NN Group NV (NN Group NV) ROE %

: 5.62% (As of Dec. 2023)

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ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. NN Group NV's annualized net income for the quarter that ended in Dec. 2023 was $1,278 Mil. NN Group NV's average Total Stockholders Equity over the quarter that ended in Dec. 2023 was $22,734 Mil. Therefore, NN Group NV's annualized ROE % for the quarter that ended in Dec. 2023 was 5.62%.

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

NNGPF' s ROE % Range Over the Past 10 Years
Min: 3.32 Med: 6.22 Max: 10.59
Current: 5.59

During the past 13 years, NN Group NV's highest ROE % was 10.59%. The lowest was 3.32%. And the median was 6.22%.

NNGPF's ROE % is ranked worse than
68.99% of 487 companies
in the Insurance industry
Industry Median: 9.67 vs NNGPF: 5.59

NN Group NV ROE % Historical Data

The historical data trend for NN Group NV'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.

NN Group NV Annual Data

Trend

Dec14

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

ROE %

6.80

5.58

10.11

7.11

5.65

NN Group NV Semi-Annual Data
	Jun14	Dec14	Jun15	Dec15	Jun16	Dec16	Jun17	Dec17	Jun18	Dec18	Jun19	Dec19	Jun20	Dec20	Jun21	Dec21	Jun22	Dec22	Jun23	Dec23
ROE %																12.36	14.92	-1.00	5.67	5.62

Competitive Comparison

For the Insurance - Diversified subindustry, NN Group NV'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.

NN Group NV ROE % Distribution

For the Insurance industry and Financial Services sector, NN Group NV's ROE % distribution charts can be found below:

* The bar in red indicates where NN Group NV's ROE % falls into.

NN Group NV ROE % Calculation

NN Group NV's annualized ROE % for the fiscal year that ended in Dec. 2023 is calculated as

ROE %	=	Net Income (A: Dec. 2023 )	/	( (Total Stockholders Equity (A: Dec. 2022 )	+	Total Stockholders Equity (A: Dec. 2023 ))	/ count )
	=	1278.081	/	( (22276.483	+	22944.384)	/ 2 )
	=	1278.081	/	22610.4335
	=	5.65 %

NN Group NV's annualized ROE % for the quarter that ended in Dec. 2023 is calculated as

ROE %	=	Net Income (Q: Dec. 2023 )	/	( (Total Stockholders Equity (Q: Jun. 2023 )	+	Total Stockholders Equity (Q: Dec. 2023 ))	/ count )
	=	1278.08	/	( (22524.377	+	22944.384)	/ 2 )
	=	1278.08	/	22734.3805
	=	5.62 %

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

NN Group NV (OTCPK:NNGPF) 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. 2023 )
=	Net Income	/	Total Stockholders Equity
=	1278.08	/	22734.3805
=	(Net Income / Revenue )	*	(Revenue / Total Assets)	*	(Total Assets / Total Stockholders Equity)
=	(1278.08 / 12211.56)	*	(12211.56 / 224970.269)	*	(224970.269 / 22734.3805)
=	Net Margin %	*	Asset Turnover	*	Equity Multiplier
=	10.47 %	*	0.0543	*	9.8956
=	ROA %	*	Equity Multiplier
=	0.57 %	*	9.8956
=	5.62 %

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. 2023 )
=	Net Income	/	Total Stockholders Equity
=	1278.08	/	22734.3805
=	(Net Income / Pre-Tax Income)	*	(Pre-Tax Income / EBIT)	*	(EBIT / Revenue)	*	(Revenue / Total Assets)	*	(Total Assets / Total Stockholders Equity)
=	(1278.08 / 1688.114)	*	(1688.114 / 0)	*	(0 / 12211.56)	*	(12211.56 / 224970.269)	*	(224970.269 / 22734.3805)
=	Tax Burden	*	Interest Burden	*	EBIT Margin %	*	Asset Turnover	*	Equity Multiplier
=	0.7571	*	N/A	*	0 %	*	0.0543	*	9.8956
=	5.62 %

Note: The net income data used here is two times the semi-annual (Dec. 2023) net income data. The Revenue data used here is two times the semi-annual (Dec. 2023) 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.

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.

NN Group NV ROE % Related Terms

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NN Group NV (NN Group NV) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Financial Services » Insurance » NN Group NV (OTCPK:NNGPF) » Definitions » ROE %

Comparable Companies

Traded in Other Exchanges

NNGRY:USA NN:Netherlands NNa:UK 0QVV:UK 2NN:Germany NN:Austria

Address

Schenkkade 65, The Hague, ZH, NLD, 2595 AS

Website

https://www.nn-group.com

Nationale Nederlanden Group is a European insurance company that primarily sells long-term savings in the Netherlands. The business is made up of four divisions: Netherlands life; Netherlands nonlife; insurance Europe; and Japan life. The Netherlands life business is the biggest division of the company and tends to generate around three quarters of operating income. That business sells traditional spread-based long-term savings and the new style-defined contribution savings products. Since 2022, assets that are managed to support the traditional savings products and in-house part of defined contribution products are managed by Goldman Sachs. Since around 2013, NN has managed its individual life insurance business as being closed to new business.