GURUFOCUS.COM » STOCK LIST » Technology » Software » Avaya Holdings Corp (OTCPK:AVYAQ) » Definitions » ROE %

Avaya Holdings (Avaya Holdings) ROE % : 0.00% (As of Jun. 2022)


View and export this data going back to 2017. Start your Free Trial

What is Avaya Holdings ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Avaya Holdings's annualized net income for the quarter that ended in Jun. 2022 was $-5,632 Mil. Avaya Holdings's average Total Stockholders Equity over the quarter that ended in Jun. 2022 was $-117 Mil. Therefore, Avaya Holdings's annualized ROE % for the quarter that ended in Jun. 2022 was N/A%.

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

AVYAQ's ROE % is not ranked *
in the Software industry.
Industry Median: 3.225
* Ranked among companies with meaningful ROE % only.

Avaya Holdings ROE % Historical Data

The historical data trend for Avaya Holdings'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.

Avaya Holdings ROE % Chart

Avaya Holdings Annual Data
Trend Sep12 Sep13 Sep14 Sep15 Sep16 Sep17 Sep18 Sep19 Sep20 Sep21
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only - - -40.05 -81.73 -2.93

Avaya Holdings Quarterly Data
Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22
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 Premium Member Only 38.70 4.87 -51.16 -0.75 -

Competitive Comparison of Avaya Holdings's ROE %

For the Software - Application subindustry, Avaya Holdings'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.


Avaya Holdings's ROE % Distribution in the Software Industry

For the Software industry and Technology sector, Avaya Holdings's ROE % distribution charts can be found below:

* The bar in red indicates where Avaya Holdings's ROE % falls into.



Avaya Holdings ROE % Calculation

Avaya Holdings's annualized ROE % for the fiscal year that ended in Sep. 2021 is calculated as

ROE %=Net Income (A: Sep. 2021 )/( (Total Stockholders Equity (A: Sep. 2020 )+Total Stockholders Equity (A: Sep. 2021 ))/ count )
=-13/( (364+522)/ 2 )
=-13/443
=-2.93 %

Avaya Holdings's annualized ROE % for the quarter that ended in Jun. 2022 is calculated as

ROE %=Net Income (Q: Jun. 2022 )/( (Total Stockholders Equity (Q: Mar. 2022 )+Total Stockholders Equity (Q: Jun. 2022 ))/ count )
=-5632/( (563+-796)/ 2 )
=-5632/-116.5
=N/A %

* 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 four times the quarterly (Jun. 2022) net income data. ROE % is displayed in the 30-year financial page.

* Note that if the average Total Stockholders Equity is zero or negative, then ROE % would be considered meaningless and hence not be calculated.


Avaya Holdings  (OTCPK:AVYAQ) 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: Jun. 2022 )
=Net Income/Total Stockholders Equity
=-5632/-116.5
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(-5632 / 2308)*(2308 / 5080.5)*(5080.5 / -116.5)
=Net Margin %*Asset Turnover*Equity Multiplier
=-244.02 %*0.4543*N/A
=ROA %*Equity Multiplier
=-110.86 %*N/A
=N/A %

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: Jun. 2022 )
=Net Income/Total Stockholders Equity
=-5632/-116.5
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (-5632 / -5576) * (-5576 / -276) * (-276 / 2308) * (2308 / 5080.5) * (5080.5 / -116.5)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 1.01 * 20.2029 * -11.96 % * 0.4543 * N/A
=N/A %

Note: The net income data used here is four times the quarterly (Jun. 2022) net income data. The Revenue data used here is four times the quarterly (Jun. 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.


Avaya Holdings ROE % Related Terms

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


Avaya Holdings (Avaya Holdings) Business Description

Traded in Other Exchanges
N/A
Address
2605 Meridian Parkway, Suite 200, Durham, NC, USA, 27713
Avaya Holdings Corp provides digital communications products, solutions, and services for businesses. The company has two operating segments namely Products and Solutions, and Services. Products and Solutions offer Unified Communications and Contact Center platforms, applications and devices. It helps to offer an open, extensible development platform so that customers and third parties can easily create custom applications and automated workflows for their unique needs. Whereas Services consists of three business areas: Global Support Services, Enterprise Cloud and Managed Services and Professional Services. The company generates maximum revenue from the Services segment. Geographically, it derives a majority of revenue from the U.S.
Executives
Carrie W. Teffner director 200 DOMAIN DRIVE, STRATHAM NH 03885
King Theodore Walker Cheng-de 10 percent owner UNIT 1502, 15TH FLOOR, 99 HENNESSY ROAD, WANCHAI K3 999077
Jill Kathleen Frizzley director P.O. BOX 1541, ONE BLUE HILL PLAZA, PEARL RIVER NY 10965
Anna-marie Crowley officer: GVP, Human Resources C/O AVAYA, 350 MT. KEMBLE AVENUE, MORRISTOWN NJ 07960
Vito Carnevale officer: SVP, General Counsel C/O AVAYA, 350 MT. KEMBLE AVENUE, MORRISTOWN NJ 07960
Rebecca A Roof officer: Interim CFO C/O LORDSTOWN MOTORS CORP., 2300 HALLOCK YOUNG ROAD, LORDSTOWN OH 44481
Alan Masarek director, officer: President and CEO C/O VONAGE HOLDINGS CORP., 23 MAIN STREET, HOLMDEL NJ 07733
Stephen Spears officer: EVP and Chief Revenue Officer C/O AVAYA, 2605 MERIDIAN PKWY, SUITE 200, DURHAM NC 27713
James M Chirico director, officer: President & CEO 2605 MERIDIAN PARKWAY, DURHAM NC 27713
Kevin Speed officer: VP, Controller & CAO AVAYA, 350 MT. KEMBLE AVENUE, MORRISTOWN NJ 07960
Kieran J Mcgrath officer: SVP & CFO 350 MT. KEMBLE AVENUE, MORRISTOWN NJ 07960
Shefali A Shah officer: SVP, CAO and General Counsel C/O AVAYA, ONE PENN PLAZA, 16TH FLOOR, NEW YORK NY 10119
Susan Louise Spradley director C/O NORTEL NETWORKS, 8200 DIXIE ROAD STE 100, BRAMPTON ONTARIO A6 L6T 5PT
Robert I Theis director
Anthony Bartolo officer: EVP, Chief Product Officer C/O BANDWIDTH INC., 900 MAIN CAMPUS DRIVE, RALEIGH NC 27606

Avaya Holdings (Avaya Holdings) Headlines

From GuruFocus