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Flow Beverage (TSX:FLOW) ROA % : -48.75% (As of Jul. 2024)


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What is Flow Beverage ROA %?

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Flow Beverage's annualized Net Income for the quarter that ended in Jul. 2024 was C$-28.72 Mil. Flow Beverage's average Total Assets over the quarter that ended in Jul. 2024 was C$58.90 Mil. Therefore, Flow Beverage's annualized ROA % for the quarter that ended in Jul. 2024 was -48.75%.

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

TSX:FLOW' s ROA % Range Over the Past 10 Years
Min: -153.23   Med: -62.61   Max: -44.33
Current: -69.5

During the past 7 years, Flow Beverage's highest ROA % was -44.33%. The lowest was -153.23%. And the median was -62.61%.

TSX:FLOW's ROA % is ranked worse than
96.36% of 110 companies
in the Beverages - Non-Alcoholic industry
Industry Median: 6.14 vs TSX:FLOW: -69.50

Flow Beverage ROA % Historical Data

The historical data trend for Flow Beverage'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.

Flow Beverage ROA % Chart

Flow Beverage Annual Data
Trend Jun17 Jun18 Jun19 Jun20 Oct21 Oct22 Oct23
ROA %
Get a 7-Day Free Trial -85.15 -153.23 -93.65 -44.33 -62.61

Flow Beverage Quarterly Data
Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24 Jul24
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 -92.95 -75.11 -109.48 -48.97 -48.75

Competitive Comparison of Flow Beverage's ROA %

For the Beverages - Non-Alcoholic subindustry, Flow Beverage'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.


Flow Beverage's ROA % Distribution in the Beverages - Non-Alcoholic Industry

For the Beverages - Non-Alcoholic industry and Consumer Defensive sector, Flow Beverage's ROA % distribution charts can be found below:

* The bar in red indicates where Flow Beverage's ROA % falls into.



Flow Beverage ROA % Calculation

Flow Beverage's annualized ROA % for the fiscal year that ended in Oct. 2023 is calculated as:

ROA %=Net Income (A: Oct. 2023 )/( (Total Assets (A: Oct. 2022 )+Total Assets (A: Oct. 2023 ))/ count )
=-42.974/( (82.338+54.936)/ 2 )
=-42.974/68.637
=-62.61 %

Flow Beverage's annualized ROA % for the quarter that ended in Jul. 2024 is calculated as:

ROA %=Net Income (Q: Jul. 2024 )/( (Total Assets (Q: Apr. 2024 )+Total Assets (Q: Jul. 2024 ))/ count )
=-28.716/( (57.475+60.326)/ 2 )
=-28.716/58.9005
=-48.75 %

* 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 four times the quarterly (Jul. 2024) net income data. ROA % is displayed in the 30-year financial page.


Flow Beverage  (TSX:FLOW) 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: Jul. 2024 )
=Net Income/Total Assets
=-28.716/58.9005
=(Net Income / Revenue)*(Revenue / Total Assets)
=(-28.716 / 55.04)*(55.04 / 58.9005)
=Net Margin %*Asset Turnover
=-52.17 %*0.9345
=-48.75 %

Note: The Net Income data used here is four times the quarterly (Jul. 2024) net income data. The Revenue data used here is four times the quarterly (Jul. 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.


Flow Beverage ROA % Related Terms

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Flow Beverage Business Description

Traded in Other Exchanges
Address
155 Industrial Parkway South, Unit 7-10, Aurora, ON, CAN, L4G 3G6
Flow Beverage Corp is a health and wellness-focused beverage company at the convergence of three important trends in the consumer-packaged goods industry including, functional ingredients, sustainable packaging and supply chain and premium quality. It markets its premium alkaline spring water in Canada and the United States in original unflavoured and a range of organic flavors in various sizes. The company generates majority of its revenue from sale of packaged water and also provides Co-packing services. Geographically, majority of its revenue is generated from its business in Canada.
Executives
Stephen A. Smith Director

Flow Beverage Headlines