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Moonpig Group (LSE:MOON) ROA % : 9.90% (As of Oct. 2023)


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What is Moonpig Group ROA %?

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Moonpig Group's annualized Net Income for the quarter that ended in Oct. 2023 was £28.2 Mil. Moonpig Group's average Total Assets over the quarter that ended in Oct. 2023 was £284.5 Mil. Therefore, Moonpig Group's annualized ROA % for the quarter that ended in Oct. 2023 was 9.90%.

The historical rank and industry rank for Moonpig Group's ROA % or its related term are showing as below:

LSE:MOON' s ROA % Range Over the Past 10 Years
Min: 11.49   Med: 23.34   Max: 65.88
Current: 11.8

During the past 6 years, Moonpig Group's highest ROA % was 65.88%. The lowest was 11.49%. And the median was 23.34%.

LSE:MOON's ROA % is ranked better than
90.98% of 1120 companies
in the Retail - Cyclical industry
Industry Median: 2.18 vs LSE:MOON: 11.80

Moonpig Group ROA % Historical Data

The historical data trend for Moonpig Group's ROA % 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.

Moonpig Group ROA % Chart

Moonpig Group Annual Data
Trend Apr18 Apr19 Apr20 Apr21 Apr22 Apr23
ROA %
Get a 7-Day Free Trial 26.70 33.04 16.67 19.98 11.49

Moonpig Group Semi-Annual Data
Apr18 Apr19 Oct19 Apr20 Oct20 Apr21 Oct21 Apr22 Oct22 Apr23 Oct23
ROA % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only 22.09 20.70 4.75 13.70 9.90

Competitive Comparison of Moonpig Group's ROA %

For the Specialty Retail subindustry, Moonpig Group's ROA %, along with its competitors' market caps and ROA % 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.


Moonpig Group's ROA % Distribution in the Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Moonpig Group's ROA % distribution charts can be found below:

* The bar in red indicates where Moonpig Group's ROA % falls into.



Moonpig Group ROA % Calculation

Moonpig Group's annualized ROA % for the fiscal year that ended in Apr. 2023 is calculated as:

ROA %=Net Income (A: Apr. 2023 )/( (Total Assets (A: Apr. 2022 )+Total Assets (A: Apr. 2023 ))/ count )
=26.607/( (173.539+289.705)/ 2 )
=26.607/231.622
=11.49 %

Moonpig Group's annualized ROA % for the quarter that ended in Oct. 2023 is calculated as:

ROA %=Net Income (Q: Oct. 2023 )/( (Total Assets (Q: Apr. 2023 )+Total Assets (Q: Oct. 2023 ))/ count )
=28.166/( (289.705+279.281)/ 2 )
=28.166/284.493
=9.90 %

* 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 ROA %, the net income of the last fiscal year and the average total assets over the fiscal year are used. In calculating the quarterly data, the Net Income data used here is two times the semi-annual (Oct. 2023) net income data. ROA % is displayed in the 30-year financial page.


Moonpig Group  (LSE:MOON) ROA % Explanation

ROA % measures the rate of return on the total assets (shareholder equity plus liabilities). It measures a firm's efficiency at generating profits from shareholders' equity plus its liabilities. ROA % shows how well a company uses what it has to generate earnings. ROA %s can vary drastically across industries. Therefore, ROA % should not be used to compare companies in different industries. For retailers, a ROA % of higher than 5% is expected. For example, Wal-Mart (WMT) has a ROA % of about 8% as of 2012. For banks, ROA % is close to their interest spread. A bank’s ROA % is typically well under 2%.

Similar to ROE, ROA % is affected by profit margins and asset turnover. This can be seen from the Du Pont Formula:

ROA %(Q: Oct. 2023 )
=Net Income/Total Assets
=28.166/284.493
=(Net Income / Revenue)*(Revenue / Total Assets)
=(28.166 / 304.272)*(304.272 / 284.493)
=Net Margin %*Asset Turnover
=9.26 %*1.0695
=9.90 %

Note: The Net Income data used here is two times the semi-annual (Oct. 2023) net income data. The Revenue data used here is two times the semi-annual (Oct. 2023) revenue data.

* 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

Like ROE, ROA % is calculated with only 12 months data. Fluctuations in the company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective. ROA % can be affected by events such as stock buyback or issuance, and by goodwill, a company's tax rate and its interest payment. ROA % may not reflect the true earning power of the assets. A more accurate measurement is ROC % (ROC).

Many analysts argue the higher return the better. Buffett states that really high ROA % may indicate vulnerability in the durability of the competitive advantage.

E.g. Raising $43b to take on KO is impossible, but $1.7b to take on Moody's is. Although Moody's ROA % and underlying economics is far superior to Coca Cola, the durability is far weaker because of lower entry cost.


Moonpig Group ROA % Related Terms

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Moonpig Group (LSE:MOON) Business Description

Traded in Other Exchanges
Address
10 Back Hill, Herbal House, London, GBR, EC1R 5EN
Moonpig Group PLC operates in the gifting market. The company is engaged in the sale of greeting cards and gifts. Its operating segment includes Moonpig and Greetz. The company generates maximum revenue from the Moonpig segment. The business is spread across UK and Ireland; the Netherlands and the Rest of the World.

Moonpig Group (LSE:MOON) Headlines