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Engility Holdings (Engility Holdings) ROE % : 2.47% (As of Sep. 2018)


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What is Engility Holdings ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Engility Holdings's annualized net income for the quarter that ended in Sep. 2018 was $17 Mil. Engility Holdings's average Total Stockholders Equity over the quarter that ended in Sep. 2018 was $695 Mil. Therefore, Engility Holdings's annualized ROE % for the quarter that ended in Sep. 2018 was 2.47%.

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

EGL's ROE % is not ranked *
in the Business Services industry.
Industry Median: 8.5
* Ranked among companies with meaningful ROE % only.

Engility Holdings ROE % Historical Data

The historical data trend for Engility 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.

Engility Holdings ROE % Chart

Engility Holdings Annual Data
Trend Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17
ROE %
Get a 7-Day Free Trial 12.29 7.90 -40.57 -1.56 -5.19

Engility Holdings Quarterly Data
Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18
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 5.48 -34.36 3.87 6.99 2.47

Competitive Comparison of Engility Holdings's ROE %

For the Staffing & Employment Services subindustry, Engility 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.


Engility Holdings's ROE % Distribution in the Business Services Industry

For the Business Services industry and Industrials sector, Engility Holdings's ROE % distribution charts can be found below:

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



Engility Holdings ROE % Calculation

Engility Holdings's annualized ROE % for the fiscal year that ended in Dec. 2017 is calculated as

ROE %=Net Income (A: Dec. 2017 )/( (Total Stockholders Equity (A: Dec. 2016 )+Total Stockholders Equity (A: Dec. 2017 ))/ count )
=-35.191/( (691.627+665.484)/ 2 )
=-35.191/678.5555
=-5.19 %

Engility Holdings's annualized ROE % for the quarter that ended in Sep. 2018 is calculated as

ROE %=Net Income (Q: Sep. 2018 )/( (Total Stockholders Equity (Q: Jun. 2018 )+Total Stockholders Equity (Q: Sep. 2018 ))/ count )
=17.128/( (690.806+698.532)/ 2 )
=17.128/694.669
=2.47 %

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


Engility Holdings  (NYSE:EGL) 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: Sep. 2018 )
=Net Income/Total Stockholders Equity
=17.128/694.669
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(17.128 / 1884.828)*(1884.828 / 1984.3485)*(1984.3485 / 694.669)
=Net Margin %*Asset Turnover*Equity Multiplier
=0.91 %*0.9498*2.8565
=ROA %*Equity Multiplier
=0.86 %*2.8565
=2.47 %

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: Sep. 2018 )
=Net Income/Total Stockholders Equity
=17.128/694.669
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (17.128 / 40.072) * (40.072 / 107.232) * (107.232 / 1884.828) * (1884.828 / 1984.3485) * (1984.3485 / 694.669)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.4274 * 0.3737 * 5.69 % * 0.9498 * 2.8565
=2.47 %

Note: The net income data used here is four times the quarterly (Sep. 2018) net income data. The Revenue data used here is four times the quarterly (Sep. 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.


Engility Holdings ROE % Related Terms

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


Engility Holdings (Engility Holdings) Business Description

Traded in Other Exchanges
N/A
Address
Engility Holdings Inc provides global security and information security services to the U.S. government. The company offers specialized technical consulting, program and business support, engineering and technology lifecycle support, information technology modernization and sustainment, supply chain services, and logistics management, and training and education services to U.S. government personnel. Its customers primarily operate in the defense, intelligence, space, and federal civil sectors and international communities. Virtually all revenue is generated from the U.S. government.
Executives
George R Roberts 10 percent owner C/O KOHLBERG KRAVIS ROBERTS & CO. L.P., 2800 SAND HILL ROAD, MENLO PARK CA 94025
Katharina G. Mcfarland director 4803 STONECROFT BOULEVARD, CHANTILLY VA 20151
General Atlantic Partners 85, L.p. 10 percent owner 55 EAST 52ND STREET, 32ND FLOOR NEW YORK NY 10055
Peter Marino director 12701 FAIR LAKES CIRCLE, FAIRFAX VA 22033
Wayne M Rehberger officer: Senior Vice President and CFO 4803 STONECROFT BOULEVARD CHANTILLY VA 20151
Steven A Denning director, 10 percent owner C/O ENGILITY CORPORATION, 4803 STONECROFT BOULEVARD, CHANTILLY VA 20151
General Atlantic Genpar, L.p. 10 percent owner 55 EAST 52ND STREET, 32ND FLOOR, NEW YORK NY 10055
Gap Coinvestments Cda, L.p. 10 percent owner 55 EAST 52ND STREET, 32ND FLOOR, NEW YORK NY 10055
Gap Coinvestments Iv, Llc 10 percent owner 55 EAST 52ND STREET, 33RD FLOOR, NEW YORK NY 10055
Gap Coinvestments Iii, Llc 10 percent owner 55 EAST 52ND STREET, 33RD FLOOR, NEW YORK NY 10055
Theresa D Golinvaux officer: VP, CAO, Corporate Controller 9300 LEE HIGHWAY, FAIRFAX VA 20131
Management Gmbh Gapco 10 percent owner C/O GENERAL ATLANTIC SERVICE COMPANY, 55 EAST 52ND STREET, 32ND FLOOR, NEW YORK NY 10055
Gapco Gmbh & Co Kg 10 percent owner C/O GENERAL ATLANTIC SERVICE COMPANY, 55 EAST 52ND ST. 32ND FLOOR, NEW YORK NY 10055
General Atlantic, L.p. 10 percent owner 55 EAST 52ND STREET, 33RD FLOOR, NEW YORK NY 10055
John W Barter director 2101 CITYWEST BLVD, HOUSTON TX 77042-2827