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Mississippi Power Co (Mississippi Power Co) ROE % : 4.31% (As of Jun. 2018)


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What is Mississippi Power Co ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Mississippi Power Co's annualized net income for the quarter that ended in Jun. 2018 was $188.00 Mil. Mississippi Power Co's average Total Stockholders Equity over the quarter that ended in Jun. 2018 was $4,366.50 Mil. Therefore, Mississippi Power Co's annualized ROE % for the quarter that ended in Jun. 2018 was 4.31%.

The historical rank and industry rank for Mississippi Power Co's ROE % or its related term are showing as below:

MPpD.CL.PFD' s ROE % Range Over the Past 10 Years
Min: -21.82   Med: 11.11   Max: 13.97
Current: -21.82

During the past 11 years, Mississippi Power Co's highest ROE % was 13.97%. The lowest was -21.82%. And the median was 11.11%.

MPpD.CL.PFD's ROE % is not ranked
in the Utilities - Regulated industry.
Industry Median: 8.41 vs MPpD.CL.PFD: -21.82

Mississippi Power Co ROE % Historical Data

The historical data trend for Mississippi Power Co'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.

Mississippi Power Co ROE % Chart

Mississippi Power Co Annual Data
Trend Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -24.20 -15.35 -0.27 -1.81 -120.34

Mississippi Power Co Quarterly Data
Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18
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 -342.24 8.45 -135.70 21.07 4.31

Competitive Comparison of Mississippi Power Co's ROE %

For the Utilities - Regulated Electric subindustry, Mississippi Power Co'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.


Mississippi Power Co's ROE % Distribution in the Utilities - Regulated Industry

For the Utilities - Regulated industry and Utilities sector, Mississippi Power Co's ROE % distribution charts can be found below:

* The bar in red indicates where Mississippi Power Co's ROE % falls into.



Mississippi Power Co ROE % Calculation

Mississippi Power Co's annualized ROE % for the fiscal year that ended in Dec. 2017 is calculated as

ROE %=Net Income (A: Dec. 2017 )/( (Total Stockholders Equity (A: Dec. 2016 )+Total Stockholders Equity (A: Dec. 2017 ))/ count )
=-2588/( (2943+1358)/ 2 )
=-2588/2150.5
=-120.34 %

Mississippi Power Co's annualized ROE % for the quarter that ended in Jun. 2018 is calculated as

ROE %=Net Income (Q: Jun. 2018 )/( (Total Stockholders Equity (Q: Mar. 2018 )+Total Stockholders Equity (Q: Jun. 2018 ))/ count )
=188/( (7335+1398)/ 2 )
=188/4366.5
=4.31 %

* 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. 2018) net income data. ROE % is displayed in the 30-year financial page.


Mississippi Power Co  (NYSE:MPpD.CL.PFD) 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. 2018 )
=Net Income/Total Stockholders Equity
=188/4366.5
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(188 / 1188)*(1188 / 14485)*(14485 / 4366.5)
=Net Margin %*Asset Turnover*Equity Multiplier
=15.82 %*0.082*3.3173
=ROA %*Equity Multiplier
=1.3 %*3.3173
=4.31 %

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. 2018 )
=Net Income/Total Stockholders Equity
=188/4366.5
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (188 / 240) * (240 / 216) * (216 / 1188) * (1188 / 14485) * (14485 / 4366.5)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.7833 * 1.1111 * 18.18 % * 0.082 * 3.3173
=4.31 %

Note: The net income data used here is four times the quarterly (Jun. 2018) net income data. The Revenue data used here is four times the quarterly (Jun. 2018) 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.


Mississippi Power Co ROE % Related Terms

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


Mississippi Power Co (Mississippi Power Co) Business Description

Traded in Other Exchanges
N/A
Address
Mississippi Power Co operates as a vertically integrated utility providing electricity to retail customers within its traditional service territory located within the State of Mississippi and to wholesale customers in the Southeast.
Executives
Anthony L Wilson officer: Executive Vice President 30 IVAN ALLEN JR. BLVD, ATLANTA GA 30308
G Edison Holland officer: President & CEO 270 PEACHTREE ST NW BIN 910, ATLANTA GA 30303
Iv Edward Day, officer: President and CEO 30 IVAN ALLEN JR. BLVD, ATLANTA GA 30308
Royce Cumbest director 3118 PASCAGOULA STREET, PASCAGOULA MS 39567
Carl J Chaney director 146 LAKE TRIAL, FLORA MS 39071
Christine L Smilek director P O BOX 4019, GULFPORT MS 39502
Hood Warren A Jr director 623 MAIN STREET, HATTIESBURG MS 39401
Anthony J Topazi director, officer: President and CEO P O BOX 4079, GULFPORT MS 395024079

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