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Inbound Platform (TSE:5587) ROE % : 14.03% (As of Sep. 2024)


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What is Inbound Platform ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Inbound Platform's annualized net income for the quarter that ended in Sep. 2024 was 円163 Mil. Inbound Platform's average Total Stockholders Equity over the quarter that ended in Sep. 2024 was 円1,164 Mil. Therefore, Inbound Platform's annualized ROE % for the quarter that ended in Sep. 2024 was 14.03%.

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

TSE:5587' s ROE % Range Over the Past 10 Years
Min: 11.28   Med: 33.14   Max: 35.82
Current: 11.3

During the past 4 years, Inbound Platform's highest ROE % was 35.82%. The lowest was 11.28%. And the median was 33.14%.

TSE:5587's ROE % is ranked better than
59.42% of 1030 companies
in the Business Services industry
Industry Median: 8.55 vs TSE:5587: 11.30

Inbound Platform ROE % Historical Data

The historical data trend for Inbound Platform'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.

Inbound Platform ROE % Chart

Inbound Platform Annual Data
Trend Sep21 Sep22 Sep23 Sep24
ROE %
35.82 30.63 35.65 11.28

Inbound Platform Semi-Annual Data
Sep21 Sep22 Mar23 Sep23 Mar24 Sep24
ROE % Get a 7-Day Free Trial - 44.66 42.60 8.38 14.03

Competitive Comparison of Inbound Platform's ROE %

For the Specialty Business Services subindustry, Inbound Platform'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.


Inbound Platform's ROE % Distribution in the Business Services Industry

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

* The bar in red indicates where Inbound Platform's ROE % falls into.



Inbound Platform ROE % Calculation

Inbound Platform's annualized ROE % for the fiscal year that ended in Sep. 2024 is calculated as

ROE %=Net Income (A: Sep. 2024 )/( (Total Stockholders Equity (A: Sep. 2023 )+Total Stockholders Equity (A: Sep. 2024 ))/ count )
=127.148/( (1048.865+1204.64)/ 2 )
=127.148/1126.7525
=11.28 %

Inbound Platform'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 )
=163.284/( (1122.998+1204.64)/ 2 )
=163.284/1163.819
=14.03 %

* 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.


Inbound Platform  (TSE:5587) 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
=163.284/1163.819
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(163.284 / 2472.79)*(2472.79 / 1895.8755)*(1895.8755 / 1163.819)
=Net Margin %*Asset Turnover*Equity Multiplier
=6.6 %*1.3043*1.629
=ROA %*Equity Multiplier
=8.61 %*1.629
=14.03 %

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
=163.284/1163.819
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (163.284 / 182.686) * (182.686 / 231.08) * (231.08 / 2472.79) * (2472.79 / 1895.8755) * (1895.8755 / 1163.819)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.8938 * 0.7906 * 9.34 % * 1.3043 * 1.629
=14.03 %

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.


Inbound Platform ROE % Related Terms

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


Inbound Platform Business Description

Traded in Other Exchanges
N/A
Address
6-14-5 Shimbashi, 4th floor, SW Shimbashi Building, Minato-ku, Tokyo, JPN, 105-0004
Inbound Platform Corp is engaged in providing Pocket Wi-Fi, RV rental, foreign currency exchange services, and online travel information so foreign visitors can enjoy Japan even more. Its business operations primarily cater to foreign visitors in Japan.

Inbound Platform Headlines

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