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PFODF (Premier Foods) ROE % : 5.91% (As of Sep. 2024)


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What is Premier Foods ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Premier Foods's annualized net income for the quarter that ended in Sep. 2024 was $104 Mil. Premier Foods's average Total Stockholders Equity over the quarter that ended in Sep. 2024 was $1,768 Mil. Therefore, Premier Foods's annualized ROE % for the quarter that ended in Sep. 2024 was 5.91%.

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

PFODF' s ROE % Range Over the Past 10 Years
Min: -116.37   Med: 4.64   Max: 8.23
Current: 8.1

During the past 13 years, Premier Foods's highest ROE % was 8.23%. The lowest was -116.37%. And the median was 4.64%.

PFODF's ROE % is ranked better than
55.4% of 1841 companies
in the Consumer Packaged Goods industry
Industry Median: 6.8 vs PFODF: 8.10

Premier Foods ROE % Historical Data

The historical data trend for Premier Foods'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.

Premier Foods ROE % Chart

Premier Foods Annual Data
Trend Dec13 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 3.44 7.90 5.63 6.02 8.43

Premier Foods Semi-Annual Data
Jun14 Sep15 Mar16 Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 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 4.41 7.85 6.32 10.67 5.91

Competitive Comparison of Premier Foods's ROE %

For the Packaged Foods subindustry, Premier Foods'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.


Premier Foods's ROE % Distribution in the Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Premier Foods's ROE % distribution charts can be found below:

* The bar in red indicates where Premier Foods's ROE % falls into.



Premier Foods ROE % Calculation

Premier Foods's annualized ROE % for the fiscal year that ended in Mar. 2024 is calculated as

ROE %=Net Income (A: Mar. 2024 )/( (Total Stockholders Equity (A: Mar. 2023 )+Total Stockholders Equity (A: Mar. 2024 ))/ count )
=142.948/( (1706.311+1686.023)/ 2 )
=142.948/1696.167
=8.43 %

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

ROE %=Net Income (Q: Sep. 2024 )/( (Total Stockholders Equity (Q: Mar. 2024 )+Total Stockholders Equity (Q: Sep. 2024 ))/ count )
=104.498/( (1686.023+1850.529)/ 2 )
=104.498/1768.276
=5.91 %

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


Premier Foods  (OTCPK:PFODF) 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
=104.498/1768.276
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(104.498 / 1325.396)*(1325.396 / 3089.8425)*(3089.8425 / 1768.276)
=Net Margin %*Asset Turnover*Equity Multiplier
=7.88 %*0.429*1.7474
=ROA %*Equity Multiplier
=3.38 %*1.7474
=5.91 %

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
=104.498/1768.276
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (104.498 / 141.534) * (141.534 / 173.016) * (173.016 / 1325.396) * (1325.396 / 3089.8425) * (3089.8425 / 1768.276)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.7383 * 0.818 * 13.05 % * 0.429 * 1.7474
=5.91 %

Note: The net income data used here is two times the semi-annual (Sep. 2024) net income data. The Revenue data used here is two times the semi-annual (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.


Premier Foods ROE % Related Terms

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


Premier Foods Business Description

Traded in Other Exchanges
Address
Premier House, Griffiths Way, Centrium Business Park, Saint Albans, Hertfordshire, GBR, AL1 2RE
Premier Foods PLC is a food manufacturing company. It manufactures, processes, and distributes food products. The company's operating segments include Grocery and Sweet Treats. The Grocery segment primarily sells savoury ambient food products. The Sweet Treats segment sells sweet ambient food products. It generates maximum revenue from the Grocery segment. Geographically, it derives a majority of its revenue from the United Kingdom and also has a presence in Other Europe and Rest of world. Some of the company brands include Ambrosia, Angel Delight, Atora, Batchelors, Be-Ro, Bird's, Bisto, Cadbury, Coffee Compliment, Homepride, and others.