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Quest Laboratories (NSE:QUESTLAB) Return-on-Tangible-Asset : 15.90% (As of Mar. 2024)


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What is Quest Laboratories 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. Quest Laboratories's annualized Net Income for the quarter that ended in Mar. 2024 was ₹93.8 Mil. Quest Laboratories's average total tangible assets for the quarter that ended in Mar. 2024 was ₹589.9 Mil. Therefore, Quest Laboratories's annualized Return-on-Tangible-Asset for the quarter that ended in Mar. 2024 was 15.90%.

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

NSE:QUESTLAB's Return-on-Tangible-Asset is not ranked *
in the Drug Manufacturers industry.
Industry Median: 2.67
* Ranked among companies with meaningful Return-on-Tangible-Asset only.

Quest Laboratories Return-on-Tangible-Asset Historical Data

The historical data trend for Quest Laboratories'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.

Quest Laboratories Return-on-Tangible-Asset Chart

Quest Laboratories Annual Data
Trend Mar21 Mar22 Mar23 Mar24
Return-on-Tangible-Asset
3.56 15.43 12.34 19.00

Quest Laboratories Quarterly Data
Mar21 Mar22 Mar23 Sep23 Dec23 Mar24
Return-on-Tangible-Asset Get a 7-Day Free Trial - - - 9.38 15.90

Competitive Comparison of Quest Laboratories's Return-on-Tangible-Asset

For the Drug Manufacturers - General subindustry, Quest Laboratories'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.


Quest Laboratories's Return-on-Tangible-Asset Distribution in the Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Quest Laboratories's Return-on-Tangible-Asset distribution charts can be found below:

* The bar in red indicates where Quest Laboratories's Return-on-Tangible-Asset falls into.


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Quest Laboratories Return-on-Tangible-Asset Calculation

Quest Laboratories's annualized Return-on-Tangible-Asset for the fiscal year that ended in Mar. 2024 is calculated as:

Return-on-Tangible-Asset=Net Income/( (Total Tangible Assets+Total Tangible Assets)/ count )
(A: Mar. 2024 )  (A: Mar. 2023 )(A: Mar. 2024 )
=Net Income/( (Total Assets - Intangible Assets+Total Assets - Intangible Assets)/ count )
(A: Mar. 2024 )  (A: Mar. 2023 )(A: Mar. 2024 )
=100.939/( (469.418+592.91)/ 2 )
=100.939/531.164
=19.00 %

Quest Laboratories's annualized Return-on-Tangible-Asset for the quarter that ended in Mar. 2024 is calculated as:

Return-on-Tangible-Asset=Net Income/( (Total Tangible Assets+Total Tangible Assets)/ count )
(Q: Mar. 2024 )  (Q: Dec. 2023 )(Q: Mar. 2024 )
=Net Income/( (Total Assets - Intangible Assets+Total Assets - Intangible Assets)/ count )
(Q: Mar. 2024 )  (Q: Dec. 2023 )(Q: Mar. 2024 )
=93.784/( (586.909+592.91)/ 2 )
=93.784/589.9095
=15.90 %

* 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. 2024) net income data.


Quest Laboratories  (NSE:QUESTLAB) 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.


Quest Laboratories Return-on-Tangible-Asset Related Terms

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Quest Laboratories Business Description

Traded in Other Exchanges
N/A
Address
Plot No. 45, Sector III, Pithampur Industrial Area, District Dhar, Pithampur, MP, IND, 454775
Quest Laboratories Ltd is engaged in the business of manufacturing pharmaceutical formulations across a broad spectrum, including antibiotics, antimalarials, antispasmodics, anti-inflammatories, antiemetics, respiratory medications, diabetes treatments, antidepressants, and more. It produces various products, comprising ethical drugs, generic drugs, and over-the-counter drugs, and is also available in various forms such as tablets, liquid orals, oral dry powders, oral powders (ORS), ointments, and external liquids.

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