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Synlait Milk (ASX:SM1) 5-Year RORE % : -340.74% (As of Jan. 2024)


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What is Synlait Milk 5-Year RORE %?

Return on Retained Earnings (RORE) is an indicator of a company's growth potential, it shows how much a company earns by reinvesting its retained earnings, i.e. profits after dividend payments. Synlait Milk's 5-Year RORE % for the quarter that ended in Jan. 2024 was -340.74%.

The industry rank for Synlait Milk's 5-Year RORE % or its related term are showing as below:

ASX:SM1's 5-Year RORE % is ranked worse than
98.52% of 1549 companies
in the Consumer Packaged Goods industry
Industry Median: 6.9 vs ASX:SM1: -340.74

Synlait Milk 5-Year RORE % Historical Data

The historical data trend for Synlait Milk's 5-Year RORE % 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.

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Synlait Milk 5-Year RORE % Chart

Synlait Milk Annual Data
Trend Jul17 Jul18 Jul19 Jul20 Jul21 Jul22 Jul23
5-Year RORE %
Get a 7-Day Free Trial - - -26.24 -17.32 -53.59

Synlait Milk Semi-Annual Data
Jan14 Jan15 Jan16 Jan17 Jul17 Jan18 Jul18 Jan19 Jul19 Jan20 Jul20 Jan21 Jul21 Jan22 Jul22 Jan23 Jul23 Jan24
5-Year RORE % 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 -29.24 -17.32 -28.87 -53.59 -340.74

Competitive Comparison of Synlait Milk's 5-Year RORE %

For the Packaged Foods subindustry, Synlait Milk's 5-Year RORE %, along with its competitors' market caps and 5-Year RORE % 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.


Synlait Milk's 5-Year RORE % Distribution in the Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Synlait Milk's 5-Year RORE % distribution charts can be found below:

* The bar in red indicates where Synlait Milk's 5-Year RORE % falls into.



Synlait Milk 5-Year RORE % Calculation

Synlait Milk's 5-Year RORE % for the quarter that ended in Jan. 2024 is calculated as:

5-Year RORE %=( Most Recent EPS (Diluted)- First Period EPS (Diluted) )/( Cumulative EPS (Diluted) for 5-year -Cumulative Dividends per Share for 5-year )
=( -0.447-0.381 )/( 0.243-0 )
=-0.828/0.243
=-340.74 %

* 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 5-Year RORE %, the most recent and first period EPS (Diluted) is the trailing twelve months (TTM) data ended in Jan. 2024 and 5-year before.


Synlait Milk  (ASX:SM1) 5-Year RORE % Explanation

Return on Retained Earnings (RORE) is important to investors because it reveals a company's efficiency and growth potential. A higher RORE indicates a higher return. A high RORE indicates that the company should reinvest profits into the business. A lower RORE suggests that the company should distribute profits to shareholders by paying out dividends, since those dollars aren't generating much additional growth for the company.

There are a several different ways to arrive at the Return on Retained Earnings. The simplest way to calculate it is by using published information on Earnings per Share (EPS) and Dividend per Share (DPS) over a selected period. Here, 5-year period is chosen.

Be Aware

Please keep in mind that the RORE is relative to the nature of the business and its competitors. If another company in the same sector is producing a lower return on retained earnings, it doesn’t necessarily mean it’s a bad investment. It may just suggest the company is older and no longer in a high growth stage. At such a stage in the business cycle, it would be expected to see a lower RORE and higher dividend payout.


Synlait Milk 5-Year RORE % Related Terms

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Synlait Milk (ASX:SM1) Business Description

Traded in Other Exchanges
Address
1028 Heslerton Road, RD13, Rakaia, STL, NZL, 7783
Synlait Milk Ltd is a dairy processing company that benefits from a differentiated milk supply and unique operating environment in New Zealand. The business operates within one industry that includes the manufacture of milk powder and its related products, liquid milk, cheese, and butter. The company's success is largely due to its core infant nutrition business. Some of its key products include infant nutritional powders, whole milk powders, skim milk powders, anhydrous milk fat, and lactoferrin. The company is largely export-focused with China as its largest export market. The acquisition of two cheese companies resulted in an instant increase in the cheese segment and a more diversified earnings base.

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