Happy City HoldingsHCHL 13 ROA % is -72.44% as of Aug. 2025. GuruFocus rates HCHL with a GF Score™ of 13/100. The stock has 1 warning sign investors should review. Among 361 Restaurants companies, Happy City Holdings ranks worse than 96.12% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Happy City Holdings's annualizedNet Income for the quarter that ended in Aug. 2025 was $-5.43 Mil.
Happy City Holdings's average Total Assets over the quarter that ended in Aug. 2025 was $7.49 Mil. Therefore, Happy City Holdings's annualized ROA % for the quarter that ended in Aug. 2025 was -72.44%.
The historical rank and industry rank for Happy City Holdings's ROA % or its related term are showing as below:
HCHL'
s ROA % Range Over the Past 10 Years
Min: -33.18 Med: -26.87 Max: 23.97
Current: -33.18
During the past 3 years, Happy City Holdings's highest ROA % was 23.97%. The lowest was -33.18%. And the median was -26.87%.
HCHL's ROA % is ranked worse than 96.12% of 361
companies
in the Restaurants industry
Industry Median: 2.25
vs HCHL: -33.18
Happy City Holdings (NAS:HCHL) 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 (Aug. 2025) net income data. The Revenue data used here is two times the semi-annual (Aug. 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.
Happy City Holdings ROA % Related Terms
Happy City Holdings ROA % Historical Data
* Premium members only.
The historical data trend for Happy City Holdings'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.
Happy City Holdings ROA % Chart
Happy City Holdings Annual Data
Trend
Aug23
Aug24
Aug25
ROA %
-26.87
23.97
-32.41
Happy City Holdings Semi-Annual Data
Aug23
Feb24
Aug24
Feb25
Aug25
ROA %
0.00
-4.45
40.45
8.18
-72.44
HCHL vs RRGB, NDLS, MB: ROA % Comparison
For the Restaurants subindustry, Happy City Holdings'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.
Happy City Holdings ROA % vs Restaurants Industry
For the Restaurants industry and Consumer Cyclical sector, Happy City Holdings's ROA % distribution charts can be found below:
* The bar in red indicates where Happy City Holdings'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 (Aug. 2025) net income data.
ROA % is displayed in the 30-year financial page.
Happy City Holdings (HCHL) has a ROA % of -72.44% as of Aug. 2025. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Happy City Holdings and its competitors. According to the industry distribution chart, Happy City Holdings ranks #347 out of 361 companies in the Restaurants industry, placing it in the top 96.1%.
Is Happy City Holdings' ROA % too high?
Happy City Holdings' current ROA % is -72.44%. Based on the distribution chart, Happy City Holdings ranks #347 out of 361 companies in the Restaurants industry, which is in the bottom quartile relative to peers. Overall, Happy City Holdings has a GF Score™ of 13/100, reflecting its overall financial health beyond just this single metric.
How does Happy City Holdings' ROA % compare to RRGB and NDLS?
According to the Restaurants industry distribution chart, Happy City Holdings ranks #347 out of 361 companies for ROA %. This places Happy City Holdings in the lower half of its industry. The industry median ROA % is 2.25. 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 2.25, based on 361 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 Happy City Holdings and its competitors. For the Restaurants industry, the median ROA % is 2.25 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Happy City Holdings's current ROA % is -72.44%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Happy City Holdings stock overvalued right now?
Happy City Holdings (HCHL) has a current ROA % of -72.44%. The current ROA % is -72.44%. Happy City Holdings' overall GF Score™ is 13/100 with 1 warning sign 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 Happy City Holdings (HCHL), the current ROA % is -72.44% as of Aug. 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.
Happy City Holdings Ltd operates three all-you-can-eat hotpot restaurants and specializes in Thai and Japanese Hotpot under the brand names Thai Pot and Gyu! Gyu! Shabu Shabu in Hong Kong. These restaurants are located in Tsuen Wan in the New Territories, Mong Kok in Kowloon, and North Point on Hong Kong Island. The Company's of its operations are conducted in Hong Kong.
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