ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Leform Bhd's annualizedNet Income for the quarter that ended in Mar. 2026 was RM-16.6 Mil.
Leform Bhd's average Total Assets over the quarter that ended in Mar. 2026 was RM417.5 Mil. Therefore, Leform Bhd's annualized ROA % for the quarter that ended in Mar. 2026 was -3.98%.
The historical rank and industry rank for Leform Bhd's ROA % or its related term are showing as below:
XKLS:0266'
s ROA % Range Over the Past 10 Years
Min: -2.23 Med: -0.43 Max: 12.07
Current: -2.23
During the past 7 years, Leform Bhd's highest ROA % was 12.07%. The lowest was -2.23%. And the median was -0.43%.
XKLS:0266's ROA % is ranked worse than 79.75% of 637
companies
in the Steel industry
Industry Median: 1.92
vs XKLS:0266: -2.23
Leform Bhd (XKLS:0266) 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 banks 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:
Note:
The Net Income data used here is four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) 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.
Leform Bhd ROA % Related Terms
Leform Bhd ROA % Historical Data
* Premium members only.
The historical data trend for Leform Bhd'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.
For the Steel subindustry, Leform Bhd'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.
Leform Bhd ROA % vs Steel Industry
For the Steel industry and Basic Materials sector, Leform Bhd's ROA % distribution charts can be found below:
* The bar in red indicates where Leform Bhd's ROA % falls into.
* 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 (Mar. 2026) net income data.
ROA % is displayed in the 30-year financial page.
Leform Bhd (XKLS:0266) has a ROA % of -3.98% as of Mar. 2026. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Leform Bhd and its competitors. According to the industry distribution chart, Leform Bhd ranks #508 out of 637 companies in the Steel industry, placing it in the top 79.7%.
Is Leform Bhd's ROA % too high?
Leform Bhd's current ROA % is -3.98%. Based on the distribution chart, Leform Bhd ranks #508 out of 637 companies in the Steel industry, which is in the bottom quartile relative to peers. Overall, Leform Bhd has a GF Score™ of 41/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Leform Bhd's ROA % compare to NUE and STLD?
According to the Steel industry distribution chart, Leform Bhd ranks #508 out of 637 companies for ROA %. This places Leform Bhd in the lower half of its industry. The industry median ROA % is 1.92. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROA % for a Steel company?
The median ROA % among Steel companies is 1.92, based on 637 companies in the industry. Companies in the top quartile (top 25%) have a ROA % significantly above this median, while those in the bottom quartile fall well below. However, ROA % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROA % mean?
A high ROA % can signal that a stock is expensive relative to its fundamentals. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Leform Bhd and its competitors. For the Steel industry, the median ROA % is 1.92 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Leform Bhd's current ROA % is -3.98%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Leform Bhd stock overvalued right now?
Based on GuruFocus' analysis, Leform Bhd (XKLS:0266) is currently considered Modestly Overvalued. The stock's GF Value™ is RM0.13, compared to a current price of RM0.16 — trading 23.1% above its estimated fair value. The current ROA % is -3.98%. Leform Bhd's overall GF Score™ is 41/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROA % calculated?
ROA % is calculated from a company's financial statements. For Leform Bhd (XKLS:0266), the current ROA % is -3.98% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Leform Bhd (XKLS:0266) Overvalued in 2026?
Based on GuruFocus' analysis, Leform Bhd stock appears to be overvalued.
The current stock price of RM0.16 is trading 23.1% above its estimated GF Value™ of RM0.13.
GuruFocus considers Leform Bhd to be Modestly Overvalued.
Key valuation signals for XKLS:0266:
ROA %: -3.98%
GF Value™: RM0.13 vs. price of RM0.16 (23.1% above fair value)
No single metric tells the full story. See the XKLS:0266 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Leform Bhd is involved in the manufacturing of and trading in steel products. The company's product portfolio includes Round Steel Pipe, Cold Rolled Pipe, Hollow Section Pipes, Cold Drawn Pipe, and Steel Plate Slit Coil. The Group's products are used in various end-user industries, including furniture, construction, as well as industrial product manufacturing industries (which include automotive parts and telecommunication tower pole part manufacturing). The firm's operating segment includes Manufacturing, Trading, and Others. The firm generates the majority of its revenue from the Manufacturing segment.
41GF Score
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