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PCSA (Processa Pharmaceuticals) ROE % : -277.89% (As of Sep. 2024)


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What is Processa Pharmaceuticals ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Processa Pharmaceuticals's annualized net income for the quarter that ended in Sep. 2024 was $-13.54 Mil. Processa Pharmaceuticals's average Total Stockholders Equity over the quarter that ended in Sep. 2024 was $4.87 Mil. Therefore, Processa Pharmaceuticals's annualized ROE % for the quarter that ended in Sep. 2024 was -277.89%.

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

PCSA' s ROE % Range Over the Past 10 Years
Min: -314.41   Med: -93.14   Max: -37.91
Current: -187.2

During the past 13 years, Processa Pharmaceuticals's highest ROE % was -37.91%. The lowest was -314.41%. And the median was -93.14%.

PCSA's ROE % is ranked worse than
88.35% of 1305 companies
in the Biotechnology industry
Industry Median: -43.68 vs PCSA: -187.20

Processa Pharmaceuticals ROE % Historical Data

The historical data trend for Processa Pharmaceuticals'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.

Processa Pharmaceuticals ROE % Chart

Processa Pharmaceuticals Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -37.91 -93.14 -47.20 -166.43 -178.52

Processa Pharmaceuticals Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
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 -102.01 -158.26 -157.21 -161.53 -277.89

Competitive Comparison of Processa Pharmaceuticals's ROE %

For the Biotechnology subindustry, Processa Pharmaceuticals'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.


Processa Pharmaceuticals's ROE % Distribution in the Biotechnology Industry

For the Biotechnology industry and Healthcare sector, Processa Pharmaceuticals's ROE % distribution charts can be found below:

* The bar in red indicates where Processa Pharmaceuticals's ROE % falls into.



Processa Pharmaceuticals ROE % Calculation

Processa Pharmaceuticals'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 )
=-11.122/( (7.471+4.989)/ 2 )
=-11.122/6.23
=-178.52 %

Processa Pharmaceuticals's annualized ROE % for the quarter that ended in Sep. 2024 is calculated as

ROE %=Net Income (Q: Sep. 2024 )/( (Total Stockholders Equity (Q: Jun. 2024 )+Total Stockholders Equity (Q: Sep. 2024 ))/ count )
=-13.54/( (6.024+3.721)/ 2 )
=-13.54/4.8725
=-277.89 %

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


Processa Pharmaceuticals  (NAS:PCSA) 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: Sep. 2024 )
=Net Income/Total Stockholders Equity
=-13.54/4.8725
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(-13.54 / 0)*(0 / 6.2715)*(6.2715 / 4.8725)
=Net Margin %*Asset Turnover*Equity Multiplier
=N/A %*0*1.2871
=ROA %*Equity Multiplier
=N/A %*1.2871
=-277.89 %

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: Sep. 2024 )
=Net Income/Total Stockholders Equity
=-13.54/4.8725
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (-13.54 / -13.54) * (-13.54 / -13.7) * (-13.7 / 0) * (0 / 6.2715) * (6.2715 / 4.8725)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 1 * 0.9883 * N/A % * 0 * 1.2871
=-277.89 %

Note: The net income data used here is four times the quarterly (Sep. 2024) net income data. The Revenue data used here is four times the quarterly (Sep. 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.


Processa Pharmaceuticals ROE % Related Terms

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


Processa Pharmaceuticals Business Description

Traded in Other Exchanges
N/A
Address
7380 Coca Cola Drive, Suite 106, Hanover, MD, USA, 21076
Processa Pharmaceuticals Inc is a clinical-stage biopharmaceutical company focused on utilizing its "regulatory science" approach in the development of Next Generation Chemotherapy ("NGC") oncology drug products. The company's strategic prioritization is to advance its pipeline of NGC proprietary small molecule oncology drugs. The NGC products are new chemical entities, but the company work by changing the metabolism, distribution, and/or elimination of already FDA-approved cancer drugs or their active metabolites while maintaining the mechanism of how the drug kills cancer cells. The three NGC treatments in its pipeline are - NGC-Capecitabine (also referred to as NGC-Cap), PCS3117, also referred to as NGC-Gemcitabine (NGC-Gem), PCS11T, also referred to as NGC-Irinotecan (NGC-Iri).
Executives
David Young director, 10 percent owner, officer: President & CEO 8850 STANFORD BOULEVARD, SUITE 2500, COLUMBIA MD 21045
Patrick Lin officer: Chief Business - Strategy Off 7380 COCA COLA DRIVE, SUITE 106, HANOVER MD 21076
George K Ng officer: Chief Executive Officer C/O SORRENTO THERAPEUTICS, INC., 6042 CORNERSTONE COURT WEST, SUITE B, SAN DIEGO CA 92121
Justin W Yorke director C/O JMG EXPLORATION, 180 SOUTH LAKE AVENUE, PASADENA CA 91101
Wendy Guy officer: Chief Administrative Officer 7380 COCA COLA DRIVE, SUITE 106, HANOVER MD 21076
James H Stanker officer: Chief Financial Officer 9008 SHADYBROOK DRIVE, FREDERICK MD 21701
Khoso Baluch director 1430 US HIGHWAY 206, SUITE 200, BEDMINSTER NJ 07921
James R Neal director 2910 SEVENTH STREET, BERKELEY CA 94710
Virgil Thompson director 319 SOUTH NARDO, SOIANA BEACH CA 92075
Geraldine Pannu director 7380 COCA COLA DRIVE, SUITE 106, HANOVER MD 21076
Robert Michael Floyd officer: Chief Operating Officer C/O PROCESSA PHARMACEUTICALS, INC., 7300 COCA COLA DRIVE, SUITE 106, HANOVER MD 21076
James E Besser 10 percent owner 3 WEST HILL PLACE, BOSTON MA 02114
Khalid Islam director C/O IMMUNOMEDICS, INC., 300 THE AMERICAN ROAD, MORRIS PLAINS NJ 07950
Sian Bigora officer: Chief Development Officer 7380 COCA COLA DRIVE, SUITE 106, HANOVER MD 21076