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Universal Starch-Chem Allied (BOM:524408) ROA % : 13.98% (As of Dec. 2024)


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What is Universal Starch-Chem Allied ROA %?

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Universal Starch-Chem Allied's annualized Net Income for the quarter that ended in Dec. 2024 was ₹281 Mil. Universal Starch-Chem Allied's average Total Assets over the quarter that ended in Dec. 2024 was ₹2,008 Mil. Therefore, Universal Starch-Chem Allied's annualized ROA % for the quarter that ended in Dec. 2024 was 13.98%.

The historical rank and industry rank for Universal Starch-Chem Allied's ROA % or its related term are showing as below:

BOM:524408' s ROA % Range Over the Past 10 Years
Min: -4.02   Med: 0.78   Max: 6.31
Current: 1.48

During the past 13 years, Universal Starch-Chem Allied's highest ROA % was 6.31%. The lowest was -4.02%. And the median was 0.78%.

BOM:524408's ROA % is ranked worse than
59.69% of 258 companies
in the Agriculture industry
Industry Median: 2.79 vs BOM:524408: 1.48

Universal Starch-Chem Allied ROA % Historical Data

The historical data trend for Universal Starch-Chem Allied'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.

* Premium members only.

Universal Starch-Chem Allied ROA % Chart

Universal Starch-Chem Allied Annual Data
Trend Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
ROA %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.43 3.83 6.31 3.02 3.26

Universal Starch-Chem Allied Quarterly Data
Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24
ROA % 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 -1.76 5.22 2.62 -16.37 13.98

Competitive Comparison of Universal Starch-Chem Allied's ROA %

For the Agricultural Inputs subindustry, Universal Starch-Chem Allied'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.


Universal Starch-Chem Allied's ROA % Distribution in the Agriculture Industry

For the Agriculture industry and Basic Materials sector, Universal Starch-Chem Allied's ROA % distribution charts can be found below:

* The bar in red indicates where Universal Starch-Chem Allied's ROA % falls into.


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Universal Starch-Chem Allied ROA % Calculation

Universal Starch-Chem Allied's annualized ROA % for the fiscal year that ended in Mar. 2024 is calculated as:

ROA %=Net Income (A: Mar. 2024 )/( (Total Assets (A: Mar. 2023 )+Total Assets (A: Mar. 2024 ))/ count )
=69.854/( (2043.431+2239.687)/ 2 )
=69.854/2141.559
=3.26 %

Universal Starch-Chem Allied's annualized ROA % for the quarter that ended in Dec. 2024 is calculated as:

ROA %=Net Income (Q: Dec. 2024 )/( (Total Assets (Q: Sep. 2024 )+Total Assets (Q: Dec. 2024 ))/ count )
=280.824/( (2008.259+0)/ 1 )
=280.824/2008.259
=13.98 %

* 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 four times the quarterly (Dec. 2024) net income data. ROA % is displayed in the 30-year financial page.


Universal Starch-Chem Allied  (BOM:524408) 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: Dec. 2024 )
=Net Income/Total Assets
=280.824/2008.259
=(Net Income / Revenue)*(Revenue / Total Assets)
=(280.824 / 5142.288)*(5142.288 / 2008.259)
=Net Margin %*Asset Turnover
=5.46 %*2.5606
=13.98 %

Note: The Net Income data used here is four times the quarterly (Dec. 2024) net income data. The Revenue data used here is four times the quarterly (Dec. 2024) 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.


Universal Starch-Chem Allied ROA % Related Terms

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Universal Starch-Chem Allied Business Description

Traded in Other Exchanges
N/A
Address
Senapati Bapat Marg, Mhatre Pen Building, B Wing, 2nd Floor, Dadar (West), Mumbai, MH, IND, 400028
Universal Starch-Chem Allied Ltd engages in the manufacturing of Starches and their derivatives and other By-Products. It manufactures maize products and processes maize into other value-added products. The Company is engaged in developing, manufacturing, and distributing Maize Starch Powder, White Dextrin, Pregelatinized Starch, Modified Starch, Liquid Glucose, Dextrose Syrup, Dextrose Monohydrate, Dextrose Anhydrous, Maize Germ, Maize Glutton, Maize Husk as its bye products in the market.

Universal Starch-Chem Allied Headlines

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