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Denmark Bancshares (Denmark Bancshares) ROE % : 4.39% (As of Mar. 2022)


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What is Denmark Bancshares ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Denmark Bancshares's annualized net income for the quarter that ended in Mar. 2022 was $2.98 Mil. Denmark Bancshares's average Total Stockholders Equity over the quarter that ended in Mar. 2022 was $67.85 Mil. Therefore, Denmark Bancshares's annualized ROE % for the quarter that ended in Mar. 2022 was 4.39%.

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

DMKBA' s ROE % Range Over the Past 10 Years
Min: 1.7   Med: 6.66   Max: 9.77
Current: 8.35

During the past 13 years, Denmark Bancshares's highest ROE % was 9.77%. The lowest was 1.70%. And the median was 6.66%.

DMKBA's ROE % is not ranked
in the Banks industry.
Industry Median: 9.62 vs DMKBA: 8.35

Denmark Bancshares ROE % Historical Data

The historical data trend for Denmark Bancshares'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.

Denmark Bancshares ROE % Chart

Denmark Bancshares Annual Data
Trend Dec08 Dec09 Dec10 Dec11 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 4.70 6.75 7.89 6.04 9.77

Denmark Bancshares Quarterly Data
Sep12 Dec16 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22
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 9.72 9.05 10.38 9.53 4.39

Competitive Comparison of Denmark Bancshares's ROE %

For the Banks - Regional subindustry, Denmark Bancshares'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.


Denmark Bancshares's ROE % Distribution in the Banks Industry

For the Banks industry and Financial Services sector, Denmark Bancshares's ROE % distribution charts can be found below:

* The bar in red indicates where Denmark Bancshares's ROE % falls into.



Denmark Bancshares ROE % Calculation

Denmark Bancshares's annualized ROE % for the fiscal year that ended in Dec. 2021 is calculated as

ROE %=Net Income (A: Dec. 2021 )/( (Total Stockholders Equity (A: Dec. 2020 )+Total Stockholders Equity (A: Dec. 2021 ))/ count )
=6.498/( (65.029+68.026)/ 2 )
=6.498/66.5275
=9.77 %

Denmark Bancshares's annualized ROE % for the quarter that ended in Mar. 2022 is calculated as

ROE %=Net Income (Q: Mar. 2022 )/( (Total Stockholders Equity (Q: Dec. 2021 )+Total Stockholders Equity (Q: Mar. 2022 ))/ count )
=2.976/( (68.026+67.671)/ 2 )
=2.976/67.8485
=4.39 %

* 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. 2022) net income data. ROE % is displayed in the 30-year financial page.


Denmark Bancshares  (OTCPK:DMKBA) 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. 2022 )
=Net Income/Total Stockholders Equity
=2.976/67.8485
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(2.976 / 22.22)*(22.22 / 685.157)*(685.157 / 67.8485)
=Net Margin %*Asset Turnover*Equity Multiplier
=13.39 %*0.0324*10.0983
=ROA %*Equity Multiplier
=0.43 %*10.0983
=4.39 %

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. 2022 )
=Net Income/Total Stockholders Equity
=2.976/67.8485
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (2.976 / 4.092) * (4.092 / 22.22) * (22.22 / 685.157) * (685.157 / 67.8485)
= Tax Burden * Pretax Margin % * Asset Turnover * Equity Multiplier
= 0.7273 * 18.42 % * 0.0324 * 10.0983
=4.39 %

Note: The net income data used here is four times the quarterly (Mar. 2022) net income data. The Revenue data used here is four times the quarterly (Mar. 2022) 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.


Denmark Bancshares ROE % Related Terms

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


Denmark Bancshares (Denmark Bancshares) Business Description

Traded in Other Exchanges
N/A
Address
103 East Main Street, Denmark, WI, USA, 54208
Denmark Bancshares Inc is a diversified one-bank holding company. The company offers a wide variety of financial products and services including loans, deposits, mortgage banking, and investment services. In addition, the company also extends farm credit through its subsidiary Denmark Agricultural Credit Corporation. The company makes agribusiness, commercial and residential loans to customers throughout the state, but primarily in eastern Wisconsin.
Executives
Jeffrey G Vandenplas officer: VP of Denmark State Bank PO BOX 130 DENMARK X1 54208-0130
David L Kappelman officer: VP of Denmark State Bank PO BOX 130 DENMARK X1 54208-0130
Michael L Heim director 4946 DENMARK ROAD DENMARK WI 54208
Thomas F Wall director, officer: Chairman of the Board
William F Noel other: Director of Denmark State Bank PO BOX 130 DENMARK WI 54208-0130
Carl T Laveck officer: Executive Vice President PO BOX 130 DENMARK WI 54208-0130
Janet L Bonkowski other: Director of Denmark State Bank PO BOX 130 DENMARK WI 54208-0130
Mark E Looker director
Jill S Feiler other: VP of Denmark State Bank PO BOX 130 DENMARK WI 54208-0130
Diane L Roundy other: Director of Denmark State Bank PO BOX 130 DENMARK WI 54208-0130
Larsen Kenneth A Sr other: Director of Denmark State Bank 103 MAIN STREET PO BOX 130 DENMARK WI 54208-0130
Allen M Peters director 103 E MAIN ST DENMARK WI 54208
Evonne J Kreft officer: VP OF DENMARK STATE BANK 103 EAST MAIN STREET DENMARK WI 54208
Lonnie A Loritz officer: VP OF DENMARK STATE BANK 103 EAST MAIN STREET DENMARK WI 54208
John P Olsen officer: Senior VP Denmark State Bank