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SDC - Investimentos SGPS (XLIS:SDCP.PFD) ROE %

: 72.54% (As of Dec. 2020)
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ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. SDC - Investimentos SGPS's annualized net income for the quarter that ended in Dec. 2020 was €3.88 Mil. SDC - Investimentos SGPS's average Total Stockholders Equity over the quarter that ended in Dec. 2020 was €5.34 Mil. Therefore, SDC - Investimentos SGPS's annualized ROE % for the quarter that ended in Dec. 2020 was 72.54%.

The historical rank and industry rank for SDC - Investimentos SGPS's ROE % or its related term are showing as below:

XLIS:SDCP.PFD' s ROE % Range Over the Past 10 Years
Min: -119.17   Med: -57.41   Max: 72.54
Current: 72.54

During the past 13 years, SDC - Investimentos SGPS's highest ROE % was 72.54%. The lowest was -119.17%. And the median was -57.41%.

XLIS:SDCP.PFD's ROE % is not ranked
in the Construction industry.
Industry Median: 6.71 vs XLIS:SDCP.PFD: 72.54

SDC - Investimentos SGPS ROE % Historical Data

The historical data trend for SDC - Investimentos SGPS'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.

SDC - Investimentos SGPS Annual Data
Trend Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20
ROE %
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only - - - Negative Equity 72.54

SDC - Investimentos SGPS Semi-Annual Data
Dec02 Dec03 Dec04 Dec05 Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20
ROE % 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 Premium Member Only Premium Member Only - - - Negative Equity 72.54

Competitive Comparison

For the Engineering & Construction subindustry, SDC - Investimentos SGPS'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.


SDC - Investimentos SGPS ROE % Distribution

For the Construction industry and Industrials sector, SDC - Investimentos SGPS's ROE % distribution charts can be found below:

* The bar in red indicates where SDC - Investimentos SGPS's ROE % falls into.



SDC - Investimentos SGPS ROE % Calculation

SDC - Investimentos SGPS's annualized ROE % for the fiscal year that ended in Dec. 2020 is calculated as

ROE %=Net Income (A: Dec. 2020 )/( (Total Stockholders Equity (A: Dec. 2019 )+Total Stockholders Equity (A: Dec. 2020 ))/ count )
=3.877/( (1.482+9.207)/ 2 )
=3.877/5.3445
=72.54 %

SDC - Investimentos SGPS's annualized ROE % for the quarter that ended in Dec. 2020 is calculated as

ROE %=Net Income (Q: Dec. 2020 )/( (Total Stockholders Equity (Q: Dec. 2019 )+Total Stockholders Equity (Q: Dec. 2020 ))/ count )
=3.877/( (1.482+9.207)/ 2 )
=3.877/5.3445
=72.54 %

* 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 one times the annual (Dec. 2020) net income data. ROE % is displayed in the 30-year financial page.


SDC - Investimentos SGPS  (XLIS:SDCP.PFD) 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. 2020 )
=Net Income/Total Stockholders Equity
=3.877/5.3445
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(3.877 / 2.661)*(2.661 / 70.592)*(70.592 / 5.3445)
=Net Margin %*Asset Turnover*Equity Multiplier
=145.7 %*0.0377*13.2083
=ROA %*Equity Multiplier
=5.49 %*13.2083
=72.54 %

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. 2020 )
=Net Income/Total Stockholders Equity
=3.877/5.3445
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (3.877 / 2.887) * (2.887 / 16.449) * (16.449 / 2.661) * (2.661 / 70.592) * (70.592 / 5.3445)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 1.3429 * 0.1755 * 618.15 % * 0.0377 * 13.2083
=72.54 %

Note: The net income data used here is one times the annual (Dec. 2020) net income data. The Revenue data used here is one times the annual (Dec. 2020) 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.


SDC - Investimentos SGPS ROE % Related Terms

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SDC - Investimentos SGPS (XLIS:SDCP.PFD) Business Description

Traded in Other Exchanges
N/A
Address
Avenida de Berna No. 30 - 2 B, Lisboa, PRT, 1050-042
SDC - Investimentos SGPS SA is engaged in the civil construction and public works sector. The company focuses on three area namely Civil construction includes housing, office, hotel, and tourism buildings, restoration and remodeling of buildings. Infrastructures include education, culture and sports facilities, industrial facilities, health and care centers, airports, roads, motorways, viaducts and bridges, tunnels, railway, hydraulic, environmental infrastructures and other urban infrastructures. Technical installations include electricity, telecommunications, technical management, heating, ventilation, air conditioning, hydraulics, water treatment, design, manufacture, and assembly of metal structures. Its serves in Portugal, Angola, Mozambique, United States, Brazil, and Romania.

SDC - Investimentos SGPS (XLIS:SDCP.PFD) Headlines

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