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RWS Holdings (LSE:RWS) Return-on-Tangible-Equity : -281.74% (As of Sep. 2023)


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What is RWS Holdings Return-on-Tangible-Equity?

Return-on-Tangible-Equity is calculated as Net Income divided by its average total shareholder tangible equity. Total shareholder tangible equity equals to Total Stockholders Equity minus Intangible Assets. RWS Holdings's annualized net income for the quarter that ended in Sep. 2023 was £-97.2 Mil. RWS Holdings's average shareholder tangible equity for the quarter that ended in Sep. 2023 was £34.5 Mil. Therefore, RWS Holdings's annualized Return-on-Tangible-Equity for the quarter that ended in Sep. 2023 was -281.74%.

The historical rank and industry rank for RWS Holdings's Return-on-Tangible-Equity or its related term are showing as below:

LSE:RWS' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -66.75   Med: 58.43   Max: 346.22
Current: -62.62

During the past 13 years, RWS Holdings's highest Return-on-Tangible-Equity was 346.22%. The lowest was -66.75%. And the median was 58.43%.

LSE:RWS's Return-on-Tangible-Equity is ranked worse than
95.1% of 1000 companies
in the Business Services industry
Industry Median: 12.235 vs LSE:RWS: -62.62

RWS Holdings Return-on-Tangible-Equity Historical Data

The historical data trend for RWS Holdings's Return-on-Tangible-Equity 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.

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RWS Holdings Return-on-Tangible-Equity Chart

RWS Holdings Annual Data
Trend Sep14 Sep15 Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22 Sep23
Return-on-Tangible-Equity
Get a 7-Day Free Trial Premium Member Only Premium Member Only Negative Tangible Equity Negative Tangible Equity 346.22 136.01 -66.75

RWS Holdings Semi-Annual Data
Mar14 Sep14 Mar15 Sep15 Mar16 Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23
Return-on-Tangible-Equity 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 186.67 228.02 204.18 73.72 -281.74

Competitive Comparison of RWS Holdings's Return-on-Tangible-Equity

For the Specialty Business Services subindustry, RWS Holdings's Return-on-Tangible-Equity, along with its competitors' market caps and Return-on-Tangible-Equity 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.


RWS Holdings's Return-on-Tangible-Equity Distribution in the Business Services Industry

For the Business Services industry and Industrials sector, RWS Holdings's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where RWS Holdings's Return-on-Tangible-Equity falls into.



RWS Holdings Return-on-Tangible-Equity Calculation

RWS Holdings's annualized Return-on-Tangible-Equity for the fiscal year that ended in Sep. 2023 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Sep. 2023 )  (A: Sep. 2022 )(A: Sep. 2023 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Sep. 2023 )  (A: Sep. 2022 )(A: Sep. 2023 )
=-27.7/( (63.7+19.3 )/ 2 )
=-27.7/41.5
=-66.75 %

RWS Holdings's annualized Return-on-Tangible-Equity for the quarter that ended in Sep. 2023 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Sep. 2023 )  (Q: Mar. 2023 )(Q: Sep. 2023 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Sep. 2023 )  (Q: Mar. 2023 )(Q: Sep. 2023 )
=-97.2/( (49.7+19.3)/ 2 )
=-97.2/34.5
=-281.74 %

* 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 Return-on-Tangible-Equity, the net income of the last fiscal year and the average total shareholder tangible 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. Return-on-Tangible-Equity is displayed in the 10-year financial page.


RWS Holdings  (LSE:RWS) Return-on-Tangible-Equity Explanation

Return-on-Tangible-Equity measures the rate of return on the ownership interest (shareholder's tangible equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' tangible equity (shareholders equity minus intangibles). Return-on-Tangible-Equity shows how well a company uses investment funds to generate earnings growth. Return-on-Tangible-Equitys between 15% and 20% are considered desirable.


Be Aware

Net Income is used.

Because a company can increase its Return-on-Tangible-Equity by having more financial leverage, it is important to watch the leverage ratio when investing in high Return-on-Tangible-Equity companies. Like Return-on-Tangible-Asset, Return-on-Tangible-Equity 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 Return-on-Tangible-Equitys can be extremely high.


RWS Holdings Return-on-Tangible-Equity Related Terms

Thank you for viewing the detailed overview of RWS Holdings's Return-on-Tangible-Equity provided by GuruFocus.com. Please click on the following links to see related term pages.


RWS Holdings (LSE:RWS) Business Description

Traded in Other Exchanges
Address
Europa House, Chiltern Park, Chiltern Hill, Chalfont Saint Peter, Buckinghamshire, GBR, SL9 9FG
RWS Holdings PLC is a United Kingdom-based company that provides patent translation, intellectual property, and language support services. The company operates in four reportable segments; Language Services, Regulated Industries, IP Services, and Language, and Content Technology. The majority of revenue is derived from the Language services segment. Geographically, it derives a majority of its revenue from the United States of America, while it also operates in Continental Europe, United States of America and Rest of the world.

RWS Holdings (LSE:RWS) Headlines

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