GURUFOCUS.COM » STOCK LIST » Consumer Defensive » Retail - Defensive » McColl's Retail Group PLC (LSE:MCLS) » Definitions » ROE %

McColl's Retail Group (LSE:MCLS) ROE % : -70.39% (As of May. 2021)


View and export this data going back to 2014. Start your Free Trial

What is McColl's Retail Group ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. McColl's Retail Group's annualized net income for the quarter that ended in May. 2021 was £-13 Mil. McColl's Retail Group's average Total Stockholders Equity over the quarter that ended in May. 2021 was £18 Mil. Therefore, McColl's Retail Group's annualized ROE % for the quarter that ended in May. 2021 was -70.39%.

The historical rank and industry rank for McColl's Retail Group's ROE % or its related term are showing as below:

LSE:MCLS's ROE % is not ranked *
in the Retail - Defensive industry.
Industry Median: 9.78
* Ranked among companies with meaningful ROE % only.

McColl's Retail Group ROE % Historical Data

The historical data trend for McColl's Retail Group'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.

McColl's Retail Group ROE % Chart

McColl's Retail Group Annual Data
Trend Nov11 Nov12 Nov13 Nov14 Nov15 Nov16 Nov17 Nov18 Nov19 Nov20
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 10.44 9.91 4.77 -106.45 -9.22

McColl's Retail Group Semi-Annual Data
Nov11 Nov12 May13 Nov13 May14 Nov14 May15 Nov15 May16 Nov16 May17 Nov17 May18 Nov18 May19 Nov19 May20 Nov20 May21
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 2.01 -214.43 -6.16 -14.74 -70.39

Competitive Comparison of McColl's Retail Group's ROE %

For the Grocery Stores subindustry, McColl's Retail Group'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.


McColl's Retail Group's ROE % Distribution in the Retail - Defensive Industry

For the Retail - Defensive industry and Consumer Defensive sector, McColl's Retail Group's ROE % distribution charts can be found below:

* The bar in red indicates where McColl's Retail Group's ROE % falls into.



McColl's Retail Group ROE % Calculation

McColl's Retail Group's annualized ROE % for the fiscal year that ended in Nov. 2020 is calculated as

ROE %=Net Income (A: Nov. 2020 )/( (Total Stockholders Equity (A: Nov. 2019 )+Total Stockholders Equity (A: Nov. 2020 ))/ count )
=-2.7/( (38.7+19.9)/ 2 )
=-2.7/29.3
=-9.22 %

McColl's Retail Group's annualized ROE % for the quarter that ended in May. 2021 is calculated as

ROE %=Net Income (Q: May. 2021 )/( (Total Stockholders Equity (Q: Nov. 2020 )+Total Stockholders Equity (Q: May. 2021 ))/ count )
=-12.6/( (19.9+15.9)/ 2 )
=-12.6/17.9
=-70.39 %

* 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 (May. 2021) net income data. ROE % is displayed in the 30-year financial page.


McColl's Retail Group  (LSE:MCLS) 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: May. 2021 )
=Net Income/Total Stockholders Equity
=-12.6/17.9
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(-12.6 / 1145.4)*(1145.4 / 554.15)*(554.15 / 17.9)
=Net Margin %*Asset Turnover*Equity Multiplier
=-1.1 %*2.0669*30.9581
=ROA %*Equity Multiplier
=-2.27 %*30.9581
=-70.39 %

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: May. 2021 )
=Net Income/Total Stockholders Equity
=-12.6/17.9
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (-12.6 / -11.8) * (-11.8 / 11) * (11 / 1145.4) * (1145.4 / 554.15) * (554.15 / 17.9)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 1.0678 * -1.0727 * 0.96 % * 2.0669 * 30.9581
=-70.39 %

Note: The net income data used here is two times the semi-annual (May. 2021) net income data. The Revenue data used here is two times the semi-annual (May. 2021) 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.


McColl's Retail Group ROE % Related Terms

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


McColl's Retail Group (LSE:MCLS) Business Description

Traded in Other Exchanges
N/A
Address
One London Road, Ground Floor West, Brentwood, Essex, GBR, CM14 4QW
McColl's Retail Group PLC is a retailer operator of convenience and newsagent stores. The company's products and services include everyday groceries, milk, baked beans, fruit pots, snacks, and ready meals, Lotto, Paypoint, and beers, wines, and spirits. The group operates more than 800 convenience stores and approximately 400 newsagent stores. It derives most of the revenue from convenience stores.

McColl's Retail Group (LSE:MCLS) Headlines

No Headlines