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Home24 SE (HAM:H24) ROE % : -32.71% (As of Jun. 2023)


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What is Home24 SE ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Home24 SE's annualized net income for the quarter that ended in Jun. 2023 was €-50.0 Mil. Home24 SE's average Total Stockholders Equity over the quarter that ended in Jun. 2023 was €152.9 Mil. Therefore, Home24 SE's annualized ROE % for the quarter that ended in Jun. 2023 was -32.71%.

The historical rank and industry rank for Home24 SE's ROE % or its related term are showing as below:

HAM:H24' s ROE % Range Over the Past 10 Years
Min: -403.29   Med: -65.34   Max: -15.02
Current: -25.79

During the past 9 years, Home24 SE's highest ROE % was -15.02%. The lowest was -403.29%. And the median was -65.34%.

HAM:H24's ROE % is ranked worse than
86.62% of 1091 companies
in the Retail - Cyclical industry
Industry Median: 5.41 vs HAM:H24: -25.79

Home24 SE ROE % Historical Data

The historical data trend for Home24 SE'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.

Home24 SE ROE % Chart

Home24 SE Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22
ROE %
Get a 7-Day Free Trial Premium Member Only -65.34 -50.55 -15.02 -21.51 -23.79

Home24 SE Quarterly Data
Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23
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 -28.18 -28.93 -11.39 -30.08 -32.71

Competitive Comparison of Home24 SE's ROE %

For the Internet Retail subindustry, Home24 SE'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.


Home24 SE's ROE % Distribution in the Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Home24 SE's ROE % distribution charts can be found below:

* The bar in red indicates where Home24 SE's ROE % falls into.



Home24 SE ROE % Calculation

Home24 SE's annualized ROE % for the fiscal year that ended in Dec. 2022 is calculated as

ROE %=Net Income (A: Dec. 2022 )/( (Total Stockholders Equity (A: Dec. 2021 )+Total Stockholders Equity (A: Dec. 2022 ))/ count )
=-40.4/( (170.6+169.1)/ 2 )
=-40.4/169.85
=-23.79 %

Home24 SE's annualized ROE % for the quarter that ended in Jun. 2023 is calculated as

ROE %=Net Income (Q: Jun. 2023 )/( (Total Stockholders Equity (Q: Mar. 2023 )+Total Stockholders Equity (Q: Jun. 2023 ))/ count )
=-50/( (158+147.7)/ 2 )
=-50/152.85
=-32.71 %

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


Home24 SE  (HAM:H24) 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: Jun. 2023 )
=Net Income/Total Stockholders Equity
=-50/152.85
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(-50 / 521.2)*(521.2 / 480.75)*(480.75 / 152.85)
=Net Margin %*Asset Turnover*Equity Multiplier
=-9.59 %*1.0841*3.1452
=ROA %*Equity Multiplier
=-10.4 %*3.1452
=-32.71 %

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: Jun. 2023 )
=Net Income/Total Stockholders Equity
=-50/152.85
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (-50 / -56.8) * (-56.8 / -54.8) * (-54.8 / 521.2) * (521.2 / 480.75) * (480.75 / 152.85)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.8803 * 1.0365 * -10.51 % * 1.0841 * 3.1452
=-32.71 %

Note: The net income data used here is four times the quarterly (Jun. 2023) net income data. The Revenue data used here is four times the quarterly (Jun. 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.


Home24 SE ROE % Related Terms

Thank you for viewing the detailed overview of Home24 SE's ROE % provided by GuruFocus.com. Please click on the following links to see related term pages.


Home24 SE (HAM:H24) Business Description

Traded in Other Exchanges
Address
Otto-Ostrowski-Str 3, Berlin, DEU, 10249
Home24 SE's principal activities comprise the Development, Care, Procurement, Marketing, and Sale of Home living products, and Other activities include management of online shop customer services, human resources management, IT and Financial, and Risk management. It has two operating segments, its European segment comprises its operations in its home market Germany as well as in Austria, Belgium, France, Italy, the Netherlands, and Switzerland. Its Latin America segment comprises its operations in Brazil, and the majority of its revenue is derived from the European segment.

Home24 SE (HAM:H24) Headlines

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