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Ramdevbaba Solvent (NSE:RBS) ROA % : 8.08% (As of Mar. 2023)


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What is Ramdevbaba Solvent ROA %?

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Ramdevbaba Solvent's annualized Net Income for the quarter that ended in Mar. 2023 was ₹130 Mil. Ramdevbaba Solvent's average Total Assets over the quarter that ended in Mar. 2023 was ₹1,610 Mil. Therefore, Ramdevbaba Solvent's annualized ROA % for the quarter that ended in Mar. 2023 was 8.08%.

The historical rank and industry rank for Ramdevbaba Solvent's ROA % or its related term are showing as below:

NSE:RBS's ROA % is not ranked *
in the Consumer Packaged Goods industry.
Industry Median: 3.45
* Ranked among companies with meaningful ROA % only.

Ramdevbaba Solvent ROA % Historical Data

The historical data trend for Ramdevbaba Solvent'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.

Ramdevbaba Solvent ROA % Chart

Ramdevbaba Solvent Annual Data
Trend Mar21 Mar22 Mar23
ROA %
6.09 5.67 8.08

Ramdevbaba Solvent Semi-Annual Data
Mar21 Mar22 Mar23
ROA % 6.09 5.67 8.08

Competitive Comparison of Ramdevbaba Solvent's ROA %

For the Packaged Foods subindustry, Ramdevbaba Solvent'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.


Ramdevbaba Solvent's ROA % Distribution in the Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Ramdevbaba Solvent's ROA % distribution charts can be found below:

* The bar in red indicates where Ramdevbaba Solvent's ROA % falls into.



Ramdevbaba Solvent ROA % Calculation

Ramdevbaba Solvent's annualized ROA % for the fiscal year that ended in Mar. 2023 is calculated as:

ROA %=Net Income (A: Mar. 2023 )/( (Total Assets (A: Mar. 2022 )+Total Assets (A: Mar. 2023 ))/ count )
=130.015/( (1313.486+1906.261)/ 2 )
=130.015/1609.8735
=8.08 %

Ramdevbaba Solvent's annualized ROA % for the quarter that ended in Mar. 2023 is calculated as:

ROA %=Net Income (Q: Mar. 2023 )/( (Total Assets (Q: Mar. 2022 )+Total Assets (Q: Mar. 2023 ))/ count )
=130.015/( (1313.486+1906.261)/ 2 )
=130.015/1609.8735
=8.08 %

* 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. 2023) net income data. ROA % is displayed in the 30-year financial page.


Ramdevbaba Solvent  (NSE:RBS) 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. 2023 )
=Net Income/Total Assets
=130.015/1609.8735
=(Net Income / Revenue)*(Revenue / Total Assets)
=(130.015 / 6977.526)*(6977.526 / 1609.8735)
=Net Margin %*Asset Turnover
=1.86 %*4.3342
=8.08 %

Note: The Net Income data used here is one times the annual (Mar. 2023) net income data. The Revenue data used here is one times the annual (Mar. 2023) 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.


Ramdevbaba Solvent ROA % Related Terms

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Ramdevbaba Solvent Business Description

Traded in Other Exchanges
N/A
Address
Central Avenue Road, Honey Arjun Kaushalya Tower, 2nd Floor, Block No. 205 and 206, Telephone Exchange Chowk, Near HDFC Bank, Nagpur, MH, IND, 440008
Ramdevbaba Solvent Ltd is engaged in the business of manufacturing, distribution, marketing and selling of Physically Refined Rice Bran Oil. It manufactures and sells Rice Bran Oil to FMCG companies. The company manufactures Rice Bran Oil under its own brands Tulsi and Sehat and sells through distributors who in turn sell to various retailers across Maharashtra. The company also produces De-oiled Rice Bran (DORB), which is a by-product in the extraction of Rice Bran Oil, and sells the same as cattle feed, poultry feed, and fish feed in the States of Maharashtra, Goa, Gujarat, Madhya Pradesh, Andhra Pradesh, Telangana, Karnataka, Kerala and Tamil Nadu. The company generates all of its revenue from the sale of products.

Ramdevbaba Solvent Headlines

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