the company's revenue through direct sales of hardware and services. Arad is one of the most popular companies on Eulerpool.

ROCE Details

Unraveling Arad's Return on Capital Employed (ROCE)

Arad's Return on Capital Employed (ROCE) is a financial metric that measures the company's profitability and efficiency with respect to the capital employed. It is calculated by dividing earnings before interest and tax (EBIT) by the employed capital. A higher ROCE indicates that the company is effectively utilizing its capital to generate profits.

Year-to-Year Comparison

Analyzing Arad's ROCE annually provides valuable insights into its efficiency in using its capital to generate profits. An increasing ROCE indicates improved profitability and operational efficiency, whereas a decrease might signal potential issues in capital utilization or business operations.

Impact on Investments

Arad's ROCE is a critical factor for investors and analysts for evaluating the company’s efficiency and profitability. A higher ROCE can make the company an attractive investment, as it often signifies that the firm is generating adequate profits from its employed capital.

Interpreting ROCE Fluctuations

Changes in Arad’s ROCE are attributed to variations in EBIT or the capital employed. These fluctuations offer insights into the company’s operational efficiency, financial performance, and strategic financial management, assisting investors in making informed investment decisions.

Frequently Asked Questions about Arad stock

Return on Capital Employed (ROCE) of Arad is 19.75 % in 2025.

Return on Capital Employed (ROCE) of Arad changed from 21.85 % to 19.75 %, representing a -9.61% change. The value is lower than the previous year.

On Eulerpool you can find the complete historical development of Return on Capital Employed (ROCE) Arad since 2006 – with annual values, charts, and detailed analysis.

ROCE is a profitability measure and stands for Return on Capital Employed or the return on invested capital. The measure shows the ratio of operating profit to the interest-bearing capital employed. The higher the return on capital employed, the more profitable a company operates and the higher the important free cash flow. The free cash flow refers to the portion of profits that is not needed for expanding the company at the end of a period, but is available to shareholders.

A 'good' varies by industry and company stage. On Eulerpool, you can compare Return on Capital Employed (ROCE)'s Arad with sector peers and the industry average to assess whether it is attractive.

To evaluate Return on Capital Employed (ROCE)'s, it is essential to compare it with peers in the same industry and sector. On Eulerpool, you can find direct industry comparisons for Return on Capital Employed (ROCE).

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Profitability — Arad

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