GURUFOCUS.COM » STOCK LIST » Healthcare » Drug Manufacturers » Glass House Brands Inc (OTCPK:GLASF) » Definitions » ROE %

GLASF (Glass House Brands) ROE % : -13.32% (As of Sep. 2024)


View and export this data going back to 2021. Start your Free Trial

What is Glass House Brands ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Glass House Brands's annualized net income for the quarter that ended in Sep. 2024 was $-13.0 Mil. Glass House Brands's average Total Stockholders Equity over the quarter that ended in Sep. 2024 was $97.5 Mil. Therefore, Glass House Brands's annualized ROE % for the quarter that ended in Sep. 2024 was -13.32%.

The historical rank and industry rank for Glass House Brands's ROE % or its related term are showing as below:

GLASF' s ROE % Range Over the Past 10 Years
Min: -75.99   Med: -52.38   Max: -18.75
Current: -46.97

During the past 4 years, Glass House Brands's highest ROE % was -18.75%. The lowest was -75.99%. And the median was -52.38%.

GLASF's ROE % is ranked worse than
86.94% of 965 companies
in the Drug Manufacturers industry
Industry Median: 4.49 vs GLASF: -46.97

Glass House Brands ROE % Historical Data

The historical data trend for Glass House Brands'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.

Glass House Brands ROE % Chart

Glass House Brands Annual Data
Trend Dec20 Dec21 Dec22 Dec23
ROE %
-63.40 -41.36 -18.75 -75.99

Glass House Brands Quarterly Data
Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
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 -0.97 -148.52 -66.99 35.79 -13.32

Competitive Comparison of Glass House Brands's ROE %

For the Drug Manufacturers - Specialty & Generic subindustry, Glass House Brands'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.


Glass House Brands's ROE % Distribution in the Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Glass House Brands's ROE % distribution charts can be found below:

* The bar in red indicates where Glass House Brands's ROE % falls into.



Glass House Brands ROE % Calculation

Glass House Brands's annualized ROE % for the fiscal year that ended in Dec. 2023 is calculated as

ROE %=Net Income (A: Dec. 2023 )/( (Total Stockholders Equity (A: Dec. 2022 )+Total Stockholders Equity (A: Dec. 2023 ))/ count )
=-98.269/( (168.862+89.76)/ 2 )
=-98.269/129.311
=-75.99 %

Glass House Brands's annualized ROE % for the quarter that ended in Sep. 2024 is calculated as

ROE %=Net Income (Q: Sep. 2024 )/( (Total Stockholders Equity (Q: Jun. 2024 )+Total Stockholders Equity (Q: Sep. 2024 ))/ count )
=-12.996/( (95.055+100.03)/ 2 )
=-12.996/97.5425
=-13.32 %

* 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 (Sep. 2024) net income data. ROE % is displayed in the 30-year financial page.


Glass House Brands  (OTCPK:GLASF) 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: Sep. 2024 )
=Net Income/Total Stockholders Equity
=-12.996/97.5425
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(-12.996 / 255.284)*(255.284 / 309.286)*(309.286 / 97.5425)
=Net Margin %*Asset Turnover*Equity Multiplier
=-5.09 %*0.8254*3.1708
=ROA %*Equity Multiplier
=-4.2 %*3.1708
=-13.32 %

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: Sep. 2024 )
=Net Income/Total Stockholders Equity
=-12.996/97.5425
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (-12.996 / 22.908) * (22.908 / 55.104) * (55.104 / 255.284) * (255.284 / 309.286) * (309.286 / 97.5425)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= -0.5673 * 0.4157 * 21.59 % * 0.8254 * 3.1708
=-13.32 %

Note: The net income data used here is four times the quarterly (Sep. 2024) net income data. The Revenue data used here is four times the quarterly (Sep. 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.


Glass House Brands ROE % Related Terms

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


Glass House Brands Business Description

Traded in Other Exchanges
Address
3645 Long Beach Boulevard, Long Beach, CA, USA, 90807
Glass House Brands Inc is an integrated cannabis company that operates exclusively in the state of California. Its portfolio of brands includes Glass House Farms, Forbidden Flowers, and Mama Sue Wellness. It cultivates, manufactures, and distributes cannabis bulk flower and trim to wholesalers and consumer packaged goods to third-party retail stores. It also owns and operates retail cannabis stores in the state of California. it has three reportable segments retail, wholesale biomass, and cannabis-related consumer packaged goods. It generates the majority of its revenue from wholesale biomass.