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Thaai Casting (NSE:TCL) ROA % : 22.42% (As of Mar. 2024)


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What is Thaai Casting ROA %?

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Thaai Casting's annualized Net Income for the quarter that ended in Mar. 2024 was ₹213.2 Mil. Thaai Casting's average Total Assets over the quarter that ended in Mar. 2024 was ₹951.1 Mil. Therefore, Thaai Casting's annualized ROA % for the quarter that ended in Mar. 2024 was 22.42%.

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

NSE:TCL' s ROA % Range Over the Past 10 Years
Min: 1.7   Med: 7.33   Max: 11.21
Current: 11.21

During the past 4 years, Thaai Casting's highest ROA % was 11.21%. The lowest was 1.70%. And the median was 7.33%.

NSE:TCL's ROA % is ranked better than
90.47% of 1312 companies
in the Vehicles & Parts industry
Industry Median: 3.05 vs NSE:TCL: 11.21

Thaai Casting ROA % Historical Data

The historical data trend for Thaai Casting'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.

Thaai Casting ROA % Chart

Thaai Casting Annual Data
Trend Mar21 Mar22 Mar23 Mar24
ROA %
1.70 3.76 10.89 11.21

Thaai Casting Semi-Annual Data
Mar21 Mar22 Mar23 Mar24
ROA % 3.39 7.53 21.78 22.42

Competitive Comparison of Thaai Casting's ROA %

For the Auto Parts subindustry, Thaai Casting'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.


Thaai Casting's ROA % Distribution in the Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, Thaai Casting's ROA % distribution charts can be found below:

* The bar in red indicates where Thaai Casting's ROA % falls into.



Thaai Casting ROA % Calculation

Thaai Casting'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 )
=106.601/( (549.852+1352.322)/ 2 )
=106.601/951.087
=11.21 %

Thaai Casting'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 )
=213.202/( (549.852+1352.322)/ 2 )
=213.202/951.087
=22.42 %

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


Thaai Casting  (NSE:TCL) 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
=213.202/951.087
=(Net Income / Revenue)*(Revenue / Total Assets)
=(213.202 / 1419.228)*(1419.228 / 951.087)
=Net Margin %*Asset Turnover
=15.02 %*1.4922
=22.42 %

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


Thaai Casting ROA % Related Terms

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Thaai Casting Business Description

Traded in Other Exchanges
N/A
Address
7th Cross Street, No. A-20 SIPCOT Industrial Park, Pillaipakkam, Tiruvallur, Sriperumbudur, TN, IND, 602105
Thaai Casting Ltd is a distinguished automotive ancillary company, specializing in high-pressure Die Casting, as well as the precision Machining of both Ferrous and Non-Ferrous materials and Induction heating and quenching. Its products portfolio encompasses a diverse range of Automobile components, including Engine Mounting Support Brackets, Transmission Mounts, Fork Shift and Housing, Armature Steering Wheel, Electrical Connectors, YFG Base Frame (Right-hand drive side/Left-hand drive side), Housing, Top Cover, and more.

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