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Geotech Holdings (HKSE:01707) ROE % : -9.41% (As of Jun. 2024)


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What is Geotech Holdings ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Geotech Holdings's annualized net income for the quarter that ended in Jun. 2024 was HK$-16.27 Mil. Geotech Holdings's average Total Stockholders Equity over the quarter that ended in Jun. 2024 was HK$172.88 Mil. Therefore, Geotech Holdings's annualized ROE % for the quarter that ended in Jun. 2024 was -9.41%.

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

HKSE:01707' s ROE % Range Over the Past 10 Years
Min: -15.36   Med: -1.31   Max: 47.22
Current: -9.35

During the past 11 years, Geotech Holdings's highest ROE % was 47.22%. The lowest was -15.36%. And the median was -1.31%.

HKSE:01707's ROE % is ranked worse than
86.9% of 1680 companies
in the Construction industry
Industry Median: 6.58 vs HKSE:01707: -9.35

Geotech Holdings ROE % Historical Data

The historical data trend for Geotech Holdings'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.

Geotech Holdings ROE % Chart

Geotech Holdings Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -11.05 -6.13 -15.36 -8.84 -9.34

Geotech Holdings Semi-Annual Data
Dec14 Dec15 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24
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 -12.85 -6.85 -10.82 -9.41 -9.30

Competitive Comparison of Geotech Holdings's ROE %

For the Engineering & Construction subindustry, Geotech Holdings'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.


Geotech Holdings's ROE % Distribution in the Construction Industry

For the Construction industry and Industrials sector, Geotech Holdings's ROE % distribution charts can be found below:

* The bar in red indicates where Geotech Holdings's ROE % falls into.


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Geotech Holdings ROE % Calculation

Geotech Holdings'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 )
=-16.366/( (193.224+176.93)/ 2 )
=-16.366/185.077
=-8.84 %

Geotech Holdings's annualized ROE % for the quarter that ended in Jun. 2024 is calculated as

ROE %=Net Income (Q: Jun. 2024 )/( (Total Stockholders Equity (Q: Dec. 2023 )+Total Stockholders Equity (Q: Jun. 2024 ))/ count )
=-16.268/( (176.93+168.824)/ 2 )
=-16.268/172.877
=-9.41 %

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


Geotech Holdings  (HKSE:01707) 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. 2024 )
=Net Income/Total Stockholders Equity
=-16.268/172.877
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(-16.268 / 65.58)*(65.58 / 202.0445)*(202.0445 / 172.877)
=Net Margin %*Asset Turnover*Equity Multiplier
=-24.81 %*0.3246*1.1687
=ROA %*Equity Multiplier
=-8.05 %*1.1687
=-9.41 %

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. 2024 )
=Net Income/Total Stockholders Equity
=-16.268/172.877
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (-16.268 / -16.08) * (-16.08 / -21.084) * (-21.084 / 65.58) * (65.58 / 202.0445) * (202.0445 / 172.877)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 1.0117 * 0.7627 * -32.15 % * 0.3246 * 1.1687
=-9.41 %

Note: The net income data used here is two times the semi-annual (Jun. 2024) net income data. The Revenue data used here is two times the semi-annual (Jun. 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.


Geotech Holdings ROE % Related Terms

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Geotech Holdings Business Description

Traded in Other Exchanges
N/A
Address
223 Hing Fong Road, Unit 706-708, 7th Floor, Tower II, Metroplaza, Kwai Chung, New Territories, Hong Kong, HKG
Geotech Holdings Ltd is an investment holding company. The firm is engaged in the provision of construction and engineering services and property-related services sales of luxury products. It is principally engaged in the slope works in Hong Kong as the main contractor. It mainly operates in three segments; Construction and engineering services; Property-related services; and Sales of luxury products. The group undertakes slope works as the main contractor and undertakes ground investigation field works as a subcontractor. It derives the majority of its revenue from Hong Kong. The Construction and engineering services segment derives key revenue for the firm.
Executives
Chen Zhi 2201 Interest of corporation controlled by you
Star Merit Global Limited 2101 Beneficial owner
Cheung Ting Kam 2201 Interest of corporation controlled by you

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