ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. PT Indofood Sukses Makmur Tbk's annualizedNet Income for the quarter that ended in Mar. 2024 was €583 Mil.
PT Indofood Sukses Makmur Tbk's average Total Assets over the quarter that ended in Mar. 2024 was €11,448 Mil. Therefore, PT Indofood Sukses Makmur Tbk's annualized ROA % for the quarter that ended in Mar. 2024 was 5.09%.
The historical rank and industry rank for PT Indofood Sukses Makmur Tbk's ROA % or its related term are showing as below:
STU:ISM'
s ROA % Range Over the Past 10 Years
Min: 3.34 Med: 4.63 Max: 5.09
Current: 3.57
During the past 13 years, PT Indofood Sukses Makmur Tbk's highest ROA % was 5.09%. The lowest was 3.34%. And the median was 4.63%.
STU:ISM's ROA % is ranked better than 54.6% of 1901
companies
in the Consumer Packaged Goods industry
Industry Median: 2.96
vs STU:ISM: 3.57
PT Indofood Sukses Makmur Tbk ROA % Historical 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.
Competitive Comparison of PT Indofood Sukses Makmur Tbk's ROA %
For the Packaged Foods subindustry, PT Indofood Sukses Makmur Tbk'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.
PT Indofood Sukses Makmur Tbk's ROA % Distribution in the Consumer Packaged Goods Industry
For the Consumer Packaged Goods industry and Consumer Defensive sector, PT Indofood Sukses Makmur Tbk's ROA % distribution charts can be found below:
* The bar in red indicates where PT Indofood Sukses Makmur Tbk's ROA % falls into.
* 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 (Mar. 2024) net income data.
ROA % is displayed in the 30-year financial page.
PT Indofood Sukses Makmur Tbk (STU:ISM) 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 banks 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:
Note:
The Net Income data used here is four times the quarterly (Mar. 2024) net income data. The Revenue data used here is four times the quarterly (Mar. 2024) 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.
PT Indofood Sukses Makmur Tbk ROA % Related Terms
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PT Indofood Sukses Makmur Tbk (STU:ISM) Business Description
PT Indofood Sukses Makmur Tbk is an Indonesian packaged food company. Its portfolio is diversified with operations in both raw materials and processed food. The company divides its operations into: Consumer branded products business Group, Bogasari Business Group, Agribusiness Group and Distribution Business Group. The consumer branded products segment produces a varied range of consumer-branded products such as noodles, dairy, snack foods, special foods, food seasonings, and beverages. Bogasari produces, packages, and ships wheat flour and pasta. The agribusiness operations are research, development, production, and marketing of branded cooking oils, margarine and shortening, processes rubber, sugar cane, and other crops. The Distribution segment distributes consumer products.
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