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Varanium Cloud (NSE:CLOUD) ROA % : 76.24% (As of Sep. 2023)


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What is Varanium Cloud ROA %?

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Varanium Cloud's annualized Net Income for the quarter that ended in Sep. 2023 was ₹2,223 Mil. Varanium Cloud's average Total Assets over the quarter that ended in Sep. 2023 was ₹2,915 Mil. Therefore, Varanium Cloud's annualized ROA % for the quarter that ended in Sep. 2023 was 76.24%.

The historical rank and industry rank for Varanium Cloud's ROA % or its related term are showing as below:

NSE:CLOUD's ROA % is not ranked *
in the Software industry.
Industry Median: 1.52
* Ranked among companies with meaningful ROA % only.

Varanium Cloud ROA % Historical Data

The historical data trend for Varanium Cloud'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.

Varanium Cloud ROA % Chart

Varanium Cloud Annual Data
Trend Mar20 Mar21 Mar22 Mar23
ROA %
-19.45 17.71 34.31 73.41

Varanium Cloud Quarterly Data
Mar20 Mar21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23
ROA % Get a 7-Day Free Trial Premium Member Only Premium Member Only 6.90 108.82 57.59 88.45 76.24

Competitive Comparison of Varanium Cloud's ROA %

For the Information Technology Services subindustry, Varanium Cloud'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.


Varanium Cloud's ROA % Distribution in the Software Industry

For the Software industry and Technology sector, Varanium Cloud's ROA % distribution charts can be found below:

* The bar in red indicates where Varanium Cloud's ROA % falls into.


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Varanium Cloud ROA % Calculation

Varanium Cloud's annualized ROA % for the fiscal year that ended in Mar. 2023 is calculated as:

ROA %=Net Income (A: Mar. 2023 )/( (Total Assets (A: Mar. 2022 )+Total Assets (A: Mar. 2023 ))/ count )
=824.489/( (406.433+1839.866)/ 2 )
=824.489/1123.1495
=73.41 %

Varanium Cloud's annualized ROA % for the quarter that ended in Sep. 2023 is calculated as:

ROA %=Net Income (Q: Sep. 2023 )/( (Total Assets (Q: Jun. 2023 )+Total Assets (Q: Sep. 2023 ))/ count )
=2222.788/( (0+2915.419)/ 1 )
=2222.788/2915.419
=76.24 %

* 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. 2023) net income data. ROA % is displayed in the 30-year financial page.


Varanium Cloud  (NSE:CLOUD) 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. 2023 )
=Net Income/Total Assets
=2222.788/2915.419
=(Net Income / Revenue)*(Revenue / Total Assets)
=(2222.788 / 8268.724)*(8268.724 / 2915.419)
=Net Margin %*Asset Turnover
=26.88 %*2.8362
=76.24 %

Note: The Net Income data used here is four times the quarterly (Sep. 2023) net income data. The Revenue data used here is four times the quarterly (Sep. 2023) 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.


Varanium Cloud ROA % Related Terms

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Varanium Cloud Business Description

Traded in Other Exchanges
N/A
Address
Versova SVP Nagar, Third Floor, Plot No. 244-A RDP 2, CTS 1374/B Vil, Four Bungalows, Andheri West, Mumbai, MH, IND, 400053
Varanium Cloud Ltd is a technology company focused on providing services surrounding the digital audio, video, and financial blockchain (for PayFac) based streaming services. The company operates in the following key verticals which are Provision of digital audio and video content streaming services to various content owners and telecom operators in India and internationally on a SaaS (Software As A Service) model such as Voice & Video over Internet Protocol solutions (VoIP) in the B2B and B2C segments, Online payment facilitation services (PayFac) and Provision of low bandwidth digital education content platforms (EdTech) with complete Learning Management Systems (LMS) focused on non-urban areas under Edmission brand.

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