Redrow

Redrow ROCE

Delisted

The Return on Capital Employed (ROCE) of Redrow (RDW.L) as of Nov 7, 2026 is 19.69 %. In the previous year, Return on Capital Employed (ROCE) was 12.82 % — a change of 53.61% (higher).

ROCE

19.69 %

YoY

53.61%

Last updated:

In 2023, Redrow's return on capital employed (ROCE) was 19.69 %, a 53.61% increase from the 12.82 % ROCE in the previous year.

The Redrow ROCE history

  • 3 Years

  • 10 Years

  • 25 Years

  • Max

ROCE
Date
ROCE
Jan 1, 2016
25.07 GBP
Jan 1, 2017
26.07 GBP
Jan 1, 2018
25.76 GBP
Jan 1, 2019
25.93 GBP
Jan 1, 2020
9.10 GBP
Jan 1, 2021
17.15 GBP
Jan 1, 2022
12.82 GBP
Jan 1, 2023
19.69 GBP
The Redrow ROCE history
YEARROCEYoY
19.69 %+53.61%
12.82 %-25.23%
17.15 %+88.39%
9.10 %-64.90%
25.93 %+0.67%
25.76 %-1.21%
26.07 %+3.99%
25.07 %-0.06%
25.09 %+26.94%
19.76 %—

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Redrow Stock analysis

What does Redrow do? Redrow PLC is a leading residential developer in the UK, founded in 1974 by current chairman Steve Morgan. Since then, the company has always focused on the highest quality and sustainability. Redrow's business model is clearly focused on the construction and sale of high-quality residential properties. The company serves different segments in its portfolio and follows a customer-oriented concept. One of the company's best-known projects and also its largest client is the development of the Olympic facilities in Stratford, which were transformed into apartments, offices, and shops after the Olympic Games. Redrow's focus is on creating homeownership within the UK. With five divisions, state-of-the-art technology, highest standards, and a clear strategy, the company has achieved growing success in the sector. Redrow offers a range of different property types to meet customer demands. This includes single-family houses, apartments, plots, and specialized properties that cater to specific interest groups. The quality of Redrow's products is one of the company's key features. The company's commitment to quality has won multiple awards, and according to the HBF customer satisfaction survey, Redrow has been consistently recognized as the best estate developer. The company also offers many other innovative solutions to create a sustainable and energy-efficient environment. This includes ecological concepts such as green facades and materials that have a positive impact on the indoor climate. Redrow's business model has expanded into the e-commerce industry, thanks to its popularity on platforms like Amazon and its own online shop. Despite economic crises and fluctuations, Redrow has consistently remained at the top of the industry and has successfully overcome these challenges. As one of the few developers in the country that remains economically stable even during boom phases, Redrow is sure to overcome the challenges of the coming years. Redrow is one of the most popular companies on Eulerpool.

ROCE Details

Unraveling Redrow's Return on Capital Employed (ROCE)

Redrow'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 Redrow'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

Redrow'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 Redrow’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 Redrow stock

Return on Capital Employed (ROCE) of Redrow is 19.69 % in 2023.

Return on Capital Employed (ROCE) of Redrow changed from 12.82 % to 19.69 %, representing a 53.61% change. The value is higher than the previous year.

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

All Key Metrics — Redrow