Learn about Capital Expenditure ( Capex )—long-term investments in assets, infrastructure, and technology that drive business growth. Explore types, examples, funding methods, Capex vs. Opex, and key financial metrics like Capex ratio, ROCE, and FCF. Understand its impact on profitability, efficiency, and industry applications for smarter financial decisions. Capital Expenditure ( CAPEX full form) is the expenditure made by a firm to improve its long-term assets or to purchase new equipment. It serves as a potent financial metric and helps financial analysts understand a company’s investment patterns. The Union Budget defines capital expenditure (CapEx) as the funds allocated and utilised by the government to develop assets that contribute to a country's economic growth. This includes investments in infrastructure, machinery, healthcare, education, and other essential sectors. Capital expenditures ( CapEx ) are funds companies use to acquire, upgrade, or maintain physical assets like buildings, technology, or equipment, with the goal of increasing operational scope or...
