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CUSI (Cuisine Solutions) ROE % : -11.40% (As of Mar. 2009)


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What is Cuisine Solutions ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Cuisine Solutions's annualized net income for the quarter that ended in Mar. 2009 was $-2.76 Mil. Cuisine Solutions's average Total Stockholders Equity over the quarter that ended in Mar. 2009 was $24.26 Mil. Therefore, Cuisine Solutions's annualized ROE % for the quarter that ended in Mar. 2009 was -11.40%.

The historical rank and industry rank for Cuisine Solutions's ROE % or its related term are showing as below:

CUSI's ROE % is not ranked *
in the Consumer Packaged Goods industry.
Industry Median: 6.98
* Ranked among companies with meaningful ROE % only.

Cuisine Solutions ROE % Historical Data

The historical data trend for Cuisine Solutions's ROE % 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.

Cuisine Solutions ROE % Chart

Cuisine Solutions Annual Data
Trend Jun99 Jun00 Jun01 Jun02 Jun03 Jun04 Jun05 Jun06 Jun07 Jun08
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -14.30 22.45 33.36 47.97 0.18

Cuisine Solutions Quarterly Data
Jun04 Sep04 Dec04 Mar05 Jun05 Sep05 Dec05 Mar06 Jun06 Sep06 Dec06 Mar07 Jun07 Sep07 Dec07 Mar08 Jun08 Sep08 Dec08 Mar09
ROE % 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 -6.42 3.51 2.19 2.52 -11.40

Competitive Comparison of Cuisine Solutions's ROE %

For the Packaged Foods subindustry, Cuisine Solutions's ROE %, along with its competitors' market caps and ROE % 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.


Cuisine Solutions's ROE % Distribution in the Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Cuisine Solutions's ROE % distribution charts can be found below:

* The bar in red indicates where Cuisine Solutions's ROE % falls into.



Cuisine Solutions ROE % Calculation

Cuisine Solutions's annualized ROE % for the fiscal year that ended in Jun. 2008 is calculated as

ROE %=Net Income (A: Jun. 2008 )/( (Total Stockholders Equity (A: Jun. 2007 )+Total Stockholders Equity (A: Jun. 2008 ))/ count )
=0.044/( (23.12+24.787)/ 2 )
=0.044/23.9535
=0.18 %

Cuisine Solutions's annualized ROE % for the quarter that ended in Mar. 2009 is calculated as

ROE %=Net Income (Q: Mar. 2009 )/( (Total Stockholders Equity (Q: Dec. 2008 )+Total Stockholders Equity (Q: Mar. 2009 ))/ count )
=-2.764/( (24.564+23.948)/ 2 )
=-2.764/24.256
=-11.40 %

* 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 ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data, the net income data used here is four times the quarterly (Mar. 2009) net income data. ROE % is displayed in the 30-year financial page.


Cuisine Solutions  (OTCPK:CUSI) ROE % Explanation

ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.

The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:

ROE %(Q: Mar. 2009 )
=Net Income/Total Stockholders Equity
=-2.764/24.256
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(-2.764 / 85.66)*(85.66 / 39.137)*(39.137 / 24.256)
=Net Margin %*Asset Turnover*Equity Multiplier
=-3.23 %*2.1887*1.6135
=ROA %*Equity Multiplier
=-7.07 %*1.6135
=-11.40 %

With this breakdown, it is clear that if a company grows its Net Profit Margin, its Asset Turnover, or its Leverage, it can grow its ROE %.

The factors that affect a company's ROE % can also be illustrated with the five-step DuPont Analysis:

ROE %(Q: Mar. 2009 )
=Net Income/Total Stockholders Equity
=-2.764/24.256
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (-2.764 / -3.692) * (-3.692 / -3.276) * (-3.276 / 85.66) * (85.66 / 39.137) * (39.137 / 24.256)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.7486 * 1.127 * -3.82 % * 2.1887 * 1.6135
=-11.40 %

Note: The net income data used here is four times the quarterly (Mar. 2009) net income data. The Revenue data used here is four times the quarterly (Mar. 2009) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.

* 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

Net Income is used.

Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.


Cuisine Solutions ROE % Related Terms

Thank you for viewing the detailed overview of Cuisine Solutions's ROE % provided by GuruFocus.com. Please click on the following links to see related term pages.


Cuisine Solutions Business Description

Traded in Other Exchanges
N/A
Address
22445 Sous Vide Lane, Unit 100, Sterling, VA, USA, 20166
Cuisine Solutions Inc is a United States-based company engaged in the business of production and marketing of fully-cooked, frozen and prepared foods to different channels and geographic regions. The company's food product portfolio includes poultry, sauces, seafood, lamb, pork, veal, beef and other items.
Executives
Yuyun Tristan Kuo officer: CFO, Treasurer, and Secretary 85 SOUTH BRAGG STREET, SUITE 600, ALEXANDRIA VA 22312