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Takaful Oman InsuranceOG (MUS:TAOI) ROE % : -0.64% (As of Dec. 2017)


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What is Takaful Oman InsuranceOG ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Takaful Oman InsuranceOG's annualized net income for the quarter that ended in Dec. 2017 was ر.ع-0.10 Mil. Takaful Oman InsuranceOG's average Total Stockholders Equity over the quarter that ended in Dec. 2017 was ر.ع15.62 Mil. Therefore, Takaful Oman InsuranceOG's annualized ROE % for the quarter that ended in Dec. 2017 was -0.64%.

The historical rank and industry rank for Takaful Oman InsuranceOG's ROE % or its related term are showing as below:

MUS:TAOI's ROE % is not ranked *
in the Insurance industry.
Industry Median: 11.27
* Ranked among companies with meaningful ROE % only.

Takaful Oman InsuranceOG ROE % Historical Data

The historical data trend for Takaful Oman InsuranceOG'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.

Takaful Oman InsuranceOG ROE % Chart

Takaful Oman InsuranceOG Annual Data
Trend Dec14 Dec15 Dec16 Dec17
ROE %
-5.47 16.49 -18.74 9.92

Takaful Oman InsuranceOG Quarterly Data
Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17
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 -131.96 22.07 8.12 10.94 -0.64

Competitive Comparison of Takaful Oman InsuranceOG's ROE %

For the Insurance - Diversified subindustry, Takaful Oman InsuranceOG'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.


Takaful Oman InsuranceOG's ROE % Distribution in the Insurance Industry

For the Insurance industry and Financial Services sector, Takaful Oman InsuranceOG's ROE % distribution charts can be found below:

* The bar in red indicates where Takaful Oman InsuranceOG's ROE % falls into.



Takaful Oman InsuranceOG ROE % Calculation

Takaful Oman InsuranceOG'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 )
=1.475/( (13.852+15.894)/ 2 )
=1.475/14.873
=9.92 %

Takaful Oman InsuranceOG's annualized ROE % for the quarter that ended in Dec. 2017 is calculated as

ROE %=Net Income (Q: Dec. 2017 )/( (Total Stockholders Equity (Q: Sep. 2017 )+Total Stockholders Equity (Q: Dec. 2017 ))/ count )
=-0.1/( (15.349+15.894)/ 2 )
=-0.1/15.6215
=-0.64 %

* 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 (Dec. 2017) net income data. ROE % is displayed in the 30-year financial page.


Takaful Oman InsuranceOG  (MUS:TAOI) 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. 2017 )
=Net Income/Total Stockholders Equity
=-0.1/15.6215
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(-0.1 / 26.788)*(26.788 / 26.249)*(26.249 / 15.6215)
=Net Margin %*Asset Turnover*Equity Multiplier
=-0.37 %*1.0205*1.6803
=ROA %*Equity Multiplier
=-0.38 %*1.6803
=-0.64 %

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. 2017 )
=Net Income/Total Stockholders Equity
=-0.1/15.6215
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / EBIT) * (EBIT / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (-0.1 / 0.416) * (0.416 / 0) * (0 / 26.788) * (26.788 / 26.249) * (26.249 / 15.6215)
= Tax Burden * Interest Burden * EBIT Margin % * Asset Turnover * Equity Multiplier
= -0.2404 * N/A * 0 % * 1.0205 * 1.6803
=-0.64 %

Note: The net income data used here is four times the quarterly (Dec. 2017) net income data. The Revenue data used here is four times the quarterly (Dec. 2017) 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.


Takaful Oman InsuranceOG ROE % Related Terms

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Takaful Oman InsuranceOG Business Description

Traded in Other Exchanges
N/A
Address
P.O. BOX 207, Bareeq Al Shatti, Muscat, OMN, 134
Takaful Oman Insurance SAOG operates as an Islamic insurance provider in the Sultanate of Oman. It operates through two segments, General Takaful and Family Takaful. Its General Takaful segment which contributes majorly towards firm's revenue includes medical, fire, general accident and marine and cargo insurance. The company's products include group family, group health, group creditor, domestic helper, and travel takaful plans; and motor insurance, personal accident, workmen's compensation, marine cargo, property all risk, machinery breakdown, erection all risk, contractor's plant and equipment, and contractor's all risk takaful products.

Takaful Oman InsuranceOG Headlines

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