ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. XJ International Holdings Co's annualizedNet Income for the quarter that ended in Feb. 2024 was HK$487 Mil.
XJ International Holdings Co's average Total Assets over the quarter that ended in Feb. 2024 was HK$23,863 Mil. Therefore, XJ International Holdings Co's annualized ROA % for the quarter that ended in Feb. 2024 was 2.04%.
The historical rank and industry rank for XJ International Holdings Co's ROA % or its related term are showing as below:
HKSE:01765'
s ROA % Range Over the Past 10 Years
Min: 0.03 Med: 3.08 Max: 5.07
Current: 0.03
During the past 6 years, XJ International Holdings Co's highest ROA % was 5.07%. The lowest was 0.03%. And the median was 3.08%.
HKSE:01765's ROA % is ranked worse than 64.18% of 268
companies
in the Education industry
Industry Median: 2.37
vs HKSE:01765: 0.03
XJ International Holdings Co ROA % Historical 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.
Competitive Comparison of XJ International Holdings Co's ROA %
For the Education & Training Services subindustry, XJ International Holdings Co'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.
XJ International Holdings Co's ROA % Distribution in the Education Industry
For the Education industry and Consumer Defensive sector, XJ International Holdings Co's ROA % distribution charts can be found below:
* The bar in red indicates where XJ International Holdings Co'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 (Feb. 2024) net income data.
ROA % is displayed in the 30-year financial page.
XJ International Holdings Co (HKSE:01765) 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 (Feb. 2024) net income data. The Revenue data used here is two times the semi-annual (Feb. 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.
XJ International Holdings Co ROA % Related Terms
Thank you for viewing the detailed overview of XJ International Holdings Co's ROA % provided by GuruFocus.com. Please click on the following links to see related term pages.
XJ International Holdings Co Ltd formerly Hope Education Group Co Ltd is an investment holding company engaged in providing educational services. The company operates higher educational schools which include universities and junior colleges. Some of its colleges are Southwest Jiaotong University Hope Colleges, Business College of Guizhou University of Finance and Economics, Sichuan TOP IT Vocational Institute, and One Technical College among others. Its operating segments are the Domestic education which is the key revenue generating segment, Global education segment and others. The company generates its revenue from tuition fees, boarding fees, sales of books and daily necessities, and others.
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