ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Collins Foods's annualizedNet Income for the quarter that ended in Apr. 2025 was A$-31 Mil.
Collins Foods's average Total Assets over the quarter that ended in Apr. 2025 was A$1,452 Mil. Therefore, Collins Foods's annualized ROA % for the quarter that ended in Apr. 2025 was -2.11%.
The historical rank and industry rank for Collins Foods's ROA % or its related term are showing as below:
ASX:CKF'
s ROA % Range Over the Past 10 Years
Min: 0.61 Med: 4.87 Max: 6.95
Current: 0.61
During the past 13 years, Collins Foods's highest ROA % was 6.95%. The lowest was 0.61%. And the median was 4.87%.
ASX:CKF's ROA % is ranked worse than 61.85% of 367
companies
in the Restaurants industry
Industry Median: 2.15
vs ASX:CKF: 0.61
Collins Foods (ASX:CKF) ROA % Explanation
ROA % measures the rate of return on the total assets (shareholder equity plus liabilities). It measures a firm's efficiency at generating profits from shareholders' equity plus its liabilities. ROA % shows how well a company uses what it has to generate earnings. ROA %s can vary drastically across industries. Therefore, ROA % should not be used to compare companies in different industries. For retailers, a ROA % of higher than 5% is expected. For example, Wal-Mart (WMT) has a ROA % of about 8% as of 2012. For banks, ROA % is close to their interest spread. A banks ROA % is typically well under 2%.
Similar to ROE, ROA % is affected by profit margins and asset turnover. This can be seen from the Du Pont Formula:
Note:
The Net Income data used here is two times the semi-annual (Apr. 2025) net income data. The Revenue data used here is two times the semi-annual (Apr. 2025) revenue data.
* 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.
Be Aware
Like ROE, ROA % 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. ROA % can be affected by events such as stock buyback or issuance, and by goodwill, a company's tax rate and its interest payment. ROA % 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 ROA % may indicate vulnerability in the durability of the competitive advantage.
E.g. Raising $43b to take on KO is impossible, but $1.7b to take on Moody's is. Although Moody's ROA % and underlying economics is far superior to Coca Cola, the durability is far weaker because of lower entry cost.
Collins Foods ROA % Related Terms
Collins Foods ROA % Historical Data
* Premium members only.
The historical data trend for Collins Foods's ROA % 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.
For the Restaurants subindustry, Collins Foods's ROA %, along with its competitors' market caps and ROA % 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.
Collins Foods ROA % vs Restaurants Industry
For the Restaurants industry and Consumer Cyclical sector, Collins Foods's ROA % distribution charts can be found below:
* The bar in red indicates where Collins Foods's ROA % falls into.
* 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 ROA %, the net income of the last fiscal year and the average total assets over the fiscal year are used. In calculating the quarterly data,
the Net Income data used here is two times the semi-annual (Apr. 2025) net income data.
ROA % is displayed in the 30-year financial page.
Collins Foods (ASX:CKF) has a ROA % of -2.11% as of Apr. 2025. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Collins Foods and its competitors. Over the past decade, Collins Foods' ROA % has ranged from 0.61 to 6.95. According to the industry distribution chart, Collins Foods ranks #227 out of 367 companies in the Restaurants industry, placing it in the top 61.9%.
Is Collins Foods' ROA % too high?
Collins Foods' current ROA % is -2.11%. Over the past 10 years, this metric has ranged from a low of 0.61 to a high of 6.95. Based on the distribution chart, Collins Foods ranks #227 out of 367 companies in the Restaurants industry, which is below the industry midpoint. Overall, Collins Foods has a GF Score™ of 82/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Collins Foods' ROA % compare to MCD and SBUX?
According to the Restaurants industry distribution chart, Collins Foods ranks #227 out of 367 companies for ROA %. This places Collins Foods in the lower half of its industry. The industry median ROA % is 2.15. Historically, Collins Foods' own ROA % has ranged from 0.61 to 6.95 over the past decade. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROA % for a Restaurants company?
The median ROA % among Restaurants companies is 2.15, based on 367 companies in the industry. Companies in the top quartile (top 25%) have a ROA % significantly above this median, while those in the bottom quartile fall well below. However, ROA % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROA % mean?
A high ROA % can signal that a stock is expensive relative to its fundamentals. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Collins Foods and its competitors. For the Restaurants industry, the median ROA % is 2.15 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Collins Foods's current ROA % is -2.11%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Collins Foods stock overvalued right now?
Based on GuruFocus' analysis, Collins Foods (ASX:CKF) is currently considered Modestly Undervalued. The stock's GF Value™ is A$10.34, compared to a current price of A$8.27 — trading 20% below its estimated fair value. The current ROA % is -2.11%. Collins Foods' overall GF Score™ is 82/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROA % calculated?
ROA % is calculated from a company's financial statements. For Collins Foods (ASX:CKF), the current ROA % is -2.11% as of Apr. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Collins Foods (ASX:CKF) Overvalued in 2026?
Based on GuruFocus' analysis, Collins Foods stock appears to be undervalued.
The current stock price of A$8.27 is trading 20% below its estimated GF Value™ of A$10.34.
GuruFocus considers Collins Foods to be Modestly Undervalued.
Key valuation signals for ASX:CKF:
ROA %: -2.11%
GF Value™: A$10.34 vs. price of A$8.27 (20% below fair value)
No single metric tells the full story. See the ASX:CKF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Collins Foods is an operator of quick service restaurants, or QSRs. It franchises restaurant brands from US-listed Yum Brands, including KFC in Australia, Germany, and the Netherlands. Revenue and earnings are largely generated in Australia, where Collins is the largest KFC franchisee. Earnings growth is underpinned by its store network expansion, both new restaurants and acquisitions of existing sites. Competitive pricing is key to maintaining share in the QSR market, and the company has generally increased at or below consumer price index growth.
82GF Score
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