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Netex Knowledge Factory (XMAD:NTX) ROE % : -68.94% (As of Sep. 2023)


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What is Netex Knowledge Factory ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Netex Knowledge Factory's annualized net income for the quarter that ended in Sep. 2023 was €-1.13 Mil. Netex Knowledge Factory's average Total Stockholders Equity over the quarter that ended in Sep. 2023 was €1.64 Mil. Therefore, Netex Knowledge Factory's annualized ROE % for the quarter that ended in Sep. 2023 was -68.94%.

The historical rank and industry rank for Netex Knowledge Factory's ROE % or its related term are showing as below:

XMAD:NTX' s ROE % Range Over the Past 10 Years
Min: -76.05   Med: -3.31   Max: 30.44
Current: -53.14

During the past 9 years, Netex Knowledge Factory's highest ROE % was 30.44%. The lowest was -76.05%. And the median was -3.31%.

XMAD:NTX's ROE % is ranked worse than
85.63% of 2638 companies
in the Software industry
Industry Median: 3.09 vs XMAD:NTX: -53.14

Netex Knowledge Factory ROE % Historical Data

The historical data trend for Netex Knowledge Factory'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.

Netex Knowledge Factory ROE % Chart

Netex Knowledge Factory Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Sep20 Sep21 Sep22
ROE %
Get a 7-Day Free Trial Premium Member Only -54.40 3.41 -46.27 30.44 -31.06

Netex Knowledge Factory Semi-Annual Data
Dec14 Dec15 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23
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 65.76 -36.35 -29.99 -44.71 -68.94

Competitive Comparison of Netex Knowledge Factory's ROE %

For the Software - Application subindustry, Netex Knowledge Factory'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.


Netex Knowledge Factory's ROE % Distribution in the Software Industry

For the Software industry and Technology sector, Netex Knowledge Factory's ROE % distribution charts can be found below:

* The bar in red indicates where Netex Knowledge Factory's ROE % falls into.



Netex Knowledge Factory ROE % Calculation

Netex Knowledge Factory's annualized ROE % for the fiscal year that ended in Sep. 2022 is calculated as

ROE %=Net Income (A: Sep. 2022 )/( (Total Stockholders Equity (A: Sep. 2021 )+Total Stockholders Equity (A: Sep. 2022 ))/ count )
=-0.864/( (2.874+2.689)/ 2 )
=-0.864/2.7815
=-31.06 %

Netex Knowledge Factory's annualized ROE % for the quarter that ended in Sep. 2023 is calculated as

ROE %=Net Income (Q: Sep. 2023 )/( (Total Stockholders Equity (Q: Mar. 2023 )+Total Stockholders Equity (Q: Sep. 2023 ))/ count )
=-1.13/( (1.713+1.565)/ 2 )
=-1.13/1.639
=-68.94 %

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


Netex Knowledge Factory  (XMAD:NTX) 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. 2023 )
=Net Income/Total Stockholders Equity
=-1.13/1.639
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(-1.13 / 24.008)*(24.008 / 31.0095)*(31.0095 / 1.639)
=Net Margin %*Asset Turnover*Equity Multiplier
=-4.71 %*0.7742*18.9198
=ROA %*Equity Multiplier
=-3.65 %*18.9198
=-68.94 %

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. 2023 )
=Net Income/Total Stockholders Equity
=-1.13/1.639
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (-1.13 / -0.476) * (-0.476 / 2.726) * (2.726 / 24.008) * (24.008 / 31.0095) * (31.0095 / 1.639)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 2.3739 * -0.1746 * 11.35 % * 0.7742 * 18.9198
=-68.94 %

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

* 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.


Netex Knowledge Factory ROE % Related Terms

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Netex Knowledge Factory (XMAD:NTX) Business Description

Traded in Other Exchanges
N/A
Address
Calle Ícaro , No.44, Oleiros, A Coruña, ESP, 15172
Netex Knowledge Factory SA develops applications and service-based-solutions to deliver digital learning in companies and academic institutions. The company's portfolio includes learningCloud, a personalized learning environment that facilitates video, gamification, online/offline mobile learning, micro learning, social learning, interoperability, and real-time conferencing features for the modern workforce in corporations; and smartED, a solution for publishing houses and universities.

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