RTC Group (LSE:RTC) ROE %: 23.74% (As of Dec. 2025) — Near Median


LSE:RTC RTC Group PLC LSE:RTC
61 GF Score
Price £1.01
GF Value £0.83
Valuation Modestly Overvalued
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What is RTC Group ROE %?

RTC Group LSE:RTC 61 ROE % is 23.74% as of Dec. 2025, which is 0% above its 10-year median of 23.68. GuruFocus rates LSE:RTC with a GF Score™ of 61/100 and a GF Value™ of £0.83 (Modestly Overvalued). Among 1,058 Business Services companies, RTC Group ranks better than 85.73% on this metric.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. RTC Group's annualized net income for the quarter that ended in Dec. 2025 was £1.85 Mil. RTC Group's average Total Stockholders Equity over the quarter that ended in Dec. 2025 was £7.80 Mil. Therefore, RTC Group's annualized ROE % for the quarter that ended in Dec. 2025 was 23.74%.

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

LSE:RTC' s ROE % Range Over the Past 10 Years
Min: -5.51   Med: 23.68   Max: 31.01
Current: 23.03

During the past 13 years, RTC Group's highest ROE % was 31.01%. The lowest was -5.51%. And the median was 23.68%.

LSE:RTC's ROE % is ranked better than
85.73% of 1058 companies
in the Business Services industry
Industry Median: 8.095 vs LSE:RTC: 23.03

RTC Group  (LSE:RTC) 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: Dec. 2025 )
=Net Income/Total Stockholders Equity
=1.852/7.8025
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(1.852 / 94.534)*(94.534 / 20.7025)*(20.7025 / 7.8025)
=Net Margin %*Asset Turnover*Equity Multiplier
=1.96 %*4.5663*2.6533
=ROA %*Equity Multiplier
=8.95 %*2.6533
=23.74 %

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: Dec. 2025 )
=Net Income/Total Stockholders Equity
=1.852/7.8025
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (1.852 / 2.556) * (2.556 / 2.662) * (2.662 / 94.534) * (94.534 / 20.7025) * (20.7025 / 7.8025)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.7246 * 0.9602 * 2.82 % * 4.5663 * 2.6533
=23.74 %

Note: The net income data used here is two times the semi-annual (Dec. 2025) net income data. The Revenue data used here is two times the semi-annual (Dec. 2025) 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.


RTC Group ROE % Related Terms


RTC Group ROE % Historical Data

* Premium members only.

The historical data trend for RTC Group'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.

RTC Group ROE % Chart

RTC Group Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.07 -5.51 26.12 23.50 22.39

RTC Group Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
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 29.53 21.08 23.79 23.00 23.74

LSE:RTC vs KFY, RHI, TNET: ROE % Comparison

For the Staffing & Employment Services subindustry, RTC Group'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.


RTC Group ROE % vs Business Services Industry

For the Business Services industry and Industrials sector, RTC Group's ROE % distribution charts can be found below:

* The bar in red indicates where RTC Group's ROE % falls into.


LSE:RTC
61GF Score
RTC Group PLC LSE:RTC
ROE % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

RTC Group ROE % Calculation

RTC Group's annualized ROE % for the fiscal year that ended in Dec. 2025 is calculated as

ROE %=Net Income (A: Dec. 2025 )/( (Total Stockholders Equity (A: Dec. 2024 )+Total Stockholders Equity (A: Dec. 2025 ))/ count )
=1.813/( (8.007+8.189)/ 2 )
=1.813/8.098
=22.39 %

RTC Group's annualized ROE % for the quarter that ended in Dec. 2025 is calculated as

ROE %=Net Income (Q: Dec. 2025 )/( (Total Stockholders Equity (Q: Jun. 2025 )+Total Stockholders Equity (Q: Dec. 2025 ))/ count )
=1.852/( (7.416+8.189)/ 2 )
=1.852/7.8025
=23.74 %

* 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 (Dec. 2025) net income data. ROE % is displayed in the 30-year financial page.

Frequently Asked Questions Learn more about ROE % →
What does a ROE % of 23.74% mean?
RTC Group (LSE:RTC) has a ROE % of 23.74% as of Dec. 2025. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on RTC Group and its competitors. This is near median its historical median of 23.68. According to the industry distribution chart, RTC Group ranks #151 out of 1058 companies in the Business Services industry, placing it in the top 14.3%.
Is RTC Group's ROE % too high?
RTC Group's current ROE % of 23.74% is near median its 10-year median of 23.68. The Business Services industry median ROE % is 8.10. RTC Group's value of 23.74% is 193.3% above this industry median. Based on the distribution chart, RTC Group ranks #151 out of 1058 companies in the Business Services industry, which is in the top quartile — a strong position relative to peers. Overall, RTC Group has a GF Score™ of 61/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does RTC Group's ROE % compare to KFY and RHI?
According to the Business Services industry distribution chart, RTC Group ranks #151 out of 1058 companies for ROE %. This places RTC Group in the top 14% of its industry — outperforming the majority of peers. The industry median ROE % is 8.10. RTC Group's value of 23.74% is 193.3% above this benchmark. While the company's 10-year median is 23.68 vs. the industry median of 8.10, RTC Group has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROE % for a Business Services company?
The median ROE % among Business Services companies is 8.10, based on 1,058 companies in the industry. Companies in the top quartile (top 25%) have a ROE % significantly above this median, while those in the bottom quartile fall well below. However, ROE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. RTC Group's current ROE % of 23.74% is 193.3% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROE % mean?
A high ROE % can signal that a stock is expensive relative to its fundamentals. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on RTC Group and its competitors. For the Business Services industry, the median ROE % is 8.10 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. RTC Group's current ROE % is 23.74%, which is near median its own 10-year median of 23.68. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is RTC Group stock overvalued right now?
Based on GuruFocus' analysis, RTC Group (LSE:RTC) is currently considered Modestly Overvalued. The stock's GF Value™ is £0.83, compared to a current price of £1.01 — trading 21.7% above its estimated fair value. The current ROE % is 23.74%, which is near median its 10-year median of 23.68 and 193.3% above the Business Services industry median of 8.10. RTC Group's overall GF Score™ is 61/100. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROE % calculated?
ROE % is calculated from a company's financial statements. For RTC Group (LSE:RTC), the current ROE % is 23.74% as of Dec. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is RTC Group (LSE:RTC) Overvalued in 2026?

Based on GuruFocus' analysis, RTC Group stock appears to be overvalued. The current stock price of £1.01 is trading 21.7% above its estimated GF Value™ of £0.83. GuruFocus considers RTC Group to be Modestly Overvalued.

Key valuation signals for LSE:RTC:

  • ROE %: 23.74% (near median its 10-year median of 23.68)
  • GF Value™: £0.83 vs. price of £1.01 (21.7% above fair value)
  • GF Score™: 61/100
  • Industry Position: 193.3% above the Business Services median (#151 of 1058)

No single metric tells the full story. See the LSE:RTC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


RTC Group Business Description

Address London Road, The Derby Conference Centre, Derby, GBR, DE24 8UX
RTC Group PLC is a holding company. Along with its subsidiaries, it is engaged in the provision of engineering and technical recruitment services that provide temporary and permanent labor to a broad range of industries and customers in both domestic and international markets. It focuses on white and blue-collar recruitment, providing temporary, permanent, and contingent staff to a range of industries and clients in both domestic and international markets. The Group's operating segments include UK Recruitment, UK Central Services, and International Recruitment. The majority of its revenues are generated from the UK Recruitment segment. Geographically, the group derives maximum revenue from the United Kingdom, and the rest from the United States and the Middle East.
61GF Score

Get the complete analysis for LSE:RTC

ROE % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

£1.01
Price
£0.83
GF Value