Empee Sugars And Chemicals (BOM:500132) ROA %: -5.76% (As of Mar. 2018)

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What is Empee Sugars And Chemicals ROA %?

Empee Sugars And Chemicals BOM:500132 ROA % is -5.76% as of Mar. 2018.

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Empee Sugars And Chemicals's annualized Net Income for the quarter that ended in Mar. 2018 was ₹-299.9 Mil. Empee Sugars And Chemicals's average Total Assets over the quarter that ended in Mar. 2018 was ₹5,205.8 Mil. Therefore, Empee Sugars And Chemicals's annualized ROA % for the quarter that ended in Mar. 2018 was -5.76%.

The historical rank and industry rank for Empee Sugars And Chemicals's ROA % or its related term are showing as below:

BOM:500132's ROA % is not ranked *
in the Consumer Packaged Goods industry.
Industry Median: 3.3
* Ranked among companies with meaningful ROA % only.

Empee Sugars And Chemicals  (BOM:500132) 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 bank’s 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:

ROA %(Q: Mar. 2018 )
=Net Income/Total Assets
=-299.879/5205.778
=(Net Income / Revenue)*(Revenue / Total Assets)
=(-299.879 / 165.67)*(165.67 / 5205.778)
=Net Margin %*Asset Turnover
=-181.01 %*0.0318
=-5.76 %

Note: The Net Income data used here is one times the annual (Mar. 2018) net income data. The Revenue data used here is one times the annual (Mar. 2018) 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.


Empee Sugars And Chemicals ROA % Related Terms


Empee Sugars And Chemicals ROA % Historical Data

* Premium members only.

The historical data trend for Empee Sugars And Chemicals'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.

Empee Sugars And Chemicals ROA % Chart

Empee Sugars And Chemicals Annual Data
Trend Jun08 Mar09 Mar10 Mar11 Mar13 Mar14 Mar15 Mar16 Mar17 Mar18
ROA %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -5.18 -46.32 -21.72 -5.02 -5.76

Empee Sugars And Chemicals Semi-Annual Data
Jun07 Jun08 Mar10 Mar11 Mar13 Mar14 Mar15 Mar16 Mar17 Mar18
ROA % Get a 7-Day Free Trial Premium Member Only Premium Member Only -5.18 -46.32 -21.72 -5.02 -5.76

Empee Sugars And Chemicals ROA % Competitor Comparison

For the Confectioners subindustry, Empee Sugars And Chemicals'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.


Empee Sugars And Chemicals ROA % vs Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Empee Sugars And Chemicals's ROA % distribution charts can be found below:

* The bar in red indicates where Empee Sugars And Chemicals's ROA % falls into.



Empee Sugars And Chemicals ROA % Calculation

Empee Sugars And Chemicals's annualized ROA % for the fiscal year that ended in Mar. 2018 is calculated as:

ROA %=Net Income (A: Mar. 2018 )/( (Total Assets (A: Mar. 2017 )+Total Assets (A: Mar. 2018 ))/ count )
=-299.879/( (5249.319+5162.237)/ 2 )
=-299.879/5205.778
=-5.76 %

Empee Sugars And Chemicals's annualized ROA % for the quarter that ended in Mar. 2018 is calculated as:

ROA %=Net Income (Q: Mar. 2018 )/( (Total Assets (Q: Mar. 2017 )+Total Assets (Q: Mar. 2018 ))/ count )
=-299.879/( (5249.319+5162.237)/ 2 )
=-299.879/5205.778
=-5.76 %

* 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 one times the annual (Mar. 2018) net income data. ROA % is displayed in the 30-year financial page.

Frequently Asked Questions Learn more about ROA % →
What does a ROA % of -5.76% mean?
Empee Sugars And Chemicals (BOM:500132) has a ROA % of -5.76% as of Mar. 2018. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Empee Sugars And Chemicals and its competitors.
Is Empee Sugars And Chemicals' ROA % too high?
Empee Sugars And Chemicals' current ROA % is -5.76%.
How does Empee Sugars And Chemicals' ROA % compare to competitors?
Empee Sugars And Chemicals' ROA % of -5.76% can be compared against companies in the Consumer Packaged Goods industry. The industry median ROA % is 3.30. 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 Consumer Packaged Goods company?
The median ROA % among Consumer Packaged Goods companies is 3.30, based on 1,996 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 Empee Sugars And Chemicals and its competitors. For the Consumer Packaged Goods industry, the median ROA % is 3.30 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Empee Sugars And Chemicals's current ROA % is -5.76%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Empee Sugars And Chemicals stock overvalued right now?
Empee Sugars And Chemicals (BOM:500132) has a current ROA % of -5.76%. The current ROA % is -5.76%. 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 Empee Sugars And Chemicals (BOM:500132), the current ROA % is -5.76% as of Mar. 2018. 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.

Empee Sugars And Chemicals Business Description

Address No. 59, Harris Road, Empee Tower, Pudupet, Chennai, TN, IND, 600002
Empee Sugars And Chemicals Ltd engages in the manufacturing of sugar. The company operates sugar complex with downstream products like Molasses, Rectified Spirit / Extra Neutral Alcohol, Biomass Fertilizers, and Power. Its segments consist of Sugar, IAP, and Power. Majority of the revenue is derived from the sale of sugar and its by-products.