GURUFOCUS.COM » STOCK LIST » Industrials » Construction » Obrascon Huarte Lain SA (XMAD:OHLA) » Definitions » ROA %

Obrascon Huarte Lain (XMAD:OHLA) ROA % : 1.66% (As of Sep. 2023)


View and export this data going back to 2000. Start your Free Trial

What is Obrascon Huarte Lain ROA %?

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Obrascon Huarte Lain's annualized Net Income for the quarter that ended in Sep. 2023 was €55 Mil. Obrascon Huarte Lain's average Total Assets over the quarter that ended in Sep. 2023 was €3,296 Mil. Therefore, Obrascon Huarte Lain's annualized ROA % for the quarter that ended in Sep. 2023 was 1.66%.

The historical rank and industry rank for Obrascon Huarte Lain's ROA % or its related term are showing as below:

XMAD:OHLA' s ROA % Range Over the Past 10 Years
Min: -19.34   Med: -1.59   Max: 2.1
Current: 0.19

During the past 13 years, Obrascon Huarte Lain's highest ROA % was 2.10%. The lowest was -19.34%. And the median was -1.59%.

XMAD:OHLA's ROA % is ranked worse than
72.15% of 1666 companies
in the Construction industry
Industry Median: 2.625 vs XMAD:OHLA: 0.19

Obrascon Huarte Lain ROA % Historical Data

The historical data trend for Obrascon Huarte Lain'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.

Obrascon Huarte Lain ROA % Chart

Obrascon Huarte Lain Annual Data
Trend Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22
ROA %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -19.34 -3.70 -4.46 0.19 -3.10

Obrascon Huarte Lain Quarterly Data
Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23
ROA % 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 Premium Member Only Premium Member Only -3.55 -1.00 -1.00 1.07 1.66

Competitive Comparison of Obrascon Huarte Lain's ROA %

For the Engineering & Construction subindustry, Obrascon Huarte Lain'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.


Obrascon Huarte Lain's ROA % Distribution in the Construction Industry

For the Construction industry and Industrials sector, Obrascon Huarte Lain's ROA % distribution charts can be found below:

* The bar in red indicates where Obrascon Huarte Lain's ROA % falls into.



Obrascon Huarte Lain ROA % Calculation

Obrascon Huarte Lain's annualized ROA % for the fiscal year that ended in Dec. 2022 is calculated as:

ROA %=Net Income (A: Dec. 2022 )/( (Total Assets (A: Dec. 2021 )+Total Assets (A: Dec. 2022 ))/ count )
=-96.84/( (3062.375+3194.314)/ 2 )
=-96.84/3128.3445
=-3.10 %

Obrascon Huarte Lain's annualized ROA % for the quarter that ended in Sep. 2023 is calculated as:

ROA %=Net Income (Q: Sep. 2023 )/( (Total Assets (Q: Jun. 2023 )+Total Assets (Q: Sep. 2023 ))/ count )
=54.572/( (3226.42+3365.4)/ 2 )
=54.572/3295.91
=1.66 %

* 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 (Sep. 2023) net income data. ROA % is displayed in the 30-year financial page.


Obrascon Huarte Lain  (XMAD:OHLA) 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: Sep. 2023 )
=Net Income/Total Assets
=54.572/3295.91
=(Net Income / Revenue)*(Revenue / Total Assets)
=(54.572 / 3375.708)*(3375.708 / 3295.91)
=Net Margin %*Asset Turnover
=1.62 %*1.0242
=1.66 %

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


Obrascon Huarte Lain ROA % Related Terms

Thank you for viewing the detailed overview of Obrascon Huarte Lain's ROA % provided by GuruFocus.com. Please click on the following links to see related term pages.


Obrascon Huarte Lain (XMAD:OHLA) Business Description

Traded in Other Exchanges
Address
Paseo de la Castellana 259 D, Torrespacio, Madrid, ESP, D-28046
Obrascon Huarte Lain SA is engaged in providing all manner of civil engineering and building construction works for public and private customers. Its object also includes the provision of public and private services, the operation of service concession arrangements and hotel complexes, real estate development and the sale of properties.

Obrascon Huarte Lain (XMAD:OHLA) Headlines

No Headlines