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Almunajem Foods (SAU:4162) ROA % : 21.28% (As of Dec. 2023)


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What is Almunajem Foods ROA %?

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Almunajem Foods's annualized Net Income for the quarter that ended in Dec. 2023 was ﷼326 Mil. Almunajem Foods's average Total Assets over the quarter that ended in Dec. 2023 was ﷼1,534 Mil. Therefore, Almunajem Foods's annualized ROA % for the quarter that ended in Dec. 2023 was 21.28%.

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

SAU:4162' s ROA % Range Over the Past 10 Years
Min: 14.03   Med: 19.69   Max: 21.47
Current: 18.17

During the past 4 years, Almunajem Foods's highest ROA % was 21.47%. The lowest was 14.03%. And the median was 19.69%.

SAU:4162's ROA % is ranked better than
95.86% of 314 companies
in the Retail - Defensive industry
Industry Median: 3.375 vs SAU:4162: 18.17

Almunajem Foods ROA % Historical Data

The historical data trend for Almunajem Foods'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.

Almunajem Foods ROA % Chart

Almunajem Foods Annual Data
Trend Dec20 Dec21 Dec22 Dec23
ROA %
21.47 14.03 20.86 18.51

Almunajem Foods Quarterly Data
Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
ROA % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 4.59 20.92 14.33 15.94 21.28

Competitive Comparison of Almunajem Foods's ROA %

For the Food Distribution subindustry, Almunajem Foods'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.


Almunajem Foods's ROA % Distribution in the Retail - Defensive Industry

For the Retail - Defensive industry and Consumer Defensive sector, Almunajem Foods's ROA % distribution charts can be found below:

* The bar in red indicates where Almunajem Foods's ROA % falls into.



Almunajem Foods ROA % Calculation

Almunajem Foods's annualized ROA % for the fiscal year that ended in Dec. 2023 is calculated as:

ROA %=Net Income (A: Dec. 2023 )/( (Total Assets (A: Dec. 2022 )+Total Assets (A: Dec. 2023 ))/ count )
=282.213/( (1484.349+1564.757)/ 2 )
=282.213/1524.553
=18.51 %

Almunajem Foods's annualized ROA % for the quarter that ended in Dec. 2023 is calculated as:

ROA %=Net Income (Q: Dec. 2023 )/( (Total Assets (Q: Sep. 2023 )+Total Assets (Q: Dec. 2023 ))/ count )
=326.496/( (1503.749+1564.757)/ 2 )
=326.496/1534.253
=21.28 %

* 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 four times the quarterly (Dec. 2023) net income data. ROA % is displayed in the 30-year financial page.


Almunajem Foods  (SAU:4162) 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: Dec. 2023 )
=Net Income/Total Assets
=326.496/1534.253
=(Net Income / Revenue)*(Revenue / Total Assets)
=(326.496 / 3316.712)*(3316.712 / 1534.253)
=Net Margin %*Asset Turnover
=9.84 %*2.1618
=21.28 %

Note: The Net Income data used here is four times the quarterly (Dec. 2023) net income data. The Revenue data used here is four times the quarterly (Dec. 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.


Almunajem Foods ROA % Related Terms

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Almunajem Foods (SAU:4162) Business Description

Traded in Other Exchanges
N/A
Address
7510 Takhassusi Street, P O Box 1544, North Mathar, Riyadh, SAU, 11441
Almunajem Foods is a food company which is engaged in the importation, marketing, and distribution of frozen, chilled, and dry foodstuff. It serves over 18,000 customer outlets including retail, food services, and wholesale channels.

Almunajem Foods (SAU:4162) Headlines

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