Howa Machinery

Howa Machinery ROCE

The Return on Capital Employed (ROCE) of Howa Machinery (6203.T) as of Oct 17, 2026 is 5.65 %. In the previous year, Return on Capital Employed (ROCE) was 6.69 % — a change of -15.56% (lower).

ROCE

5.65 %

YoY

-15.56%

Last updated:

In 2026, Howa Machinery's return on capital employed (ROCE) was 5.65 %, a -15.56% increase from the 6.69 % ROCE in the previous year.

The Howa Machinery ROCE history

  • 3 Years

  • 10 Years

  • 25 Years

  • Max

ROCE
Date
ROCE
Jan 1, 2019
6.79 JPY
Jan 1, 2020
5.18 JPY
Jan 1, 2021
3.51 JPY
Jan 1, 2022
5.85 JPY
Jan 1, 2023
2.66 JPY
Jan 1, 2024
2.24 JPY
Jan 1, 2025
6.69 JPY
Jan 1, 2026
5.65 JPY
The Howa Machinery ROCE history
YEARROCEYoY
5.65 %-15.56%
6.69 %+198.98%
2.24 %-15.74%
2.66 %-54.59%
5.85 %+66.83%
3.51 %-32.26%
5.18 %-23.81%
6.79 %+261.47%
1.88 %-163.58%
-2.96 %-1,585.84%
0.20 %-87.42%
1.58 %-76.04%
6.60 %—

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Howa Machinery Stock analysis

What does Howa Machinery do? Howa Machinery Ltd, listed on the Tokyo Stock Exchange under ticker 6203.T with ISIN JP3840600005, is a Japanese company headquartered in Kiyosu-shi, Aichi Prefecture. The company operates within the Industrials sector, specifically in the Machinery industry. It employs 797 full-time staff and has been publicly traded since its IPO on May 16, 1949. Howa Machinery Ltd manufactures and sells machine tools, electronic machines, sweepers, road rollers, windows, doors, and firearms. The company's operations are structured across multiple business segments, including machine tools, firearms, domestic sales, building materials, specially equipped vehicles, and real estate rental. The machine tool segment focuses on machining centers, special-purpose machines, and pneumatic hydraulic equipment. The firearms segment produces rifles, mortars, and hunting rifles. The building materials segment manufactures aluminum sash doors, steel sash doors, and waterproof boards. The specially equipped vehicle segment develops road cleaning vehicles, industrial cleaning machines, and automatic floor cleaning machines. The domestic sales subsidiary segment handles the sale of steel and other products. The real estate rental segment leases land and buildings. The company's website is www.howa.co.jp. Howa Machinery Ltd maintains a presence in Japan, with its headquarters and primary operations based in Kiyosu-shi. The company's product portfolio spans industrial machinery, construction materials, and specialized equipment, reflecting its diversified manufacturing capabilities. Its historical IPO date and current employee count are key indicators of its operational scale and longevity in the Japanese industrial market. Howa Machinery is one of the most popular companies on Eulerpool.

ROCE Details

Unraveling Howa Machinery's Return on Capital Employed (ROCE)

Howa Machinery'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 Howa Machinery'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

Howa Machinery'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 Howa Machinery’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 Howa Machinery stock

Return on Capital Employed (ROCE) of Howa Machinery is 5.65 % in 2026.

Return on Capital Employed (ROCE) of Howa Machinery changed from 6.69 % to 5.65 %, representing a -15.56% change. The value is lower than the previous year.

On Eulerpool you can find the complete historical development of Return on Capital Employed (ROCE) Howa Machinery 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 Howa Machinery 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 — Howa Machinery

All Key Metrics — Howa Machinery