New World Resources (LSE:NWR) Retained Earnings: £-532.09 Mil (As of Dec. 2015)

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

What is New World Resources Retained Earnings?

New World Resources LSE:NWR Retained Earnings is £-532.09 Mil as of Dec. 2015. The stock has 4 warning signs investors should review.

Retained earnings is the accumulated portion of net income that is not distributed to shareholders. New World Resources's retained earnings for the quarter that ended in Dec. 2015 was £-532.09 Mil.

New World Resources's quarterly retained earnings declined from Jun. 2015 (£-356.79 Mil) to Sep. 2015 (£-383.63 Mil) and declined from Sep. 2015 (£-383.63 Mil) to Dec. 2015 (£-532.09 Mil).

New World Resources's annual retained earnings increased from Dec. 2013 (£-509.42 Mil) to Dec. 2014 (£-400.76 Mil) but then declined from Dec. 2014 (£-400.76 Mil) to Dec. 2015 (£-532.09 Mil).

New World Resources  (LSE:NWR) Retained Earnings Explanation

Historically profitable companies sometimes have negative retained earnings. This is because they have cumulatively paid out more to shareholders than they reported in profits.

For example, in 2011, Microsoft had negative retained earnings. This does not mean the company lost more money than it made over the years. It just means it paid out more money than it earned.

If a company has negative retained earnings, investors should check the 10-year financial results. They should not assume that negative retained earnings prove a company has generally lost money in the past.

Of course, many companies with negative retained earnings have indeed lost money in the past.

Retained Earnings: Warren Buffett's Secret.

One of the most important indicators of durable competitive advantage. Net earnings can be paid out as dividends, used to buy back shares or retained for growth.

If the company loses more than it has accumulated, retained earnings is negative.

If a company isn't adding to its retained earnings, it isn't growing its net worth.

Rate of growth of retained earnings is good indicator whether it's benefiting from a competitive advantage.

Microsoft is negative because it chose to buyback stock and pay dividends.

The more earnings retained, the faster it grows and increases growth rate for future earnings.

New World Resources Retained Earnings Historical Data

* Premium members only.

The historical data trend for New World Resources's Retained Earnings 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.

New World Resources Retained Earnings Chart

New World Resources Annual Data
Trend Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15
Retained Earnings
Get a 7-Day Free Trial Premium Member Only Premium Member Only 324.71 292.96 -509.42 -400.76 -532.09

New World Resources Quarterly Data
Mar11 Jun11 Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15
Retained Earnings 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 -400.76 -349.68 -356.79 -383.63 -532.09

New World Resources Retained Earnings Calculation

Retained Earnings is the accumulated portion of net income that is not distributed to shareholders. Because the net income was not distributed to shareholders, shareholders' equity is increased by the same amount.

Of course, if a company loses, it is called retained losses, or accumulated losses.

Frequently Asked Questions Learn more about Retained Earnings →
What does a Retained Earnings of £-532.09 Mil mean?
New World Resources (LSE:NWR) has a Retained Earnings of £-532.09 Mil as of Dec. 2015. Retained earnings is the amount of net income not issued to shareholders. View historical data on New World Resources and its competitors.
Is New World Resources' Retained Earnings too high?
New World Resources' current Retained Earnings is £-532.09 Mil.
How does New World Resources' Retained Earnings compare to WMLPQ?
New World Resources' Retained Earnings of £-532.09 Mil can be compared against companies in the Other Energy Sources industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Retained Earnings for an Other Energy Sources company?
A good Retained Earnings depends on the Other Energy Sources industry context. However, Retained Earnings should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Retained Earnings mean?
A high Retained Earnings can signal that a stock is expensive relative to its fundamentals. Retained earnings is the amount of net income not issued to shareholders. View historical data on New World Resources and its competitors. New World Resources's current Retained Earnings is £-532.09 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is New World Resources stock overvalued right now?
New World Resources (LSE:NWR) has a current Retained Earnings of £-532.09 Mil. The current Retained Earnings is £-532.09 Mil. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Retained Earnings calculated?
Retained Earnings is calculated from a company's financial statements. For New World Resources (LSE:NWR), the current Retained Earnings is £-532.09 Mil as of Dec. 2015. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

New World Resources Business Description

Address Herengracht 448, Amsterdam, NLD, 1017 CA
New World Resources PLC is a coking and thermal coal producer for the steel and energy sectors in Central Europe. The company's hard coal reserves are situated in the Upper Silesian basin, covering an area of approximately 120 square kilometers. The company's customer includes ArcelorMittal, U.S. Steel, voestalpine, Dalkia, CEZ, Verbund, Moravia Steel, and ThyssenKrupp. New World Resources operates in Czech Republic, Slovakia, Austria, Poland, and Germany.