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Japan Prime Realty Investment (TSE:8955) ROA % : 3.27% (As of Dec. 2024)


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What is Japan Prime Realty Investment ROA %?

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Japan Prime Realty Investment's annualized Net Income for the quarter that ended in Dec. 2024 was 円17,582 Mil. Japan Prime Realty Investment's average Total Assets over the quarter that ended in Dec. 2024 was 円537,571 Mil. Therefore, Japan Prime Realty Investment's annualized ROA % for the quarter that ended in Dec. 2024 was 3.27%.

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

TSE:8955' s ROA % Range Over the Past 10 Years
Min: 2.73   Med: 3.1   Max: 3.4
Current: 3.09

During the past 13 years, Japan Prime Realty Investment's highest ROA % was 3.40%. The lowest was 2.73%. And the median was 3.10%.

TSE:8955's ROA % is ranked better than
54.8% of 927 companies
in the REITs industry
Industry Median: 2.69 vs TSE:8955: 3.09

Japan Prime Realty Investment ROA % Historical Data

The historical data trend for Japan Prime Realty Investment'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.

Japan Prime Realty Investment ROA % Chart

Japan Prime Realty Investment Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
ROA %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 3.22 3.27 3.40 3.04 3.11

Japan Prime Realty Investment Semi-Annual Data
Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24
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 3.34 3.18 2.88 2.88 3.27

Competitive Comparison of Japan Prime Realty Investment's ROA %

For the REIT - Diversified subindustry, Japan Prime Realty Investment'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.


Japan Prime Realty Investment's ROA % Distribution in the REITs Industry

For the REITs industry and Real Estate sector, Japan Prime Realty Investment's ROA % distribution charts can be found below:

* The bar in red indicates where Japan Prime Realty Investment's ROA % falls into.



Japan Prime Realty Investment ROA % Calculation

Japan Prime Realty Investment's annualized ROA % for the fiscal year that ended in Dec. 2024 is calculated as:

ROA %=Net Income (A: Dec. 2024 )/( (Total Assets (A: Dec. 2023 )+Total Assets (A: Dec. 2024 ))/ count )
=16321.436/( (510802.543+538271.324)/ 2 )
=16321.436/524536.9335
=3.11 %

Japan Prime Realty Investment's annualized ROA % for the quarter that ended in Dec. 2024 is calculated as:

ROA %=Net Income (Q: Dec. 2024 )/( (Total Assets (Q: Jun. 2024 )+Total Assets (Q: Dec. 2024 ))/ count )
=17581.76/( (536871.456+538271.324)/ 2 )
=17581.76/537571.39
=3.27 %

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


Japan Prime Realty Investment  (TSE:8955) 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: Dec. 2024 )
=Net Income/Total Assets
=17581.76/537571.39
=(Net Income / Revenue)*(Revenue / Total Assets)
=(17581.76 / 39161.08)*(39161.08 / 537571.39)
=Net Margin %*Asset Turnover
=44.9 %*0.0728
=3.27 %

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


Japan Prime Realty Investment ROA % Related Terms

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Japan Prime Realty Investment Business Description

Traded in Other Exchanges
N/A
Address
4-16 Yaesu, 1-Chome, Chuo-ku, Tokyo, JPN, 103-0028
Japan Prime Realty Investment Corporation, or JPR, is a Japanese real estate investment trust primarily involved in the ownership of properties in the Greater Tokyo region. Most of JPR's real estate portfolio is comprised of office buildings, with retail properties making up the rest of the company's holdings. The vast majority of JPR's assets are in the Tokyo metropolitan area, which are mostly concentrated in Central Tokyo. The company generates nearly all of its revenue through collecting funds from investors, investing that money into real estate properties, and then collecting rental income from those properties. Its collection of tenants is fairly evenly distributed among service, information and communication, manufacturing, finance, retail, and real estate companies.

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