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Lowland Investment Co (LSE:LWI) ROA % : 13.95% (As of Sep. 2024)


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What is Lowland Investment Co ROA %?

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Lowland Investment Co's annualized Net Income for the quarter that ended in Sep. 2024 was £60.05 Mil. Lowland Investment Co's average Total Assets over the quarter that ended in Sep. 2024 was £430.39 Mil. Therefore, Lowland Investment Co's annualized ROA % for the quarter that ended in Sep. 2024 was 13.95%.

The historical rank and industry rank for Lowland Investment Co's ROA % or its related term are showing as below:

LSE:LWI' s ROA % Range Over the Past 10 Years
Min: -23.8   Med: 6.38   Max: 33.6
Current: 13.72

During the past 13 years, Lowland Investment Co's highest ROA % was 33.60%. The lowest was -23.80%. And the median was 6.38%.

LSE:LWI's ROA % is ranked better than
81.43% of 1680 companies
in the Asset Management industry
Industry Median: 5.05 vs LSE:LWI: 13.72

Lowland Investment Co ROA % Historical Data

The historical data trend for Lowland Investment Co'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.

Lowland Investment Co ROA % Chart

Lowland Investment Co Annual Data
Trend Sep15 Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22 Sep23 Sep24
ROA %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -23.80 33.60 -15.79 13.88 13.73

Lowland Investment Co Semi-Annual Data
Mar15 Sep15 Mar16 Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 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 -29.94 26.58 0.55 13.46 13.95

Competitive Comparison of Lowland Investment Co's ROA %

For the Asset Management subindustry, Lowland Investment 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.


Lowland Investment Co's ROA % Distribution in the Asset Management Industry

For the Asset Management industry and Financial Services sector, Lowland Investment Co's ROA % distribution charts can be found below:

* The bar in red indicates where Lowland Investment Co's ROA % falls into.



Lowland Investment Co ROA % Calculation

Lowland Investment Co's annualized ROA % for the fiscal year that ended in Sep. 2024 is calculated as:

ROA %=Net Income (A: Sep. 2024 )/( (Total Assets (A: Sep. 2023 )+Total Assets (A: Sep. 2024 ))/ count )
=57.572/( (398.16+440.206)/ 2 )
=57.572/419.183
=13.73 %

Lowland Investment Co's annualized ROA % for the quarter that ended in Sep. 2024 is calculated as:

ROA %=Net Income (Q: Sep. 2024 )/( (Total Assets (Q: Mar. 2024 )+Total Assets (Q: Sep. 2024 ))/ count )
=60.052/( (420.581+440.206)/ 2 )
=60.052/430.3935
=13.95 %

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


Lowland Investment Co  (LSE:LWI) 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
=60.052/430.3935
=(Net Income / Revenue)*(Revenue / Total Assets)
=(60.052 / 61.01)*(61.01 / 430.3935)
=Net Margin %*Asset Turnover
=98.43 %*0.1418
=13.95 %

Note: The Net Income data used here is two times the semi-annual (Sep. 2024) net income data. The Revenue data used here is two times the semi-annual (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.


Lowland Investment Co ROA % Related Terms

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Lowland Investment Co Business Description

Traded in Other Exchanges
N/A
Address
201 Bishopsgate, London, GBR, EC2M 3AE
Lowland Investment Co PLC is an investment firm. The company's investment objective is to give shareholders a higher than average return with the growth of both capital and income over the medium to long term. For this, it follows a policy of investing in the United Kingdom, Ireland, Canada, Germany, and Australia across various sectors such as industrials, financials, base materials, consumer services, oil and gas, consumer goods, healthcare, telecommunications, utilities and technology sectors.

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