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Fedbank Financial Services (NSE:FEDFINA) Return-on-Tangible-Asset : 2.16% (As of Mar. 2025)


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What is Fedbank Financial Services Return-on-Tangible-Asset?

Return-on-Tangible-Asset is calculated as Net Income divided by its average total tangible assets. Total tangible assets equals to Total Assets minus Intangible Assets. Fedbank Financial Services's annualized Net Income for the quarter that ended in Mar. 2025 was ₹2,866 Mil. Fedbank Financial Services's average total tangible assets for the quarter that ended in Mar. 2025 was ₹132,461 Mil. Therefore, Fedbank Financial Services's annualized Return-on-Tangible-Asset for the quarter that ended in Mar. 2025 was 2.16%.

The historical rank and industry rank for Fedbank Financial Services's Return-on-Tangible-Asset or its related term are showing as below:

NSE:FEDFINA' s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: 1.13   Med: 1.85   Max: 2.42
Current: 1.83

During the past 5 years, Fedbank Financial Services's highest Return-on-Tangible-Asset was 2.42%. The lowest was 1.13%. And the median was 1.85%.

NSE:FEDFINA's Return-on-Tangible-Asset is ranked better than
51.3% of 538 companies
in the Credit Services industry
Industry Median: 1.69 vs NSE:FEDFINA: 1.83

Fedbank Financial Services Return-on-Tangible-Asset Historical Data

The historical data trend for Fedbank Financial Services's Return-on-Tangible-Asset 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.

Fedbank Financial Services Return-on-Tangible-Asset Chart

Fedbank Financial Services Annual Data
Trend Mar21 Mar22 Mar23 Mar24 Mar25
Return-on-Tangible-Asset
1.13 1.72 2.31 2.42 1.85

Fedbank Financial Services Quarterly Data
Mar21 Mar22 Jun22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
Return-on-Tangible-Asset Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 2.43 2.52 2.04 0.59 2.16

Competitive Comparison of Fedbank Financial Services's Return-on-Tangible-Asset

For the Credit Services subindustry, Fedbank Financial Services's Return-on-Tangible-Asset, along with its competitors' market caps and Return-on-Tangible-Asset 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.


Fedbank Financial Services's Return-on-Tangible-Asset Distribution in the Credit Services Industry

For the Credit Services industry and Financial Services sector, Fedbank Financial Services's Return-on-Tangible-Asset distribution charts can be found below:

* The bar in red indicates where Fedbank Financial Services's Return-on-Tangible-Asset falls into.


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Fedbank Financial Services Return-on-Tangible-Asset Calculation

Fedbank Financial Services's annualized Return-on-Tangible-Asset for the fiscal year that ended in Mar. 2025 is calculated as:

Return-on-Tangible-Asset=Net Income/( (Total Tangible Assets+Total Tangible Assets)/ count )
(A: Mar. 2025 )  (A: Mar. 2024 )(A: Mar. 2025 )
=Net Income/( (Total Assets - Intangible Assets+Total Assets - Intangible Assets)/ count )
(A: Mar. 2025 )  (A: Mar. 2024 )(A: Mar. 2025 )
=2251.8/( (111337.2+132461.4)/ 2 )
=2251.8/121899.3
=1.85 %

Fedbank Financial Services's annualized Return-on-Tangible-Asset for the quarter that ended in Mar. 2025 is calculated as:

Return-on-Tangible-Asset=Net Income/( (Total Tangible Assets+Total Tangible Assets)/ count )
(Q: Mar. 2025 )  (Q: Dec. 2024 )(Q: Mar. 2025 )
=Net Income/( (Total Assets - Intangible Assets+Total Assets - Intangible Assets)/ count )
(Q: Mar. 2025 )  (Q: Dec. 2024 )(Q: Mar. 2025 )
=2866/( (0+132461.4)/ 1 )
=2866/132461.4
=2.16 %

* 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-Asset, the net income of the last fiscal year and the average total tangible assets over the fiscal year are used. In calculating the quarterly data, the Net Income data used here is four times the quarterly (Mar. 2025) net income data.


Fedbank Financial Services  (NSE:FEDFINA) Return-on-Tangible-Asset Explanation

Return-on-Tangible-Asset measures the rate of return on the average total tangible assets (total assets minus intangible assets). Tangible means physical in nature. Intangible Assets are assets that are not physical in nature, and typically "derive their value from legal or intellectual rights." Return-on-Tangible-Asset measures a firm's efficiency at generating profits from its tangible assets. It shows how well a company uses what it has to generate earnings. Return-on-Tangible-Assets can vary drastically across industries. Therefore, Return-on-Tangible-Asset should not be used to compare companies in different industries.


Be Aware

Like ROE and ROA, Return-on-Tangible-Asset is calculated with only 12 months data. Fluctuations in the company’s earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective. Return-on-Tangible-Asset can be affected by events such as stock buyback or issuance, and by a company’s tax rate and its interest payment. Return-on-Tangible-Asset may not reflect the true earning power of the assets. A more accurate measurement is ROC % (ROC).

Many analysts argue the higher return the better. Buffett states that really high Return-on-Tangible-Asset may indicate vulnerability in the durability of the competitive advantage.


Fedbank Financial Services Return-on-Tangible-Asset Related Terms

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


Fedbank Financial Services Business Description

Traded in Other Exchanges
Address
Paspoli, Plot No. 71 A, Unit No. 1101, 11th Floor, Cignus, Powai, Mumbai, MH, IND, 400087
Fedbank Financial Services Ltd is a retail-focused non-banking finance company. It is focused on catering to the MSMEs and the emerging self-employed individuals (ESEIs) sector. It has a well-tailored suite of products targeted to match its customers' needs, which includes mortgage loans such as housing loans; small ticket loans against property (LAP); medium ticket LAP, unsecured business loans, and gold loans. It also has a Phygital doorstep model, a combination of digital and physical initiatives, for providing customized services to its customers across all of its products. The company's operations are classified into three business segments; the Retail Finance segment which derives the majority of its revenue, Distribution segment, and the Wholesale Finance segment.

Fedbank Financial Services Headlines

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