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Nutrition Management Services Co (Nutrition Management Services Co) ROA % : -0.83% (As of Sep. 2009)


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What is Nutrition Management Services Co ROA %?

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Nutrition Management Services Co's annualized Net Income for the quarter that ended in Sep. 2009 was $-0.10 Mil. Nutrition Management Services Co's average Total Assets over the quarter that ended in Sep. 2009 was $12.60 Mil. Therefore, Nutrition Management Services Co's annualized ROA % for the quarter that ended in Sep. 2009 was -0.83%.

The historical rank and industry rank for Nutrition Management Services Co's ROA % or its related term are showing as below:

NMSCA's ROA % is not ranked *
in the Healthcare Providers & Services industry.
Industry Median: 1.255
* Ranked among companies with meaningful ROA % only.

Nutrition Management Services Co ROA % Historical Data

The historical data trend for Nutrition Management Services 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.

Nutrition Management Services Co ROA % Chart

Nutrition Management Services Co Annual Data
Trend Jun00 Jun01 Jun02 Jun03 Jun04 Jun05 Jun06 Jun07 Jun08 Jun09
ROA %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 5.09 -5.44 -5.66 -3.26 0.68

Nutrition Management Services Co Quarterly Data
Dec04 Mar05 Jun05 Sep05 Dec05 Mar06 Jun06 Sep06 Dec06 Mar07 Jun07 Sep07 Dec07 Mar08 Jun08 Sep08 Dec08 Mar09 Jun09 Sep09
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 -2.30 1.47 0.60 3.01 -0.83

Competitive Comparison of Nutrition Management Services Co's ROA %

For the Medical Care Facilities subindustry, Nutrition Management Services 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.


Nutrition Management Services Co's ROA % Distribution in the Healthcare Providers & Services Industry

For the Healthcare Providers & Services industry and Healthcare sector, Nutrition Management Services Co's ROA % distribution charts can be found below:

* The bar in red indicates where Nutrition Management Services Co's ROA % falls into.



Nutrition Management Services Co ROA % Calculation

Nutrition Management Services Co's annualized ROA % for the fiscal year that ended in Jun. 2009 is calculated as:

ROA %=Net Income (A: Jun. 2009 )/( (Total Assets (A: Jun. 2008 )+Total Assets (A: Jun. 2009 ))/ count )
=0.085/( (12.718+12.251)/ 2 )
=0.085/12.4845
=0.68 %

Nutrition Management Services Co's annualized ROA % for the quarter that ended in Sep. 2009 is calculated as:

ROA %=Net Income (Q: Sep. 2009 )/( (Total Assets (Q: Jun. 2009 )+Total Assets (Q: Sep. 2009 ))/ count )
=-0.104/( (12.251+12.955)/ 2 )
=-0.104/12.603
=-0.83 %

* 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 (Sep. 2009) net income data. ROA % is displayed in the 30-year financial page.


Nutrition Management Services Co  (OTCPK:NMSCA) 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: Sep. 2009 )
=Net Income/Total Assets
=-0.104/12.603
=(Net Income / Revenue)*(Revenue / Total Assets)
=(-0.104 / 19.42)*(19.42 / 12.603)
=Net Margin %*Asset Turnover
=-0.54 %*1.5409
=-0.83 %

Note: The Net Income data used here is four times the quarterly (Sep. 2009) net income data. The Revenue data used here is four times the quarterly (Sep. 2009) 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.


Nutrition Management Services Co ROA % Related Terms

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Nutrition Management Services Co (Nutrition Management Services Co) Business Description

Traded in Other Exchanges
N/A
Address
2071 Kimberton Road, Kimberton, PA, USA, 19442
Nutrition Management Services Co is a provider of food and facilities management services to the healthcare and retirement community industry such as Nursing Care Centers, Senior Living Communities, Acute Care Hospitals and Rehabilitation Centers and Private Education Sector.

Nutrition Management Services Co (Nutrition Management Services Co) Headlines

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