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Rank Group (The) (LSE:RNK) ROE % : 3.07% (As of Jun. 2023)


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What is Rank Group (The) ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Rank Group (The)'s annualized net income for the quarter that ended in Jun. 2023 was £10.0 Mil. Rank Group (The)'s average Total Stockholders Equity over the quarter that ended in Jun. 2023 was £325.6 Mil. Therefore, Rank Group (The)'s annualized ROE % for the quarter that ended in Jun. 2023 was 3.07%.

The historical rank and industry rank for Rank Group (The)'s ROE % or its related term are showing as below:

LSE:RNK' s ROE % Range Over the Past 10 Years
Min: -28.95   Med: 8.23   Max: 27.87
Current: -28.95

During the past 13 years, Rank Group (The)'s highest ROE % was 27.87%. The lowest was -28.95%. And the median was 8.23%.

LSE:RNK's ROE % is ranked worse than
91.65% of 790 companies
in the Travel & Leisure industry
Industry Median: 5.705 vs LSE:RNK: -28.95

Rank Group (The) ROE % Historical Data

The historical data trend for Rank Group (The)'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.

Rank Group (The) ROE % Chart

Rank Group (The) Annual Data
Trend Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.46 -19.80 16.59 -25.76 3.76

Rank Group (The) Semi-Annual Data
Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Jun24
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 41.69 -8.82 -54.21 3.07 -

Competitive Comparison of Rank Group (The)'s ROE %

For the Gambling subindustry, Rank Group (The)'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.


Rank Group (The)'s ROE % Distribution in the Travel & Leisure Industry

For the Travel & Leisure industry and Consumer Cyclical sector, Rank Group (The)'s ROE % distribution charts can be found below:

* The bar in red indicates where Rank Group (The)'s ROE % falls into.



Rank Group (The) ROE % Calculation

Rank Group (The)'s annualized ROE % for the fiscal year that ended in Jun. 2024 is calculated as

ROE %=Net Income (A: Jun. 2024 )/( (Total Stockholders Equity (A: Jun. 2023 )+Total Stockholders Equity (A: Jun. 2024 ))/ count )
=12.5/( (325.6+339)/ 2 )
=12.5/332.3
=3.76 %

Rank Group (The)'s annualized ROE % for the quarter that ended in Jun. 2023 is calculated as

ROE %=Net Income (Q: Jun. 2023 )/( (Total Stockholders Equity (Q: Dec. 2022 )+Total Stockholders Equity (Q: Jun. 2023 ))/ count )
=10/( (325.5+325.6)/ 2 )
=10/325.55
=3.07 %

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


Rank Group (The)  (LSE:RNK) 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
=10/325.55
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(10 / 686)*(686 / 761.25)*(761.25 / 325.55)
=Net Margin %*Asset Turnover*Equity Multiplier
=1.46 %*0.9011*2.3384
=ROA %*Equity Multiplier
=1.32 %*2.3384
=3.07 %

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
=10/325.55
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (10 / -32.4) * (-32.4 / -27.6) * (-27.6 / 686) * (686 / 761.25) * (761.25 / 325.55)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= -0.3086 * 1.1739 * -4.02 % * 0.9011 * 2.3384
=3.07 %

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


Rank Group (The) ROE % Related Terms

Thank you for viewing the detailed overview of Rank Group (The)'s ROE % provided by GuruFocus.com. Please click on the following links to see related term pages.


Rank Group (The) Business Description

Traded in Other Exchanges
Address
TOR, Saint-Cloud Way, Maidenhead, GBR, SL6 8BN
Rank Group (The) PLC is a gambling company with five primary business segments: Grosvenor Venues, Mecca Venues, Digital, Enracha Venues, and Central Costs. Its highest revenue producer is Grosvenor Casinos, a multichannel casino operator in the United Kingdom, which operates a variety of casino and slot machine games. Mecca offers bingo, gaming machines, great value food and drink, and live entertainment. Enracha is Rank's community gaming business for the Spanish market. Rank's digital business segment includes Mecca and Grosvenor for the UK market and Yo for the Spanish market and also operates over 80 UK digital-only brands via its proprietary technology platform and third-party platforms. The company generates the majority of its revenue in the United Kingdom.

Rank Group (The) Headlines

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