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RWT AG (WBO:RWT) ROE % : 21.95% (As of Jan. 2023)


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What is RWT AG ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. RWT AG's annualized net income for the quarter that ended in Jan. 2023 was €0.93 Mil. RWT AG's average Total Stockholders Equity over the quarter that ended in Jan. 2023 was €4.24 Mil. Therefore, RWT AG's annualized ROE % for the quarter that ended in Jan. 2023 was 21.95%.

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

WBO:RWT' s ROE % Range Over the Past 10 Years
Min: 4.51   Med: 20.76   Max: 21.95
Current: 21.95

During the past 3 years, RWT AG's highest ROE % was 21.95%. The lowest was 4.51%. And the median was 20.76%.

WBO:RWT's ROE % is ranked better than
90.63% of 2956 companies
in the Industrial Products industry
Industry Median: 6.875 vs WBO:RWT: 21.95

RWT AG ROE % Historical Data

The historical data trend for RWT AG'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.

RWT AG ROE % Chart

RWT AG Annual Data
Trend Jan21 Jan22 Jan23
ROE %
4.51 20.76 21.95

RWT AG Semi-Annual Data
Jan21 Jan22 Jan23
ROE % 4.51 20.76 21.95

Competitive Comparison of RWT AG's ROE %

For the Specialty Industrial Machinery subindustry, RWT AG'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.


RWT AG's ROE % Distribution in the Industrial Products Industry

For the Industrial Products industry and Industrials sector, RWT AG's ROE % distribution charts can be found below:

* The bar in red indicates where RWT AG's ROE % falls into.



RWT AG ROE % Calculation

RWT AG's annualized ROE % for the fiscal year that ended in Jan. 2023 is calculated as

ROE %=Net Income (A: Jan. 2023 )/( (Total Stockholders Equity (A: Jan. 2022 )+Total Stockholders Equity (A: Jan. 2023 ))/ count )
=0.931/( (4.286+4.195)/ 2 )
=0.931/4.2405
=21.95 %

RWT AG's annualized ROE % for the quarter that ended in Jan. 2023 is calculated as

ROE %=Net Income (Q: Jan. 2023 )/( (Total Stockholders Equity (Q: Jan. 2022 )+Total Stockholders Equity (Q: Jan. 2023 ))/ count )
=0.931/( (4.286+4.195)/ 2 )
=0.931/4.2405
=21.95 %

* 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 one times the annual (Jan. 2023) net income data. ROE % is displayed in the 30-year financial page.


RWT AG  (WBO:RWT) 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: Jan. 2023 )
=Net Income/Total Stockholders Equity
=0.931/4.2405
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(0.931 / 7.078)*(7.078 / 9.148)*(9.148 / 4.2405)
=Net Margin %*Asset Turnover*Equity Multiplier
=13.15 %*0.7737*2.1573
=ROA %*Equity Multiplier
=10.17 %*2.1573
=21.95 %

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: Jan. 2023 )
=Net Income/Total Stockholders Equity
=0.931/4.2405
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (0.931 / 1.151) * (1.151 / 1.959) * (1.959 / 7.078) * (7.078 / 9.148) * (9.148 / 4.2405)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.8089 * 0.5875 * 27.68 % * 0.7737 * 2.1573
=21.95 %

Note: The net income data used here is one times the annual (Jan. 2023) net income data. The Revenue data used here is one times the annual (Jan. 2023) 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.


RWT AG ROE % Related Terms

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


RWT AG (WBO:RWT) Business Description

Comparable Companies
Traded in Other Exchanges
N/A
Address
Gseng 90, Russbach, Salzburg, AUT, 5442
RWT AG is a manufacturing company whose focus is on toolmaking, mold making, prototyping and assembly production. They also manufacture engine components and precision parts on a contract basis, including for the automotive, aircraft and motorsport industries.