Micro Focus International (STU:M7Q7) Retained Earnings : €-1,123 Mil (As of Apr. 2022)

Micro Focus International Retained Earnings Chart

Micro Focus International Annual Data
	Trend	Apr11	Apr12	Apr13	Apr14	Apr15	Apr16	Apr17	Oct19	Oct20	Oct21
Retained Earnings		Get a 7-Day Free Trial					201.17	841.74	2,034.63	-630.11	-965.79

Micro Focus International Semi-Annual Data
	Apr12	Oct12	Apr13	Oct13	Apr14	Oct14	Apr15	Oct15	Apr16	Oct16	Apr17	Oct17	Apr18	Apr19	Oct19	Apr20	Oct20	Apr21	Oct21	Apr22
Retained Earnings	Get a 7-Day Free Trial															1,121.30	-630.11	-836.00	-965.79	-1,123.05

Micro Focus International 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.

Micro Focus International  (STU:M7Q7) 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.

Micro Focus International (STU:M7Q7) Business Description