GURUFOCUS.COM » STOCK LIST » Financial Services » Banks » Prime Commercial Bank Ltd (XNEP:PCBL) » Definitions » Return-on-Tangible-Asset

Prime Commercial Bank (XNEP:PCBL) Return-on-Tangible-Asset : 1.90% (As of Oct. 2024)


View and export this data going back to 2009. Start your Free Trial

What is Prime Commercial Bank 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. Prime Commercial Bank's annualized Net Income for the quarter that ended in Oct. 2024 was NPR5,147 Mil. Prime Commercial Bank's average total tangible assets for the quarter that ended in Oct. 2024 was NPR271,278 Mil. Therefore, Prime Commercial Bank's annualized Return-on-Tangible-Asset for the quarter that ended in Oct. 2024 was 1.90%.

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

XNEP:PCBL' s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: 0.48   Med: 1.85   Max: 2.24
Current: 1.39

During the past 13 years, Prime Commercial Bank's highest Return-on-Tangible-Asset was 2.24%. The lowest was 0.48%. And the median was 1.85%.

XNEP:PCBL's Return-on-Tangible-Asset is ranked better than
74.51% of 1589 companies
in the Banks industry
Industry Median: 0.89 vs XNEP:PCBL: 1.39

Prime Commercial Bank Return-on-Tangible-Asset Historical Data

The historical data trend for Prime Commercial Bank'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.

Prime Commercial Bank Return-on-Tangible-Asset Chart

Prime Commercial Bank Annual Data
Trend Jul15 Jul16 Jul17 Jul18 Jul19 Jul20 Jul21 Jul22 Jul23 Jul24
Return-on-Tangible-Asset
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.77 1.91 1.39 0.48 1.44

Prime Commercial Bank Quarterly Data
Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24 Jul24 Oct24
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 Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 1.96 1.64 1.08 0.96 1.90

Competitive Comparison of Prime Commercial Bank's Return-on-Tangible-Asset

For the Banks - Regional subindustry, Prime Commercial Bank'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.


Prime Commercial Bank's Return-on-Tangible-Asset Distribution in the Banks Industry

For the Banks industry and Financial Services sector, Prime Commercial Bank's Return-on-Tangible-Asset distribution charts can be found below:

* The bar in red indicates where Prime Commercial Bank's Return-on-Tangible-Asset falls into.


;
;

Prime Commercial Bank Return-on-Tangible-Asset Calculation

Prime Commercial Bank's annualized Return-on-Tangible-Asset for the fiscal year that ended in Jul. 2024 is calculated as:

Return-on-Tangible-Asset=Net Income/( (Total Tangible Assets+Total Tangible Assets)/ count )
(A: Jul. 2024 )  (A: Jul. 2023 )(A: Jul. 2024 )
=Net Income/( (Total Assets - Intangible Assets+Total Assets - Intangible Assets)/ count )
(A: Jul. 2024 )  (A: Jul. 2023 )(A: Jul. 2024 )
=3507.895/( (220455.97+266628.462)/ 2 )
=3507.895/243542.216
=1.44 %

Prime Commercial Bank's annualized Return-on-Tangible-Asset for the quarter that ended in Oct. 2024 is calculated as:

Return-on-Tangible-Asset=Net Income/( (Total Tangible Assets+Total Tangible Assets)/ count )
(Q: Oct. 2024 )  (Q: Jul. 2024 )(Q: Oct. 2024 )
=Net Income/( (Total Assets - Intangible Assets+Total Assets - Intangible Assets)/ count )
(Q: Oct. 2024 )  (Q: Jul. 2024 )(Q: Oct. 2024 )
=5147.148/( (266628.462+275928.4)/ 2 )
=5147.148/271278.431
=1.90 %

* 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 (Oct. 2024) net income data.


Prime Commercial Bank  (XNEP:PCBL) 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.


Prime Commercial Bank Return-on-Tangible-Asset Related Terms

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


Prime Commercial Bank Business Description

Traded in Other Exchanges
N/A
Address
Kamalpokhari, Kathmandu, NPL
Prime Commercial Bank Ltd is a commercial bank in Nepal. The company's operating segment includes Banking Operation; Treasury; Card and Others. It generates maximum revenue from the Banking Operation segment. The company is engaged in providing personal banking, business banking, retail banking and other services including SMS banking, E-Banking services, and other remittance services.

Prime Commercial Bank Headlines

No Headlines