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Holmarc Opto-Mechatronics (NSE:HOLMARC) ROA % : 15.49% (As of Mar. 2024)


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What is Holmarc Opto-Mechatronics ROA %?

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Holmarc Opto-Mechatronics's annualized Net Income for the quarter that ended in Mar. 2024 was ₹34.3 Mil. Holmarc Opto-Mechatronics's average Total Assets over the quarter that ended in Mar. 2024 was ₹221.6 Mil. Therefore, Holmarc Opto-Mechatronics's annualized ROA % for the quarter that ended in Mar. 2024 was 15.49%.

The historical rank and industry rank for Holmarc Opto-Mechatronics's ROA % or its related term are showing as below:

NSE:HOLMARC' s ROA % Range Over the Past 10 Years
Min: 5.52   Med: 13.46   Max: 22.78
Current: 15.49

During the past 4 years, Holmarc Opto-Mechatronics's highest ROA % was 22.78%. The lowest was 5.52%. And the median was 13.46%.

NSE:HOLMARC's ROA % is ranked better than
96.74% of 2486 companies
in the Hardware industry
Industry Median: 2.25 vs NSE:HOLMARC: 15.49

Holmarc Opto-Mechatronics ROA % Historical Data

The historical data trend for Holmarc Opto-Mechatronics'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.

Holmarc Opto-Mechatronics ROA % Chart

Holmarc Opto-Mechatronics Annual Data
Trend Mar21 Mar22 Mar23 Mar24
ROA %
5.52 11.43 22.78 15.49

Holmarc Opto-Mechatronics Semi-Annual Data
Mar21 Mar22 Mar23 Mar24
ROA % 5.52 11.43 22.78 15.49

Competitive Comparison of Holmarc Opto-Mechatronics's ROA %

For the Scientific & Technical Instruments subindustry, Holmarc Opto-Mechatronics'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.


Holmarc Opto-Mechatronics's ROA % Distribution in the Hardware Industry

For the Hardware industry and Technology sector, Holmarc Opto-Mechatronics's ROA % distribution charts can be found below:

* The bar in red indicates where Holmarc Opto-Mechatronics's ROA % falls into.



Holmarc Opto-Mechatronics ROA % Calculation

Holmarc Opto-Mechatronics's annualized ROA % for the fiscal year that ended in Mar. 2024 is calculated as:

ROA %=Net Income (A: Mar. 2024 )/( (Total Assets (A: Mar. 2023 )+Total Assets (A: Mar. 2024 ))/ count )
=34.328/( (165.886+277.222)/ 2 )
=34.328/221.554
=15.49 %

Holmarc Opto-Mechatronics's annualized ROA % for the quarter that ended in Mar. 2024 is calculated as:

ROA %=Net Income (Q: Mar. 2024 )/( (Total Assets (Q: Mar. 2023 )+Total Assets (Q: Mar. 2024 ))/ count )
=34.328/( (165.886+277.222)/ 2 )
=34.328/221.554
=15.49 %

* 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 one times the annual (Mar. 2024) net income data. ROA % is displayed in the 30-year financial page.


Holmarc Opto-Mechatronics  (NSE:HOLMARC) 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: Mar. 2024 )
=Net Income/Total Assets
=34.328/221.554
=(Net Income / Revenue)*(Revenue / Total Assets)
=(34.328 / 334.612)*(334.612 / 221.554)
=Net Margin %*Asset Turnover
=10.26 %*1.5103
=15.49 %

Note: The Net Income data used here is one times the annual (Mar. 2024) net income data. The Revenue data used here is one times the annual (Mar. 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.


Holmarc Opto-Mechatronics ROA % Related Terms

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Holmarc Opto-Mechatronics (NSE:HOLMARC) Business Description

Traded in Other Exchanges
N/A
Address
Building No. 11/490, B-7, HMT Industrial Estate, Kalamassery, Kanayanoor Taluk, Ernakulam, KL, IND, 683503
Holmarc Opto-Mechatronics Ltd is engaged in manufacturing a variety of scientific and engineering instruments for research, industry and education i.e. Imaging Instruments, Measuring Instruments, Spectroscopy, Analytical Instruments, Lab Instruments, Physics Lab Instruments, Breadboard/Table Tops, Opto-mechanics, Optics, Linear & Rotation Stages, Motorized Linear & Rotation Stages, Industrial Automation etc.

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