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Frontier Developments (STU:5FD) Return-on-Tangible-Equity : -239.37% (As of Nov. 2023)


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What is Frontier Developments 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. Frontier Developments's annualized net income for the quarter that ended in Nov. 2023 was €-76.1 Mil. Frontier Developments's average shareholder tangible equity for the quarter that ended in Nov. 2023 was €31.8 Mil. Therefore, Frontier Developments's annualized Return-on-Tangible-Equity for the quarter that ended in Nov. 2023 was -239.37%.

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

STU:5FD' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -196.66   Med: 21.19   Max: 99.51
Current: -196.66

During the past 13 years, Frontier Developments's highest Return-on-Tangible-Equity was 99.51%. The lowest was -196.66%. And the median was 21.19%.

STU:5FD's Return-on-Tangible-Equity is ranked worse than
92.18% of 499 companies
in the Interactive Media industry
Industry Median: 3.55 vs STU:5FD: -196.66

Frontier Developments Return-on-Tangible-Equity Historical Data

The historical data trend for Frontier Developments'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.

Frontier Developments Return-on-Tangible-Equity Chart

Frontier Developments Annual Data
Trend May14 May15 May16 May17 May18 May19 May20 May21 May22 May23
Return-on-Tangible-Equity
Get a 7-Day Free Trial Premium Member Only Premium Member Only 57.43 38.52 50.90 21.70 -51.93

Frontier Developments Semi-Annual Data
May14 Nov14 May15 Nov15 May16 Nov16 May17 Nov17 May18 Nov18 May19 Nov19 May20 Nov20 May21 Nov21 May22 Nov22 May23 Nov23
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 -8.18 51.65 31.27 -159.75 -239.37

Competitive Comparison of Frontier Developments's Return-on-Tangible-Equity

For the Electronic Gaming & Multimedia subindustry, Frontier Developments'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.


Frontier Developments's Return-on-Tangible-Equity Distribution in the Interactive Media Industry

For the Interactive Media industry and Communication Services sector, Frontier Developments's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where Frontier Developments's Return-on-Tangible-Equity falls into.



Frontier Developments Return-on-Tangible-Equity Calculation

Frontier Developments's annualized Return-on-Tangible-Equity for the fiscal year that ended in May. 2023 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: May. 2023 )  (A: May. 2022 )(A: May. 2023 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: May. 2023 )  (A: May. 2022 )(A: May. 2023 )
=-24.011/( (55.933+36.548 )/ 2 )
=-24.011/46.2405
=-51.93 %

Frontier Developments's annualized Return-on-Tangible-Equity for the quarter that ended in Nov. 2023 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Nov. 2023 )  (Q: May. 2023 )(Q: Nov. 2023 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Nov. 2023 )  (Q: May. 2023 )(Q: Nov. 2023 )
=-76.078/( (36.548+27.018)/ 2 )
=-76.078/31.783
=-239.37 %

* 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 (Nov. 2023) net income data. Return-on-Tangible-Equity is displayed in the 10-year financial page.


Frontier Developments  (STU:5FD) 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.


Frontier Developments Return-on-Tangible-Equity Related Terms

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


Frontier Developments (STU:5FD) Business Description

Traded in Other Exchanges
Address
Milton Road, 26 Science Park, Cambridge, GBR, CB4 0FP
Frontier Developments PLC develops video games for the interactive entertainment sector. It develops games using its Cobra proprietary cross-platform technology along with industry-standard software packages, allowing code and resources developed on PC to be compiled. Its games include RollerCoaster Tycoon 3, LostWinds, Kinectimals, Kinect Disneyland Adventures and Coaster Crazy games. It has only one reportable segment: Self-Published Work. Business operations are based in the UK and its North American subsidiary, Frontier Developments Inc. in the US. The company has one operating segment, being revenue from publishing games and revenue from other streams such as royalties and licensing.

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