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DETRF (Deterra Royalties) ROE % : 137.92% (As of Dec. 2024)


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What is Deterra Royalties ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Deterra Royalties's annualized net income for the quarter that ended in Dec. 2024 was $81.0 Mil. Deterra Royalties's average Total Stockholders Equity over the quarter that ended in Dec. 2024 was $58.7 Mil. Therefore, Deterra Royalties's annualized ROE % for the quarter that ended in Dec. 2024 was 137.92%.

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

DETRF' s ROE % Range Over the Past 10 Years
Min: 144.67   Med: 166.15   Max: 197.91
Current: 159.31

During the past 4 years, Deterra Royalties's highest ROE % was 197.91%. The lowest was 144.67%. And the median was 166.15%.

DETRF's ROE % is ranked better than
98.46% of 2400 companies
in the Metals & Mining industry
Industry Median: -17.11 vs DETRF: 159.31

Deterra Royalties ROE % Historical Data

The historical data trend for Deterra Royalties'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.

Deterra Royalties ROE % Chart

Deterra Royalties Annual Data
Trend Jun21 Jun22 Jun23 Jun24
ROE %
152.71 192.13 140.94 178.56

Deterra Royalties Semi-Annual Data
Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24
ROE % Get a 7-Day Free Trial 133.83 224.97 180.24 186.53 137.92

Competitive Comparison of Deterra Royalties's ROE %

For the Other Industrial Metals & Mining subindustry, Deterra Royalties'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.


Deterra Royalties's ROE % Distribution in the Metals & Mining Industry

For the Metals & Mining industry and Basic Materials sector, Deterra Royalties's ROE % distribution charts can be found below:

* The bar in red indicates where Deterra Royalties's ROE % falls into.



Deterra Royalties ROE % Calculation

Deterra Royalties's annualized ROE % for the fiscal year that ended in Jun. 2024 is calculated as

ROE %=Net Income (A: Jun. 2024 )/( (Total Stockholders Equity (A: Jun. 2023 )+Total Stockholders Equity (A: Jun. 2024 ))/ count )
=102.846/( (61.838+53.355)/ 2 )
=102.846/57.5965
=178.56 %

Deterra Royalties's annualized ROE % for the quarter that ended in Dec. 2024 is calculated as

ROE %=Net Income (Q: Dec. 2024 )/( (Total Stockholders Equity (Q: Jun. 2024 )+Total Stockholders Equity (Q: Dec. 2024 ))/ count )
=80.952/( (53.355+64.035)/ 2 )
=80.952/58.695
=137.92 %

* 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 two times the semi-annual (Dec. 2024) net income data. ROE % is displayed in the 30-year financial page.


Deterra Royalties  (OTCPK:DETRF) 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: Dec. 2024 )
=Net Income/Total Stockholders Equity
=80.952/58.695
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(80.952 / 138.07)*(138.07 / 190.5685)*(190.5685 / 58.695)
=Net Margin %*Asset Turnover*Equity Multiplier
=58.63 %*0.7245*3.2468
=ROA %*Equity Multiplier
=42.48 %*3.2468
=137.92 %

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: Dec. 2024 )
=Net Income/Total Stockholders Equity
=80.952/58.695
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (80.952 / 119.384) * (119.384 / 125.976) * (125.976 / 138.07) * (138.07 / 190.5685) * (190.5685 / 58.695)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.6781 * 0.9477 * 91.24 % * 0.7245 * 3.2468
=137.92 %

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. 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.


Deterra Royalties ROE % Related Terms

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


Deterra Royalties Business Description

Traded in Other Exchanges
Address
140 St Georges Terrace, Level 16, Perth, WA, AUS, 6000
Deterra Royalties was spun out from Iluka Resources in October 2020, with Iluka retaining a 20% interest. Its only material income generating asset is a royalty covering iron ore produced by BHP from the Mining Area C royalty area in Western Australia. This includes the North Flank mine, producing around 60 million metric tons of iron ore a year, and the South Flank mine, expected to add 85 million metric tons by 2024 after producing first ore in 2021. It also covers most of the Tandanya and Mudlark deposits, which BHP intends to develop in the longer term as part of its plan to operate the MAC production hub for at least 50 years. Consistent with its strategy to grow into a diversified royalty firm, its Trident Royalties purchase is likely to provide modest diversification from iron ore.