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Youyuan International Holdings (HKSE:02268) ROE % : 19.45% (As of Dec. 2018)


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What is Youyuan International Holdings ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Youyuan International Holdings's annualized net income for the quarter that ended in Dec. 2018 was HK$964 Mil. Youyuan International Holdings's average Total Stockholders Equity over the quarter that ended in Dec. 2018 was HK$4,956 Mil. Therefore, Youyuan International Holdings's annualized ROE % for the quarter that ended in Dec. 2018 was 19.45%.

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

HKSE:02268's ROE % is not ranked *
in the Forest Products industry.
Industry Median: 4.015
* Ranked among companies with meaningful ROE % only.

Youyuan International Holdings ROE % Historical Data

The historical data trend for Youyuan International 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.

Youyuan International Holdings ROE % Chart

Youyuan International Holdings Annual Data
Trend Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 12.16 9.30 11.69 30.22 15.75

Youyuan International Holdings Semi-Annual Data
Jun09 Dec09 Jun10 Dec10 Jun11 Dec11 Jun12 Dec12 Jun13 Dec13 Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18
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 13.16 15.70 44.78 12.27 19.45

Competitive Comparison of Youyuan International Holdings's ROE %

For the Paper & Paper Products subindustry, Youyuan International 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.


Youyuan International Holdings's ROE % Distribution in the Forest Products Industry

For the Forest Products industry and Basic Materials sector, Youyuan International Holdings's ROE % distribution charts can be found below:

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



Youyuan International Holdings ROE % Calculation

Youyuan International Holdings's annualized ROE % for the fiscal year that ended in Dec. 2018 is calculated as

ROE %=Net Income (A: Dec. 2018 )/( (Total Stockholders Equity (A: Dec. 2017 )+Total Stockholders Equity (A: Dec. 2018 ))/ count )
=750.896/( (4493.666+5039.563)/ 2 )
=750.896/4766.6145
=15.75 %

Youyuan International Holdings's annualized ROE % for the quarter that ended in Dec. 2018 is calculated as

ROE %=Net Income (Q: Dec. 2018 )/( (Total Stockholders Equity (Q: Jun. 2018 )+Total Stockholders Equity (Q: Dec. 2018 ))/ count )
=964.07/( (4871.656+5039.563)/ 2 )
=964.07/4955.6095
=19.45 %

* 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. 2018) net income data. ROE % is displayed in the 30-year financial page.


Youyuan International Holdings  (HKSE:02268) 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. 2018 )
=Net Income/Total Stockholders Equity
=964.07/4955.6095
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(964.07 / 5057.7)*(5057.7 / 8995.2845)*(8995.2845 / 4955.6095)
=Net Margin %*Asset Turnover*Equity Multiplier
=19.06 %*0.5623*1.8152
=ROA %*Equity Multiplier
=10.72 %*1.8152
=19.45 %

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. 2018 )
=Net Income/Total Stockholders Equity
=964.07/4955.6095
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (964.07 / 1440.274) * (1440.274 / 1759.456) * (1759.456 / 5057.7) * (5057.7 / 8995.2845) * (8995.2845 / 4955.6095)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.6694 * 0.8186 * 34.79 % * 0.5623 * 1.8152
=19.45 %

Note: The net income data used here is two times the semi-annual (Dec. 2018) net income data. The Revenue data used here is two times the semi-annual (Dec. 2018) 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.


Youyuan International Holdings ROE % Related Terms

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Youyuan International Holdings (HKSE:02268) Business Description

Traded in Other Exchanges
N/A
Address
Xibin Industrial Zone, Fujian Province, Jinjiang, CHN
Youyuan International Holdings Ltd is principally engaged in the manufacture and sale of wrapping tissue paper. The company operates three production plants in Jinjiang City and Longhai City, Fujian. The principal products of Youyuan International include double-sided machine finished (MF) tissue paper and single-sided MF tissue paper, both of which are wrapping tissue paper which is commonly used in wrappings for clothing, footwear, fruit and other consumer products. The group is also involved in the manufacturing of copy paper, paper towels, and ivory board.

Youyuan International Holdings (HKSE:02268) Headlines

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