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IPSI (Innovative Payment Solutions) ROA % : -674.34% (As of Sep. 2024)


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What is Innovative Payment Solutions ROA %?

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Innovative Payment Solutions's annualized Net Income for the quarter that ended in Sep. 2024 was $-6.91 Mil. Innovative Payment Solutions's average Total Assets over the quarter that ended in Sep. 2024 was $1.03 Mil. Therefore, Innovative Payment Solutions's annualized ROA % for the quarter that ended in Sep. 2024 was -674.34%.

The historical rank and industry rank for Innovative Payment Solutions's ROA % or its related term are showing as below:

IPSI' s ROA % Range Over the Past 10 Years
Min: -856.81   Med: -338.12   Max: -147.37
Current: -465.04

During the past 11 years, Innovative Payment Solutions's highest ROA % was -147.37%. The lowest was -856.81%. And the median was -338.12%.

IPSI's ROA % is ranked worse than
98.79% of 2821 companies
in the Software industry
Industry Median: 1.53 vs IPSI: -465.04

Innovative Payment Solutions ROA % Historical Data

The historical data trend for Innovative Payment Solutions'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.

Innovative Payment Solutions ROA % Chart

Innovative Payment Solutions Annual Data
Trend Oct14 Oct15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
ROA %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -348.18 -856.81 -418.80 -217.14 -328.05

Innovative Payment Solutions Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
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 -306.53 -686.07 -155.58 -334.42 -674.34

Competitive Comparison of Innovative Payment Solutions's ROA %

For the Software - Infrastructure subindustry, Innovative Payment Solutions'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.


Innovative Payment Solutions's ROA % Distribution in the Software Industry

For the Software industry and Technology sector, Innovative Payment Solutions's ROA % distribution charts can be found below:

* The bar in red indicates where Innovative Payment Solutions's ROA % falls into.



Innovative Payment Solutions ROA % Calculation

Innovative Payment Solutions's annualized ROA % for the fiscal year that ended in Dec. 2023 is calculated as:

ROA %=Net Income (A: Dec. 2023 )/( (Total Assets (A: Dec. 2022 )+Total Assets (A: Dec. 2023 ))/ count )
=-5.836/( (2.753+0.805)/ 2 )
=-5.836/1.779
=-328.05 %

Innovative Payment Solutions's annualized ROA % for the quarter that ended in Sep. 2024 is calculated as:

ROA %=Net Income (Q: Sep. 2024 )/( (Total Assets (Q: Jun. 2024 )+Total Assets (Q: Sep. 2024 ))/ count )
=-6.912/( (1.012+1.038)/ 2 )
=-6.912/1.025
=-674.34 %

* 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 (Sep. 2024) net income data. ROA % is displayed in the 30-year financial page.


Innovative Payment Solutions  (OTCPK:IPSI) 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: Sep. 2024 )
=Net Income/Total Assets
=-6.912/1.025
=(Net Income / Revenue)*(Revenue / Total Assets)
=(-6.912 / 0)*(0 / 1.025)
=Net Margin %*Asset Turnover
=N/A %*0
=-674.34 %

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


Innovative Payment Solutions ROA % Related Terms

Thank you for viewing the detailed overview of Innovative Payment Solutions's ROA % provided by GuruFocus.com. Please click on the following links to see related term pages.


Innovative Payment Solutions Business Description

Traded in Other Exchanges
N/A
Address
56B 5th Street, Lot 1, Suite AT, Carmel by the Sea, CA, USA, 93921
Innovative Payment Solutions Inc provides an integrated network of kiosks, terminals, and payment channels that enable consumers to deposit cash, convert it into a digital form, and remit the funds to any merchant in its network quickly and securely. IPSIPay is a digital payment platform connects and empowers businesses and consumers, freelancers and merchants, those with bank accounts and those without.
Executives
Richard Rosenblum 10 percent owner, other: President and CFO 19 HORIZON DRIVE, WAYNE NJ 07470
David F Rios director 14924 DIDUCA WAY, LOS GATOS CA 95032
Clifford W. Henry director PO BOX 1148, ZEPHYR COVE NV 89449-1148
Madisson Gracee Corbett director 19355 BUSINESS CENTER DRIVE., #9, NORTHRIDGE CA 91324
James W Fuller director C/O BAYTREE CAPITAL ASSOCIATES LLC, 40 WALL STREET, 58TH FLOOR, NEW YORK NY 10005
Andrey Novikov director, officer: CHIEF TECHNOLOGY OFFICER 19355 BUSINESS CENTER DRIVE , #9, NORTHRIDG CA 91324
William D. Corbett director, officer: Chief Executive Officer 1720 W DIVISION STREET, 3RD FLOOR, CHICAGO IL 606622
Jimmy I Gibbs 10 percent owner 9855 WARREN H. ABERNATHY HIGHWAY, SPARTANBURG SC 29301
Mark John Korb officer: Chief Financial Officer 1900 GLADES ROAD, SUITE 435, BOCA RATON FL 33431
Gaston Singh Pereira director, officer: Chairman of the Board and CEO 1900 GLADES ROAD, SUITE 265, BOCA RATON FL 33431
Sarmad Singh Harake director 1900 GLADES ROAD, SUITE 265, BOCA RATON NY 33431

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