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Xinyuan Real Estate Co (Xinyuan Real Estate Co) ROA %

: -1.38% (As of Jun. 2023)
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ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Xinyuan Real Estate Co's annualized Net Income for the quarter that ended in Jun. 2023 was $-77.3 Mil. Xinyuan Real Estate Co's average Total Assets over the quarter that ended in Jun. 2023 was $5,613.8 Mil. Therefore, Xinyuan Real Estate Co's annualized ROA % for the quarter that ended in Jun. 2023 was -1.38%.

The historical rank and industry rank for Xinyuan Real Estate Co's ROA % or its related term are showing as below:

XIN' s ROA % Range Over the Past 10 Years
Min: -5.91   Med: 1.11   Max: 6.4
Current: -2.01

During the past 13 years, Xinyuan Real Estate Co's highest ROA % was 6.40%. The lowest was -5.91%. And the median was 1.11%.

XIN's ROA % is ranked worse than
75.01% of 1833 companies
in the Real Estate industry
Industry Median: 1.16 vs XIN: -2.01

Xinyuan Real Estate Co ROA % Historical Data

The historical data trend for Xinyuan Real Estate Co'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.

Xinyuan Real Estate Co Annual Data
Trend Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22
ROA %
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 1.01 0.88 -1.07 -5.91 -4.28

Xinyuan Real Estate Co Semi-Annual Data
Dec13 Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23
ROA % 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 Premium Member Only Premium Member Only Premium Member Only -1.66 -9.73 -5.76 -2.59 -1.38

Competitive Comparison

For the Real Estate - Development subindustry, Xinyuan Real Estate Co'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.


Xinyuan Real Estate Co ROA % Distribution

For the Real Estate industry and Real Estate sector, Xinyuan Real Estate Co's ROA % distribution charts can be found below:

* The bar in red indicates where Xinyuan Real Estate Co's ROA % falls into.



Xinyuan Real Estate Co ROA % Calculation

Xinyuan Real Estate Co's annualized ROA % for the fiscal year that ended in Dec. 2022 is calculated as:

ROA %=Net Income (A: Dec. 2022 )/( (Total Assets (A: Dec. 2021 )+Total Assets (A: Dec. 2022 ))/ count )
=-263.354/( (6446.279+5850.278)/ 2 )
=-263.354/6148.2785
=-4.28 %

Xinyuan Real Estate Co's annualized ROA % for the quarter that ended in Jun. 2023 is calculated as:

ROA %=Net Income (Q: Jun. 2023 )/( (Total Assets (Q: Dec. 2022 )+Total Assets (Q: Jun. 2023 ))/ count )
=-77.27/( (5850.278+5377.401)/ 2 )
=-77.27/5613.8395
=-1.38 %

* 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 two times the semi-annual (Jun. 2023) net income data. ROA % is displayed in the 30-year financial page.


Xinyuan Real Estate Co  (NYSE:XIN) 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. 2023 )
=Net Income/Total Assets
=-77.27/5613.8395
=(Net Income / Revenue)*(Revenue / Total Assets)
=(-77.27 / 776.482)*(776.482 / 5613.8395)
=Net Margin %*Asset Turnover
=-9.95 %*0.1383
=-1.38 %

Note: The Net Income data used here is two times the semi-annual (Jun. 2023) net income data. The Revenue data used here is two times the semi-annual (Jun. 2023) 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.


Xinyuan Real Estate Co ROA % Related Terms

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Xinyuan Real Estate Co (Xinyuan Real Estate Co) Business Description

Traded in Other Exchanges
Address
79 Jianguo Road, 27th Floor, China Central Place, Tower II, Chaoyang District, Beijing, CHN, 100025
Xinyuan Real Estate Co Ltd operates as a real estate developer and property manager in China. It develops and manages large-scale, high-quality real estate projects in over ten tier one and tier two cities, including Beijing, Shanghai, Zhengzhou, Suzhou, among others. It aims to provide comfortable and convenient real estate-related products and services to middle-class consumers. Xinyuan's product portfolio consists of multiple-rise buildings, sub-high-rise buildings, and high-rise buildings, together with auxiliary services and amenities such as retail outlets, leisure and health facilities, kindergartens and schools. In addition, the company provides property management services for its projects and other real estate-related services to its customers.