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Panera Bread Co (Panera Bread Co) ROE % : 59.22% (As of Mar. 2017)


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What is Panera Bread Co ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Panera Bread Co's annualized net income for the quarter that ended in Mar. 2017 was $170 Mil. Panera Bread Co's average Total Stockholders Equity over the quarter that ended in Mar. 2017 was $287 Mil. Therefore, Panera Bread Co's annualized ROE % for the quarter that ended in Mar. 2017 was 59.22%.

The historical rank and industry rank for Panera Bread Co's ROE % or its related term are showing as below:

PNRA's ROE % is not ranked *
in the Restaurants industry.
Industry Median: 8.76
* Ranked among companies with meaningful ROE % only.

Panera Bread Co ROE % Historical Data

The historical data trend for Panera Bread Co'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.

Panera Bread Co ROE % Chart

Panera Bread Co Annual Data
Trend Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 23.49 25.78 24.97 24.21 37.04

Panera Bread Co Quarterly Data
Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17
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 30.80 34.92 36.75 57.87 59.22

Competitive Comparison of Panera Bread Co's ROE %

For the Restaurants subindustry, Panera Bread Co'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.


Panera Bread Co's ROE % Distribution in the Restaurants Industry

For the Restaurants industry and Consumer Cyclical sector, Panera Bread Co's ROE % distribution charts can be found below:

* The bar in red indicates where Panera Bread Co's ROE % falls into.



Panera Bread Co ROE % Calculation

Panera Bread Co's annualized ROE % for the fiscal year that ended in Dec. 2016 is calculated as

ROE %=Net Income (A: Dec. 2016 )/( (Total Stockholders Equity (A: Dec. 2015 )+Total Stockholders Equity (A: Dec. 2016 ))/ count )
=145.574/( (497.3+288.787)/ 2 )
=145.574/393.0435
=37.04 %

Panera Bread Co's annualized ROE % for the quarter that ended in Mar. 2017 is calculated as

ROE %=Net Income (Q: Mar. 2017 )/( (Total Stockholders Equity (Q: Dec. 2016 )+Total Stockholders Equity (Q: Mar. 2017 ))/ count )
=169.976/( (288.787+285.291)/ 2 )
=169.976/287.039
=59.22 %

* 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 (Mar. 2017) net income data. ROE % is displayed in the 30-year financial page.


Panera Bread Co  (NAS:PNRA) 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: Mar. 2017 )
=Net Income/Total Stockholders Equity
=169.976/287.039
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(169.976 / 2910.532)*(2910.532 / 1300.486)*(1300.486 / 287.039)
=Net Margin %*Asset Turnover*Equity Multiplier
=5.84 %*2.238*4.5307
=ROA %*Equity Multiplier
=13.07 %*4.5307
=59.22 %

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: Mar. 2017 )
=Net Income/Total Stockholders Equity
=169.976/287.039
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (169.976 / 262.428) * (262.428 / 286.024) * (286.024 / 2910.532) * (2910.532 / 1300.486) * (1300.486 / 287.039)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.6477 * 0.9175 * 9.83 % * 2.238 * 4.5307
=59.22 %

Note: The net income data used here is four times the quarterly (Mar. 2017) net income data. The Revenue data used here is four times the quarterly (Mar. 2017) 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.


Panera Bread Co ROE % Related Terms

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


Panera Bread Co (Panera Bread Co) Business Description

Traded in Other Exchanges
N/A
Address
Panera Bread Co Inc owns and franchises bakery cum cafes various locations in the United States and Canada. These cafes are operated under the brand's names Panera Bread, Saint Louis Bread Co., and Paradise Bakery & Café. Their menu offerings include baked goods, sandwiches, soups, pasta dishes, salads, and cafe beverages. They also provide catering services by the Panera brand that offer breakfast assortments, sandwiches, salads, soups, pasta dishes, drinks, and bakery items. Segments through which business is conducted include company Bakery-Cafe Operations segment, Franchise Operations segment, and Fresh Dough and Other Product Operations segment. Revenues are generated from bakery cum cafe sales, royalties and fees from franchises, and fresh dough and other product sales.
Executives
Diane Hessan director 2 BATTERY WHARF, #2510, BOSTON MA 02109
James D White director C/O CAVA GROUP, INC., 202-400-2920 14 RIDGE SQUARE NW, SUITE 5, WASHINGTON DC 20016
Thomas E Lynch director 382 GREENWICH AVE, SUITE ONE, GREENWICH CT 06830
Andrew H Madsen officer: President 520 ZANG ST., UNIT D, BROOMFIELD CO 80021
Louis Dipietro officer: SVP, General Counsel 35 PARK STREET, NORFOLK MA 02056
Jeffrey W Kip officer: EVP, Chief Financial Officer 3630 SOUTH GEYER ROAD, SUITE 100, ST LOUIS MO 63127
Patricia Gray officer: SVP, Chief Legal Officer C/O AMERICAN SCIENCE AND ENGINEERING INC, 829 MIDDLESEX TURNPIKE, BILLERICA MA 01821
Yanofsky Neal officer: President 6710 CLAYTON ROAD RICHMOND HEIGHTS MO 63117

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