Balfour Beatty PLC
LSE:BBY

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Balfour Beatty PLC
LSE:BBY
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Price: 826.5 GBX -0.6%
Market Cap: £4B

ROCE

5.8%
Current
Declining
by 0.1%
vs 3-y average of 5.9%

Return on Capital Employed (ROCE) measures how efficiently a company uses its capital to generate profit. It shows how much net income is earned for each dollar of capital employed.

ROCE
5.8%
=
EBIT
£153m
/
Avg Capital Employed
£2.6B

Return on Capital Employed (ROCE) measures how efficiently a company uses its capital to generate profit. It shows how much net income is earned for each dollar of capital employed.

ROCE
5.8%
=
EBIT
GBX153m
/
Avg Capital Employed
£2.6B

Peer Comparison

Country Company Market Cap ROCE
UK
Balfour Beatty PLC
LSE:BBY
4.1B GBP
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JP
Sumitomo Densetsu Co Ltd
TSE:1949
35.2T JPY
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US
Quanta Services Inc
NYSE:PWR
90.6B USD
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FR
Vinci SA
PAR:DG
74.3B EUR
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IN
Larsen & Toubro Ltd
NSE:LT
5.6T INR
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US
Comfort Systems USA Inc
NYSE:FIX
58.9B USD
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IN
Larsen and Toubro Ltd
F:LTO
48.1B EUR
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NL
Ferrovial SE
AEX:FER
43.3B EUR
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ES
Ferrovial SA
MAD:FER
43.3B EUR
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DE
Hochtief AG
XETRA:HOT
34B EUR
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US
EMCOR Group Inc
NYSE:EME
37.3B USD
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Market Distribution

Higher than 95% of companies in United Kingdom
Percentile
95th
Based on 3 968 companies
95th percentile
5.8%
Low
-467.8% — 0%
Typical Range
0% — 0.1%
High
0.1% — 10 009.8%
Distribution Statistics
United Kingdom
Min -467.8%
30th Percentile 0%
Median 0.1%
70th Percentile 0.1%
Max 10 009.8%

Balfour Beatty PLC
Glance View

Market Cap
4B GBX
Industry
Construction

In the bustling world of global infrastructure, Balfour Beatty PLC stands as a formidable force, weaving its influence across continents with projects that shape the very fabric of cities and communities. Founded in 1909, this UK-based firm has evolved into an international leader in construction, engineering, and infrastructure management. At the heart of its operations lies a comprehensive approach to delivering large-scale projects, from designing and building to financing and operating critical infrastructure. With a diversified portfolio that spans transportation, utilities, and social infrastructure, Balfour Beatty capitalizes on its ability to manage the entire lifecycle of a project. This holistic approach not only ensures seamless execution but also enables the firm to maximize value through integrated solutions. Balfour Beatty's revenue streams are as diverse as the projects it undertakes. The construction services segment, which encompasses design, engineering, and construction management, generates substantial income by erecting complex structures such as bridges, highways, and airports. Simultaneously, its investments arm works to finance and develop new projects, allowing the company to leverage public-private partnerships to build and maintain essential infrastructure. Operations and maintenance, another key pillar of its business model, provide a steady flow of income as long-term contracts ensure ongoing asset management and facility upkeep. By aligning its capabilities with market needs, Balfour Beatty not only builds infrastructure but also crafts enduring relationships, underpinning its role as a cornerstone in the global construction landscape.

BBY Intrinsic Value
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What is Return on Capital Employed?
Return on Capital Employed (ROCE) measures how efficiently a company uses its capital to generate profit. It shows how much net income is earned for each dollar of capital employed.
How is ROCE calculated?

ROCE is calculated by dividing the EBIT by the Avg Capital Employed.

ROCE
5.8%
=
EBIT
£153m
/
Avg Capital Employed
£2.6B
What is Balfour Beatty PLC's current ROCE?

The current ROCE for Balfour Beatty PLC is 5.8%, which is below its 3-year median of 5.9%.

How has ROCE changed over time?

Over the last 3 years, Balfour Beatty PLC’s ROCE has decreased from 6.9% to 5.8%. During this period, it reached a low of 5.5% on Dec 31, 2024 and a high of 7.1% on Jun 30, 2023.

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