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Scientific Learning (Scientific Learning) ROA % : 57.18% (As of Jun. 2017)


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What is Scientific Learning ROA %?

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Scientific Learning's annualized Net Income for the quarter that ended in Jun. 2017 was $3.19 Mil. Scientific Learning's average Total Assets over the quarter that ended in Jun. 2017 was $5.58 Mil. Therefore, Scientific Learning's annualized ROA % for the quarter that ended in Jun. 2017 was 57.18%.

The historical rank and industry rank for Scientific Learning's ROA % or its related term are showing as below:

SCIL's ROA % is not ranked *
in the Education industry.
Industry Median: 2.68
* Ranked among companies with meaningful ROA % only.

Scientific Learning ROA % Historical Data

The historical data trend for Scientific Learning's ROA % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Scientific Learning ROA % Chart

Scientific Learning Annual Data
Trend Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16
ROA %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -55.27 -61.51 22.52 -3.38 -19.69

Scientific Learning Quarterly Data
Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17
ROA % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -19.96 40.79 -31.86 -42.99 57.18

Competitive Comparison of Scientific Learning's ROA %

For the Education & Training Services subindustry, Scientific Learning's ROA %, along with its competitors' market caps and ROA % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Scientific Learning's ROA % Distribution in the Education Industry

For the Education industry and Consumer Defensive sector, Scientific Learning's ROA % distribution charts can be found below:

* The bar in red indicates where Scientific Learning's ROA % falls into.



Scientific Learning ROA % Calculation

Scientific Learning's annualized ROA % for the fiscal year that ended in Dec. 2016 is calculated as:

ROA %=Net Income (A: Dec. 2016 )/( (Total Assets (A: Dec. 2015 )+Total Assets (A: Dec. 2016 ))/ count )
=-1.385/( (6.68+7.39)/ 2 )
=-1.385/7.035
=-19.69 %

Scientific Learning's annualized ROA % for the quarter that ended in Jun. 2017 is calculated as:

ROA %=Net Income (Q: Jun. 2017 )/( (Total Assets (Q: Mar. 2017 )+Total Assets (Q: Jun. 2017 ))/ count )
=3.188/( (5.208+5.942)/ 2 )
=3.188/5.575
=57.18 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In the calculation of annual ROA %, the net income of the last fiscal year and the average total assets over the fiscal year are used. In calculating the quarterly data, the Net Income data used here is four times the quarterly (Jun. 2017) net income data. ROA % is displayed in the 30-year financial page.


Scientific Learning  (OTCPK:SCIL) ROA % Explanation

ROA % measures the rate of return on the total assets (shareholder equity plus liabilities). It measures a firm's efficiency at generating profits from shareholders' equity plus its liabilities. ROA % shows how well a company uses what it has to generate earnings. ROA %s can vary drastically across industries. Therefore, ROA % should not be used to compare companies in different industries. For retailers, a ROA % of higher than 5% is expected. For example, Wal-Mart (WMT) has a ROA % of about 8% as of 2012. For banks, ROA % is close to their interest spread. A bank’s ROA % is typically well under 2%.

Similar to ROE, ROA % is affected by profit margins and asset turnover. This can be seen from the Du Pont Formula:

ROA %(Q: Jun. 2017 )
=Net Income/Total Assets
=3.188/5.575
=(Net Income / Revenue)*(Revenue / Total Assets)
=(3.188 / 16.136)*(16.136 / 5.575)
=Net Margin %*Asset Turnover
=19.76 %*2.8943
=57.18 %

Note: The Net Income data used here is four times the quarterly (Jun. 2017) net income data. The Revenue data used here is four times the quarterly (Jun. 2017) revenue data.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Be Aware

Like ROE, ROA % is calculated with only 12 months data. Fluctuations in the company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective. ROA % can be affected by events such as stock buyback or issuance, and by goodwill, a company's tax rate and its interest payment. ROA % may not reflect the true earning power of the assets. A more accurate measurement is ROC % (ROC).

Many analysts argue the higher return the better. Buffett states that really high ROA % may indicate vulnerability in the durability of the competitive advantage.

E.g. Raising $43b to take on KO is impossible, but $1.7b to take on Moody's is. Although Moody's ROA % and underlying economics is far superior to Coca Cola, the durability is far weaker because of lower entry cost.


Scientific Learning ROA % Related Terms

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Scientific Learning (Scientific Learning) Business Description

Traded in Other Exchanges
N/A
Address
1956 Webster Street, Suite 200, Oakland, CA, USA, 94612-2943
Scientific Learning Corp is an education company. It develops, distributes and licenses technology that accelerates learning by improving the processing efficiency of the brain. The company's patented products build learning capacity by rigorously and systematically applying neuroscience-based learning principles to improve the fundamental cognitive skills required to read and learn. The company offers a variety of on-site and remote professional and technical services, as well as phone, email and web-based support. The company sells primarily to K-12 schools in the United States through a direct sales force. It derives revenues in the form of subscription revenue, license revenue, support and professional services.
Executives
Steven G. Simon 10 percent owner TRIGRAN INVESTMENTS, INC., 630 DUNDEE ROAD, SUITE 230, NORTHBROOK IL 60062
Lawrence A Oberman 10 percent owner TRIGRAN INVESTMENTS, INC., 630 DUNDEE ROAD, SUITE 230, NORTHBROOK IL 60062
Trigran Investments Lp 10 percent owner 630 DUNDEE ROAD, SUITE 230, NORTHBROOK IL 60062
Trigran Investments, Inc. 10 percent owner 630 DUNDEE ROAD, SUITE 230, NORTHBROOK IL 60062
Douglas Granat 10 percent owner TRIGRAN INVESTMENTS, INC., SUITE 230, NORTHBROOK IL 60062
Jane A Freeman officer: Chief Financial Officer ALLSPRING FUNDS MANAGEMENT, LLC, 525 MARKET STREET, 12TH FLOOR, SAN FRANCISCO CA 94105
Osmium Capital Lp 10 percent owner 300 DRAKES LANDING ROAD, SUITE 172, GREENBRAE CA 94904
Osmium Partners, Llc 10 percent owner 300 DRAKES LANDING ROAD, SUITE 172, GREENBRAE CA 94904
Osmium Spartan L P 10 percent owner 300 DRAKES LANDING ROAD, SUITE 172, GREENBRAE CA 94904
John Hartnett Lewis 10 percent owner 388 MARKET STREET, SUITE 920, SAN FRANCISCO CA 94111
Osmium Capital Ii, Lp 10 percent owner 300 DRAKES LANDING ROAD, SUITE 172, GREENBRAE CA 94904
Gayle A Crowell director
Dino A Rossi director 61 WATROO POINT, DANIEL ISLAND SC 29492
Joseph B Martin director C/O BAXTER INTERNATIONAL INC., ONE BAXTER PARKWAY, DEERFIELD IL 60015
Warburg Pincus Ventures Lp 10 percent owner E M WARBURG PINCUS & CO INC 466 LEXINGTON AVE 10TH FL NEW YORK NY 10017-3147

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