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BioPharma Credit (LSE:BPCR) ROE % : 16.78% (As of Dec. 2022)


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What is BioPharma Credit ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. BioPharma Credit's annualized net income for the quarter that ended in Dec. 2022 was $228.3 Mil. BioPharma Credit's average Total Stockholders Equity over the quarter that ended in Dec. 2022 was $1,360.6 Mil. Therefore, BioPharma Credit's annualized ROE % for the quarter that ended in Dec. 2022 was 16.78%.

The historical rank and industry rank for BioPharma Credit's ROE % or its related term are showing as below:

LSE:BPCR' s ROE % Range Over the Past 10 Years
Min: 6.09   Med: 7.26   Max: 13.61
Current: 13.61

During the past 7 years, BioPharma Credit's highest ROE % was 13.61%. The lowest was 6.09%. And the median was 7.26%.

LSE:BPCR's ROE % is ranked better than
79.89% of 1701 companies
in the Asset Management industry
Industry Median: 4.5 vs LSE:BPCR: 13.61

BioPharma Credit ROE % Historical Data

The historical data trend for BioPharma Credit'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.

BioPharma Credit ROE % Chart

BioPharma Credit Annual Data
Trend Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
ROE %
Get a 7-Day Free Trial 8.79 6.41 6.20 13.50 8.10

BioPharma Credit Semi-Annual Data
Jun17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Dec23
ROE % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only 6.44 5.95 9.92 16.78 -

Competitive Comparison of BioPharma Credit's ROE %

For the Asset Management subindustry, BioPharma Credit'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.


BioPharma Credit's ROE % Distribution in the Asset Management Industry

For the Asset Management industry and Financial Services sector, BioPharma Credit's ROE % distribution charts can be found below:

* The bar in red indicates where BioPharma Credit's ROE % falls into.



BioPharma Credit ROE % Calculation

BioPharma Credit's annualized ROE % for the fiscal year that ended in Dec. 2023 is calculated as

ROE %=Net Income (A: Dec. 2023 )/( (Total Stockholders Equity (A: Dec. 2022 )+Total Stockholders Equity (A: Dec. 2023 ))/ count )
=108.45/( (1337.453+1340.861)/ 2 )
=108.45/1339.157
=8.10 %

BioPharma Credit's annualized ROE % for the quarter that ended in Dec. 2022 is calculated as

ROE %=Net Income (Q: Dec. 2022 )/( (Total Stockholders Equity (Q: Jun. 2022 )+Total Stockholders Equity (Q: Dec. 2022 ))/ count )
=228.292/( (1383.796+1337.453)/ 2 )
=228.292/1360.6245
=16.78 %

* 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 two times the semi-annual (Dec. 2022) net income data. ROE % is displayed in the 30-year financial page.


BioPharma Credit  (LSE:BPCR) 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: Dec. 2022 )
=Net Income/Total Stockholders Equity
=228.292/1360.6245
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(228.292 / 230.388)*(230.388 / 1376.1125)*(1376.1125 / 1360.6245)
=Net Margin %*Asset Turnover*Equity Multiplier
=99.09 %*0.1674*1.0114
=ROA %*Equity Multiplier
=16.59 %*1.0114
=16.78 %

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: Dec. 2022 )
=Net Income/Total Stockholders Equity
=228.292/1360.6245
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (228.292 / 228.292) * (228.292 / 230.388) * (230.388 / 1376.1125) * (1376.1125 / 1360.6245)
= Tax Burden * Pretax Margin % * Asset Turnover * Equity Multiplier
= 1 * 99.09 % * 0.1674 * 1.0114
=16.78 %

Note: The net income data used here is two times the semi-annual (Dec. 2022) net income data. The Revenue data used here is two times the semi-annual (Dec. 2022) 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.


BioPharma Credit ROE % Related Terms

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BioPharma Credit (LSE:BPCR) Business Description

Traded in Other Exchanges
N/A
Address
65 Gresham Street, 6th Floor, London, GBR, EC2V 7NQ
BioPharma Credit PLC is an investment company. The investment objective of the company is to generate long-term shareholder returns predominantly in the form of sustainable income distributions from exposure to the life sciences industry. The only reporting segment of the company is the investment in debt assets secured by royalties or other cash flows derived from the sale of approved life sciences products. The company generates revenue in the form of interest income, income from subsidiaries, royalty revenue, make-whole and prepayment income, dividends, and paydown fees. The company earns a majority of its revenue from Investment income.

BioPharma Credit (LSE:BPCR) Headlines

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