Luxchem Bhd (XKLS:5143) ROA %: 9.07% (As of Jun. 2026) — Near Median

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XKLS:5143 Luxchem Corp Bhd XKLS:5143
51 GF Score
Price RM0.45
GF Value RM0.45
Valuation Fairly Valued
! 2 Warning Signs
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What is Luxchem Bhd ROA %?

Luxchem Bhd XKLS:5143 -1.10% 51 ROA % is 9.07% as of Jun. 2026, which is 3% above its 10-year median of 8.77. GuruFocus rates XKLS:5143 with a GF Score™ of 51/100 and a GF Value™ of RM0.45 (Fairly Valued). The stock has 2 warning signs investors should review. Among 1,618 Chemicals companies, Luxchem Bhd ranks better than 73.18% on this metric.

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Luxchem Bhd's annualized Net Income for the quarter that ended in Jun. 2026 was RM73.9 Mil. Luxchem Bhd's average Total Assets over the quarter that ended in Jun. 2026 was RM814.9 Mil. Therefore, Luxchem Bhd's annualized ROA % for the quarter that ended in Jun. 2026 was 9.07%.

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

XKLS:5143' s ROA % Range Over the Past 10 Years
Min: 5.08   Med: 8.77   Max: 12.56
Current: 6.82

During the past 13 years, Luxchem Bhd's highest ROA % was 12.56%. The lowest was 5.08%. And the median was 8.77%.

XKLS:5143's ROA % is ranked better than
73.18% of 1618 companies
in the Chemicals industry
Industry Median: 3.39 vs XKLS:5143: 6.82

Luxchem Bhd  (XKLS:5143) 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: Jun. 2026 )
=Net Income/Total Assets
=73.932/814.9305
=(Net Income / Revenue)*(Revenue / Total Assets)
=(73.932 / 810.836)*(810.836 / 814.9305)
=Net Margin %*Asset Turnover
=9.12 %*0.995
=9.07 %

Note: The Net Income data used here is four times the quarterly (Jun. 2026) net income data. The Revenue data used here is four times the quarterly (Jun. 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.


Luxchem Bhd ROA % Related Terms


Luxchem Bhd ROA % Historical Data

* Premium members only.

The historical data trend for Luxchem 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.

Luxchem Bhd ROA % Chart

Luxchem Bhd Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROA %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 10.67 6.05 5.08 6.15 5.15

Luxchem Bhd Quarterly Data
Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
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 4.60 5.15 6.38 6.64 9.07

XKLS:5143 vs DOW: ROA % Comparison

For the Chemicals subindustry, Luxchem 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.


Luxchem Bhd ROA % vs Chemicals Industry

For the Chemicals industry and Basic Materials sector, Luxchem Bhd's ROA % distribution charts can be found below:

* The bar in red indicates where Luxchem Bhd's ROA % falls into.


XKLS:5143
51GF Score
Luxchem Corp Bhd XKLS:5143
ROA % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Luxchem Bhd ROA % Calculation

Luxchem Bhd's annualized ROA % for the fiscal year that ended in Dec. 2025 is calculated as:

ROA %=Net Income (A: Dec. 2025 )/( (Total Assets (A: Dec. 2024 )+Total Assets (A: Dec. 2025 ))/ count )
=41.838/( (821.542+803.669)/ 2 )
=41.838/812.6055
=5.15 %

Luxchem Bhd's annualized ROA % for the quarter that ended in Jun. 2026 is calculated as:

ROA %=Net Income (Q: Jun. 2026 )/( (Total Assets (Q: Mar. 2026 )+Total Assets (Q: Jun. 2026 ))/ count )
=73.932/( (787.833+842.028)/ 2 )
=73.932/814.9305
=9.07 %

* 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 (Jun. 2026) net income data. ROA % is displayed in the 30-year financial page.

Frequently Asked Questions Learn more about ROA % →
What does a ROA % of 9.07% mean?
Luxchem Bhd (XKLS:5143) has a ROA % of 9.07% as of Jun. 2026. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Luxchem Bhd and its competitors. This is near median its historical median of 8.77. Over the past decade, Luxchem Bhd's ROA % has ranged from 5.08 to 12.56. According to the industry distribution chart, Luxchem Bhd ranks #434 out of 1618 companies in the Chemicals industry, placing it in the top 26.8%.
Is Luxchem Bhd's ROA % too high?
Luxchem Bhd's current ROA % of 9.07% is near median its 10-year median of 8.77. Over the past 10 years, this metric has ranged from a low of 5.08 to a high of 12.56. The Chemicals industry median ROA % is 3.39. Luxchem Bhd's value of 9.07% is 167.6% above this industry median. Based on the distribution chart, Luxchem Bhd ranks #434 out of 1618 companies in the Chemicals industry, which is above the industry midpoint. Overall, Luxchem Bhd has a GF Score™ of 51/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Luxchem Bhd's ROA % compare to DOW?
According to the Chemicals industry distribution chart, Luxchem Bhd ranks #434 out of 1618 companies for ROA %. This puts Luxchem Bhd in the upper half of its industry. The industry median ROA % is 3.39. Luxchem Bhd's value of 9.07% is 167.6% above this benchmark. Historically, Luxchem Bhd's own ROA % has ranged from 5.08 to 12.56 over the past decade. While the company's 10-year median is 8.77 vs. the industry median of 3.39, Luxchem Bhd has consistently been above the industry average. 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 Chemicals company?
The median ROA % among Chemicals companies is 3.39, based on 1,618 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. Luxchem Bhd's current ROA % of 9.07% is 167.6% above the industry median. 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 Luxchem Bhd and its competitors. For the Chemicals industry, the median ROA % is 3.39 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Luxchem Bhd's current ROA % is 9.07%, which is near median its own 10-year median of 8.77. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Luxchem Bhd stock overvalued right now?
Based on GuruFocus' analysis, Luxchem Bhd (XKLS:5143) is currently considered Fairly Valued. The stock's GF Value™ is RM0.45, compared to a current price of RM0.45 — trading right at its estimated fair value. The current ROA % is 9.07%, which is near median its 10-year median of 8.77 and 167.6% above the Chemicals industry median of 3.39. Luxchem Bhd's overall GF Score™ is 51/100 with 2 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 Luxchem Bhd (XKLS:5143), the current ROA % is 9.07% as of Jun. 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 Luxchem Bhd (XKLS:5143) Overvalued in 2026?

Based on GuruFocus' analysis, Luxchem Bhd stock appears to be undervalued. The current stock price of RM0.45 is trading 0% below its estimated GF Value™ of RM0.45. GuruFocus considers Luxchem Bhd to be Fairly Valued.

Key valuation signals for XKLS:5143:

  • ROA %: 9.07% (near median its 10-year median of 8.77)
  • GF Value™: RM0.45 vs. price of RM0.45 (0% below fair value)
  • GF Score™: 51/100 with 2 warning signs
  • Industry Position: 167.6% above the Chemicals median (#434 of 1618)

No single metric tells the full story. See the XKLS:5143 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Luxchem Bhd Business Description

Address Jalan Prof Diraja Ungku Aziz, Block N, 72A, Jaya One, Wisma Luxchem, Seksyen 13, Petaling Jaya, SGR, MYS, 46200
Luxchem Corp Bhd is a Malaysia-based company engaged in the import, export, and distribution of petrochemical and other related products globally. It operates through two reportable segments, namely Trading and Manufacturing. Maximum revenue is generated from the Trading segment, which is engaged in the import, export, and distribution of petrochemical and other related products, and in the trading of hardware and other materials required for interior decoration, construction, and development. The Manufacturing segment is involved in the manufacturing and trading of unsaturated polyester resin, latex chemical dispersions, latex processing chemicals, former cleaning, powder-free coagulant, and related products. Geographically, the Group derives maximum revenue from Malaysia.
51GF Score

Get the complete analysis for XKLS:5143

ROA % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

RM0.45
Price
RM0.45
GF Value