Encompass Design IndiaNSE:ENCOMPAS +0.33%20 ROA % is 17.30% as of Sep. 2025, which is 39% below its 10-year median of 28.17. GuruFocus rates NSE:ENCOMPAS with a GF Score™ of 20/100. The stock has 4 warning signs investors should review. Among 1,129 Retail - Cyclical companies, Encompass Design India ranks better than 81.22% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Encompass Design India's annualizedNet Income for the quarter that ended in Sep. 2025 was ₹100.9 Mil.
Encompass Design India's average Total Assets over the quarter that ended in Sep. 2025 was ₹583.4 Mil. Therefore, Encompass Design India's annualized ROA % for the quarter that ended in Sep. 2025 was 17.30%.
The historical rank and industry rank for Encompass Design India's ROA % or its related term are showing as below:
NSE:ENCOMPAS'
s ROA % Range Over the Past 10 Years
Min: -5.41 Med: 28.17 Max: 29.2
Current: 8.65
During the past 3 years, Encompass Design India's highest ROA % was 29.20%. The lowest was -5.41%. And the median was 28.17%.
NSE:ENCOMPAS's ROA % is ranked better than 81.22% of 1129
companies
in the Retail - Cyclical industry
Industry Median: 2.72
vs NSE:ENCOMPAS: 8.65
Encompass Design India (NSE:ENCOMPAS) 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 (Sep. 2025) net income data. The Revenue data used here is two times the semi-annual (Sep. 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.
* 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.
Encompass Design India ROA % Chart
Encompass Design India Annual Data
Trend
Mar23
Mar24
Mar25
ROA %
-5.41
29.20
28.17
Encompass Design India Semi-Annual Data
Mar23
Mar24
Mar25
Sep25
ROA %
0.00
0.00
0.00
17.30
NSE:ENCOMPAS vs HD, LOW, FND: ROA % Comparison
For the Home Improvement Retail subindustry, Encompass Design India'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.
Encompass Design India ROA % vs Retail - Cyclical Industry
For the Retail - Cyclical industry and Consumer Cyclical sector, Encompass Design India's ROA % distribution charts can be found below:
* The bar in red indicates where Encompass Design India'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 (Sep. 2025) net income data.
ROA % is displayed in the 30-year financial page.
Encompass Design India (NSE:ENCOMPAS) has a ROA % of 17.30% as of Sep. 2025. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Encompass Design India and its competitors. This is 39% below median its historical median of 28.17. According to the industry distribution chart, Encompass Design India ranks #212 out of 1129 companies in the Retail - Cyclical industry, placing it in the top 18.8%.
Is Encompass Design India's ROA % too high?
Encompass Design India's current ROA % of 17.30% is 39% below median its 10-year median of 28.17. The Retail - Cyclical industry median ROA % is 2.72. Encompass Design India's value of 17.30% is 536% above this industry median. Based on the distribution chart, Encompass Design India ranks #212 out of 1129 companies in the Retail - Cyclical industry, which is in the top quartile — a strong position relative to peers. Overall, Encompass Design India has a GF Score™ of 20/100, reflecting its overall financial health beyond just this single metric.
How does Encompass Design India's ROA % compare to HD and LOW?
According to the Retail - Cyclical industry distribution chart, Encompass Design India ranks #212 out of 1129 companies for ROA %. This places Encompass Design India in the top 19% of its industry — outperforming the majority of peers. The industry median ROA % is 2.72. Encompass Design India's value of 17.30% is 536% above this benchmark. While the company's 10-year median is 28.17 vs. the industry median of 2.72, Encompass Design India has consistently been above the industry average. 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 Retail - Cyclical company?
The median ROA % among Retail - Cyclical companies is 2.72, based on 1,129 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. Encompass Design India's current ROA % of 17.30% is 536% above the industry median. 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 Encompass Design India and its competitors. For the Retail - Cyclical industry, the median ROA % is 2.72 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Encompass Design India's current ROA % is 17.30%, which is 39% below median its own 10-year median of 28.17. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Encompass Design India stock overvalued right now?
Encompass Design India (NSE:ENCOMPAS) has a current ROA % of 17.30%. The current ROA % is 17.30%, which is 39% below median its 10-year median of 28.17 and 536% above the Retail - Cyclical industry median of 2.72. Encompass Design India's overall GF Score™ is 20/100 with 4 warning signs 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 Encompass Design India (NSE:ENCOMPAS), the current ROA % is 17.30% as of Sep. 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.
Encompass Design India Ltd is principally engaged in the manufacturing of home and lifestyle products, such as bed sheets, curtains, comforters, table linens, and pillow covers, as well as food products, with a primary focus on sauces, marketed under its own brands. The company is also involved in the trading of agro-based products, cotton, and fabrics. The company's business operations are spread across multiple segments, including manufacturing of home and lifestyle products, development and marketing of food products, trading of fabrics, cotton and agro-based products, and (iv) providing digital and e-commerce support services. The company derives revenue from the manufacturing and export of its Textile and Sauces Food brands.
20GF Score
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