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Eltek ASA (OSL:ELT) Return-on-Tangible-Asset : -5.66% (As of Dec. 2014)


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What is Eltek ASA Return-on-Tangible-Asset?

Return-on-Tangible-Asset is calculated as Net Income divided by its average total tangible assets. Total tangible assets equals to Total Assets minus Intangible Assets. Eltek ASA's annualized Net Income for the quarter that ended in Dec. 2014 was kr-154 Mil. Eltek ASA's average total tangible assets for the quarter that ended in Dec. 2014 was kr2,727 Mil. Therefore, Eltek ASA's annualized Return-on-Tangible-Asset for the quarter that ended in Dec. 2014 was -5.66%.

The historical rank and industry rank for Eltek ASA's Return-on-Tangible-Asset or its related term are showing as below:

OSL:ELT's Return-on-Tangible-Asset is not ranked *
in the Industrial Products industry.
Industry Median: 3.76
* Ranked among companies with meaningful Return-on-Tangible-Asset only.

Eltek ASA Return-on-Tangible-Asset Historical Data

The historical data trend for Eltek ASA's Return-on-Tangible-Asset 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.

Eltek ASA Return-on-Tangible-Asset Chart

Eltek ASA Annual Data
Trend Dec05 Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14
Return-on-Tangible-Asset
Get a 7-Day Free Trial Premium Member Only Premium Member Only -6.61 2.98 12.01 1.85 0.87

Eltek ASA Quarterly Data
Mar10 Jun10 Sep10 Dec10 Mar11 Jun11 Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14
Return-on-Tangible-Asset 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 -8.47 -1.65 9.56 4.58 -5.66

Competitive Comparison of Eltek ASA's Return-on-Tangible-Asset

For the Specialty Industrial Machinery subindustry, Eltek ASA's Return-on-Tangible-Asset, along with its competitors' market caps and Return-on-Tangible-Asset 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.


Eltek ASA's Return-on-Tangible-Asset Distribution in the Industrial Products Industry

For the Industrial Products industry and Industrials sector, Eltek ASA's Return-on-Tangible-Asset distribution charts can be found below:

* The bar in red indicates where Eltek ASA's Return-on-Tangible-Asset falls into.



Eltek ASA Return-on-Tangible-Asset Calculation

Eltek ASA's annualized Return-on-Tangible-Asset for the fiscal year that ended in Dec. 2014 is calculated as:

Return-on-Tangible-Asset=Net Income/( (Total Tangible Assets+Total Tangible Assets)/ count )
(A: Dec. 2014 )  (A: Dec. 2013 )(A: Dec. 2014 )
=Net Income/( (Total Assets - Intangible Assets+Total Assets - Intangible Assets)/ count )
(A: Dec. 2014 )  (A: Dec. 2013 )(A: Dec. 2014 )
=24.4/( (2698.9+2879.1)/ 2 )
=24.4/2789
=0.87 %

Eltek ASA's annualized Return-on-Tangible-Asset for the quarter that ended in Dec. 2014 is calculated as:

Return-on-Tangible-Asset=Net Income/( (Total Tangible Assets+Total Tangible Assets)/ count )
(Q: Dec. 2014 )  (Q: Sep. 2014 )(Q: Dec. 2014 )
=Net Income/( (Total Assets - Intangible Assets+Total Assets - Intangible Assets)/ count )
(Q: Dec. 2014 )  (Q: Sep. 2014 )(Q: Dec. 2014 )
=-154.4/( (2575.2+2879.1)/ 2 )
=-154.4/2727.15
=-5.66 %

* 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 Return-on-Tangible-Asset, the net income of the last fiscal year and the average total tangible assets over the fiscal year are used. In calculating the quarterly data, the Net Income data used here is four times the quarterly (Dec. 2014) net income data.


Eltek ASA  (OSL:ELT) Return-on-Tangible-Asset Explanation

Return-on-Tangible-Asset measures the rate of return on the average total tangible assets (total assets minus intangible assets). Tangible means physical in nature. Intangible Assets are assets that are not physical in nature, and typically "derive their value from legal or intellectual rights." Return-on-Tangible-Asset measures a firm's efficiency at generating profits from its tangible assets. It shows how well a company uses what it has to generate earnings. Return-on-Tangible-Assets can vary drastically across industries. Therefore, Return-on-Tangible-Asset should not be used to compare companies in different industries.


Be Aware

Like ROE and ROA, Return-on-Tangible-Asset 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. Return-on-Tangible-Asset can be affected by events such as stock buyback or issuance, and by a company’s tax rate and its interest payment. Return-on-Tangible-Asset 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 Return-on-Tangible-Asset may indicate vulnerability in the durability of the competitive advantage.


Eltek ASA Return-on-Tangible-Asset Related Terms

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Eltek ASA (OSL:ELT) Business Description

Traded in Other Exchanges
N/A
Address
Eltek Power Systems AS was incorporated on January 1, 1971. The Company is a supplier to the telecommunication industry. The Company develops, manufactures & markets power systems & solutions for mission critical applications within telecommunications & data centers, and for the power utilities, railway & metro, & marine & offshore industries.

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