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Combined Motor Holdings (JSE:CMH) Return-on-Tangible-Equity : 25.17% (As of Feb. 2025)


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What is Combined Motor Holdings Return-on-Tangible-Equity?

Return-on-Tangible-Equity is calculated as Net Income divided by its average total shareholder tangible equity. Total shareholder tangible equity equals to Total Stockholders Equity minus Intangible Assets. Combined Motor Holdings's annualized net income for the quarter that ended in Feb. 2025 was R335 Mil. Combined Motor Holdings's average shareholder tangible equity for the quarter that ended in Feb. 2025 was R1,330 Mil. Therefore, Combined Motor Holdings's annualized Return-on-Tangible-Equity for the quarter that ended in Feb. 2025 was 25.17%.

The historical rank and industry rank for Combined Motor Holdings's Return-on-Tangible-Equity or its related term are showing as below:

JSE:CMH' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 20.47   Med: 33.41   Max: 40.03
Current: 22.68

During the past 13 years, Combined Motor Holdings's highest Return-on-Tangible-Equity was 40.03%. The lowest was 20.47%. And the median was 33.41%.

JSE:CMH's Return-on-Tangible-Equity is ranked better than
86.06% of 1263 companies
in the Vehicles & Parts industry
Industry Median: 7.75 vs JSE:CMH: 22.68

Combined Motor Holdings Return-on-Tangible-Equity Historical Data

The historical data trend for Combined Motor Holdings's Return-on-Tangible-Equity 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.

Combined Motor Holdings Return-on-Tangible-Equity Chart

Combined Motor Holdings Annual Data
Trend Feb16 Feb17 Feb18 Feb19 Feb20 Feb21 Feb22 Feb23 Feb24 Feb25
Return-on-Tangible-Equity
Get a 7-Day Free Trial Premium Member Only Premium Member Only 20.47 39.06 38.94 32.00 22.30

Combined Motor Holdings Semi-Annual Data
Aug15 Feb16 Aug16 Feb17 Aug17 Feb18 Aug18 Feb19 Aug19 Feb20 Aug20 Feb21 Aug21 Feb22 Aug22 Feb23 Aug23 Feb24 Aug24 Feb25
Return-on-Tangible-Equity 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 37.21 32.17 33.19 20.56 25.17

Competitive Comparison of Combined Motor Holdings's Return-on-Tangible-Equity

For the Auto & Truck Dealerships subindustry, Combined Motor Holdings's Return-on-Tangible-Equity, along with its competitors' market caps and Return-on-Tangible-Equity 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.


Combined Motor Holdings's Return-on-Tangible-Equity Distribution in the Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, Combined Motor Holdings's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where Combined Motor Holdings's Return-on-Tangible-Equity falls into.


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Combined Motor Holdings Return-on-Tangible-Equity Calculation

Combined Motor Holdings's annualized Return-on-Tangible-Equity for the fiscal year that ended in Feb. 2025 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Feb. 2025 )  (A: Feb. 2024 )(A: Feb. 2025 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Feb. 2025 )  (A: Feb. 2024 )(A: Feb. 2025 )
=301.492/( (1328.095+1376.463 )/ 2 )
=301.492/1352.279
=22.30 %

Combined Motor Holdings's annualized Return-on-Tangible-Equity for the quarter that ended in Feb. 2025 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Feb. 2025 )  (Q: Aug. 2024 )(Q: Feb. 2025 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Feb. 2025 )  (Q: Aug. 2024 )(Q: Feb. 2025 )
=334.65/( (1282.581+1376.463)/ 2 )
=334.65/1329.522
=25.17 %

* 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-Equity, the net income of the last fiscal year and the average total shareholder tangible equity over the fiscal year are used. In calculating the quarterly data, the net income data used here is two times the semi-annual (Feb. 2025) net income data. Return-on-Tangible-Equity is displayed in the 10-year financial page.


Combined Motor Holdings  (JSE:CMH) Return-on-Tangible-Equity Explanation

Return-on-Tangible-Equity measures the rate of return on the ownership interest (shareholder's tangible equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' tangible equity (shareholders equity minus intangibles). Return-on-Tangible-Equity shows how well a company uses investment funds to generate earnings growth. Return-on-Tangible-Equitys between 15% and 20% are considered desirable.


Be Aware

Net Income is used.

Because a company can increase its Return-on-Tangible-Equity by having more financial leverage, it is important to watch the leverage ratio when investing in high Return-on-Tangible-Equity companies. Like Return-on-Tangible-Asset, Return-on-Tangible-Equity is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Asset light businesses require very few assets to generate very high earnings. Their Return-on-Tangible-Equitys can be extremely high.


Combined Motor Holdings Return-on-Tangible-Equity Related Terms

Thank you for viewing the detailed overview of Combined Motor Holdings's Return-on-Tangible-Equity provided by GuruFocus.com. Please click on the following links to see related term pages.


Combined Motor Holdings Business Description

Traded in Other Exchanges
N/A
Address
1 Wilton Crescent, Umhlanga Ridge, Durban, ZAF, 4319
Combined Motor Holdings Ltd is a South Africa-based investment holding company. The company with its subsidiaries is engaged in retail motor, car hire, and financial services. The company operates in four business segments namely Motor retail and distribution segment which comprises of retail motor dealerships of Volvo, Land Rover, Jaguar, Honda, Ford, Mazda, General Motors, Lexus, Mitsubishi, Volkswagen, Toyota, and Morris Garages, among others which also contributes a majority part of revenue; Car Hire segment; Financial services segment and, Corporate services and others segment. The majority of its revenue is earned from the South African market.

Combined Motor Holdings Headlines

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