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Wesco Aircraft Holdings (Wesco Aircraft Holdings) ROE % : -6.14% (As of Sep. 2019)


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What is Wesco Aircraft Holdings ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Wesco Aircraft Holdings's annualized net income for the quarter that ended in Sep. 2019 was $-44 Mil. Wesco Aircraft Holdings's average Total Stockholders Equity over the quarter that ended in Sep. 2019 was $720 Mil. Therefore, Wesco Aircraft Holdings's annualized ROE % for the quarter that ended in Sep. 2019 was -6.14%.

The historical rank and industry rank for Wesco Aircraft Holdings's ROE % or its related term are showing as below:

WAIR's ROE % is not ranked *
in the Industrial Distribution industry.
Industry Median: 10.38
* Ranked among companies with meaningful ROE % only.

Wesco Aircraft Holdings ROE % Historical Data

The historical data trend for Wesco Aircraft Holdings's ROE % 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.

Wesco Aircraft Holdings ROE % Chart

Wesco Aircraft Holdings Annual Data
Trend Sep10 Sep11 Sep12 Sep13 Sep14 Sep15 Sep16 Sep17 Sep18 Sep19
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -17.10 10.75 -30.97 4.87 3.04

Wesco Aircraft Holdings Quarterly Data
Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19
ROE % 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 4.23 3.62 6.82 7.86 -6.14

Competitive Comparison of Wesco Aircraft Holdings's ROE %

For the Industrial Distribution subindustry, Wesco Aircraft Holdings's ROE %, along with its competitors' market caps and ROE % 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.


Wesco Aircraft Holdings's ROE % Distribution in the Industrial Distribution Industry

For the Industrial Distribution industry and Industrials sector, Wesco Aircraft Holdings's ROE % distribution charts can be found below:

* The bar in red indicates where Wesco Aircraft Holdings's ROE % falls into.



Wesco Aircraft Holdings ROE % Calculation

Wesco Aircraft Holdings's annualized ROE % for the fiscal year that ended in Sep. 2019 is calculated as

ROE %=Net Income (A: Sep. 2019 )/( (Total Stockholders Equity (A: Sep. 2018 )+Total Stockholders Equity (A: Sep. 2019 ))/ count )
=21.369/( (692.469+713.34)/ 2 )
=21.369/702.9045
=3.04 %

Wesco Aircraft Holdings's annualized ROE % for the quarter that ended in Sep. 2019 is calculated as

ROE %=Net Income (Q: Sep. 2019 )/( (Total Stockholders Equity (Q: Jun. 2019 )+Total Stockholders Equity (Q: Sep. 2019 ))/ count )
=-44.192/( (726.092+713.34)/ 2 )
=-44.192/719.716
=-6.14 %

* 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 ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data, the net income data used here is four times the quarterly (Sep. 2019) net income data. ROE % is displayed in the 30-year financial page.


Wesco Aircraft Holdings  (NYSE:WAIR) ROE % Explanation

ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.

The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:

ROE %(Q: Sep. 2019 )
=Net Income/Total Stockholders Equity
=-44.192/719.716
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(-44.192 / 1729.164)*(1729.164 / 1815.4905)*(1815.4905 / 719.716)
=Net Margin %*Asset Turnover*Equity Multiplier
=-2.56 %*0.9525*2.5225
=ROA %*Equity Multiplier
=-2.44 %*2.5225
=-6.14 %

With this breakdown, it is clear that if a company grows its Net Profit Margin, its Asset Turnover, or its Leverage, it can grow its ROE %.

The factors that affect a company's ROE % can also be illustrated with the five-step DuPont Analysis:

ROE %(Q: Sep. 2019 )
=Net Income/Total Stockholders Equity
=-44.192/719.716
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (-44.192 / -33.624) * (-33.624 / 16.368) * (16.368 / 1729.164) * (1729.164 / 1815.4905) * (1815.4905 / 719.716)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 1.3143 * -2.0543 * 0.95 % * 0.9525 * 2.5225
=-6.14 %

Note: The net income data used here is four times the quarterly (Sep. 2019) net income data. The Revenue data used here is four times the quarterly (Sep. 2019) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.

* 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

Net Income is used.

Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.


Wesco Aircraft Holdings ROE % Related Terms

Thank you for viewing the detailed overview of Wesco Aircraft Holdings's ROE % provided by GuruFocus.com. Please click on the following links to see related term pages.


Wesco Aircraft Holdings (Wesco Aircraft Holdings) Business Description

Traded in Other Exchanges
N/A
Address
24911 Avenue Stanford, Valencia, CA, USA, 91355
Wesco Aircraft Holdings Inc is a distributor of supply-management services to the aerospace industry. The services include: distribution, management of supplier relationships, quality assurance, kitting, just-in-time delivery, and point-of-use inventory management. The company serves commercial aerospace, energy, general aviation, pharmaceuticals, airlines, and maintenance and repair companies, and the defense sector. The majority of its revenue stream is based on long-term contracts. The largest customer by revenue can be categorised as original equipment manufacturers and contractors. Geographically, North America makes up the lion's share of Wesco Aircraft's generated sales.
Executives
Tc Group, Llc 10 percent owner C/O CARLYLE GROUP, 1001 PENNSYLVANIA AVENUE NW SUITE 220 S, WASHINGTON DC 20004
Jennifer Pollino director C/O GOODRICH CORPORATION, 2730 W. TYVOLA ROAD, CHARLOTTE NC 28217
Jay L Haberland director 260 BACK SHORE RD., ROUND POND ME 04564
Carlyle Holdings I L.p. 10 percent owner C/O THE CARLYLE GROUP L.P., 1001 PENNSYLVANIA AVENUE, NW, WASHINGTON DC 20004-2505
Carlyle Holdings I Gp Sub L.l.c. 10 percent owner C/O THE CARLYLE GROUP L.P., 1001 PENNSYLVANIA AVENUE, NW, WASHINGTON DC 20004-2505
Carlyle Holdings I Gp Inc. 10 percent owner C/O THE CARLYLE GROUP L.P., 1001 PENNSYLVANIA AVENUE, NW, WASHINGTON DC 20004-2505
Cg Subsidiary Holdings L.l.c. 10 percent owner C/O THE CARLYLE GROUP, SUITE 220 SOUTH, 1001 PENNSYLVANIA AVENUE, N.W., WASHINGTON DC 20004
Scott Ernest Kuechle director C/O GOODRICH CORPORATION, 2730 WEST TYVOLA ROAD, CHARLOTTE NC 28217
Paul E Fulchino director
Kerry A Shiba officer: Executive Vice President & CFO 5847 SAN FELIPE SUITE 2500, HOUSTON TX 77057
Robert D Paulson director AEROSTAR CAPITAL LLC, 590 SANDHILL CRANE RD., #1270, WILSON WY 83014-1270
Carlyle Group Management L.l.c. 10 percent owner C/O THE CARLYLE GROUP L.P., 1001 PENNSYLVANIA AVENUE, NW, WASHINGTON DC 20004-2505
Carlyle Group Inc. 10 percent owner C/O THE CARLYLE GROUP, 1001 PENNSYLVANIA AVENUE, N.W., WASHINGTON DC 20004
Tc Group Iv Managing Gp, L.l.c. 10 percent owner 1001 PENNSYLVANIA AVENUE, N.W., SUITE 200 SOUTH, ATTN: DONNA ARRINGTON, WASHINGTON DC 20004
Platinum Equity Investment Holdings, Llc 10 percent owner C/O PLATINUM EQUITY, 360 NORTH CRESCENT DRIVE, BEVERLY HILLS CA 90210