GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Retail - Cyclical » Pick N Pay Stores Ltd (FRA:PIK) » Definitions » ROE %

Pick N Pay Stores (FRA:PIK) ROE % : -35.63% (As of Aug. 2023)


View and export this data going back to 2006. Start your Free Trial

What is Pick N Pay Stores ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Pick N Pay Stores's annualized net income for the quarter that ended in Aug. 2023 was €-56 Mil. Pick N Pay Stores's average Total Stockholders Equity over the quarter that ended in Aug. 2023 was €157 Mil. Therefore, Pick N Pay Stores's annualized ROE % for the quarter that ended in Aug. 2023 was -35.63%.

The historical rank and industry rank for Pick N Pay Stores's ROE % or its related term are showing as below:

FRA:PIK' s ROE % Range Over the Past 10 Years
Min: 4.64   Med: 31.86   Max: 48.35
Current: 4.64

During the past 13 years, Pick N Pay Stores's highest ROE % was 48.35%. The lowest was 4.64%. And the median was 31.86%.

FRA:PIK's ROE % is ranked worse than
53.39% of 1090 companies
in the Retail - Cyclical industry
Industry Median: 5.69 vs FRA:PIK: 4.64

Pick N Pay Stores ROE % Historical Data

The historical data trend for Pick N Pay Stores'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.

Pick N Pay Stores ROE % Chart

Pick N Pay Stores Annual Data
Trend Feb14 Feb15 Feb16 Feb17 Feb18 Feb19 Feb20 Feb21 Feb22 Feb23
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 46.65 38.65 29.00 34.76 29.89

Pick N Pay Stores Semi-Annual Data
Feb14 Aug14 Feb15 Aug15 Feb16 Aug16 Feb17 Aug17 Feb18 Aug18 Feb19 Aug19 Feb20 Aug20 Feb21 Aug21 Feb22 Aug22 Feb23 Aug23
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 19.11 55.44 26.42 38.95 -35.63

Competitive Comparison of Pick N Pay Stores's ROE %

For the Department Stores subindustry, Pick N Pay Stores'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.


Pick N Pay Stores's ROE % Distribution in the Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Pick N Pay Stores's ROE % distribution charts can be found below:

* The bar in red indicates where Pick N Pay Stores's ROE % falls into.



Pick N Pay Stores ROE % Calculation

Pick N Pay Stores's annualized ROE % for the fiscal year that ended in Feb. 2023 is calculated as

ROE %=Net Income (A: Feb. 2023 )/( (Total Stockholders Equity (A: Feb. 2022 )+Total Stockholders Equity (A: Feb. 2023 ))/ count )
=61.021/( (215.123+193.135)/ 2 )
=61.021/204.129
=29.89 %

Pick N Pay Stores's annualized ROE % for the quarter that ended in Aug. 2023 is calculated as

ROE %=Net Income (Q: Aug. 2023 )/( (Total Stockholders Equity (Q: Feb. 2023 )+Total Stockholders Equity (Q: Aug. 2023 ))/ count )
=-55.808/( (193.135+120.165)/ 2 )
=-55.808/156.65
=-35.63 %

* 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 (Aug. 2023) net income data. ROE % is displayed in the 30-year financial page.


Pick N Pay Stores  (FRA:PIK) 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: Aug. 2023 )
=Net Income/Total Stockholders Equity
=-55.808/156.65
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(-55.808 / 5281.12)*(5281.12 / 2247.477)*(2247.477 / 156.65)
=Net Margin %*Asset Turnover*Equity Multiplier
=-1.06 %*2.3498*14.3471
=ROA %*Equity Multiplier
=-2.49 %*14.3471
=-35.63 %

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: Aug. 2023 )
=Net Income/Total Stockholders Equity
=-55.808/156.65
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (-55.808 / -74.096) * (-74.096 / 125.03) * (125.03 / 5281.12) * (5281.12 / 2247.477) * (2247.477 / 156.65)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.7532 * -0.5926 * 2.37 % * 2.3498 * 14.3471
=-35.63 %

Note: The net income data used here is two times the semi-annual (Aug. 2023) net income data. The Revenue data used here is two times the semi-annual (Aug. 2023) 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.


Pick N Pay Stores ROE % Related Terms

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


Pick N Pay Stores (FRA:PIK) Business Description

Traded in Other Exchanges
Address
101 Rosmead Avenue, Pick n Pay Office Park, Kenilworth, Cape Town, WC, ZAF, 7708
Pick N Pay Stores Ltd is a South African multiformat and multichannel retailer. The company operates in South Africa, Namibia, Botswana, Zambia, Mozambique, Mauritius, Swaziland, and Lesotho. The company offers food and groceries, clothing, general merchandise, and services across multiple store formats, both franchised and owned. The customer base is mainly represented by middle-income South African consumer. The portfolio of stores is composed of supermarkets, hypermarkets, local shops, express shops, clothing shops, liquor stores, pharmacies, and an Internet shopping platform.