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Basin Energy (ASX:BSN) ROE % : -11.14% (As of Dec. 2023)


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What is Basin Energy ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Basin Energy's annualized net income for the quarter that ended in Dec. 2023 was A$-1.23 Mil. Basin Energy's average Total Stockholders Equity over the quarter that ended in Dec. 2023 was A$11.06 Mil. Therefore, Basin Energy's annualized ROE % for the quarter that ended in Dec. 2023 was -11.14%.

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

ASX:BSN' s ROE % Range Over the Past 10 Years
Min: -11.56   Med: -11.56   Max: -9.16
Current: -9.16

During the past 2 years, Basin Energy's highest ROE % was -9.16%. The lowest was -11.56%. And the median was -11.56%.

ASX:BSN's ROE % is ranked worse than
75.14% of 173 companies
in the Other Energy Sources industry
Industry Median: 7.99 vs ASX:BSN: -9.16

Basin Energy ROE % Historical Data

The historical data trend for Basin Energy'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.

Basin Energy ROE % Chart

Basin Energy Annual Data
Trend Jun22 Jun23
ROE %
- -11.56

Basin Energy Semi-Annual Data
Dec22 Jun23 Dec23
ROE % -15.99 -7.26 -11.14

Competitive Comparison of Basin Energy's ROE %

For the Uranium subindustry, Basin Energy'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.


Basin Energy's ROE % Distribution in the Other Energy Sources Industry

For the Other Energy Sources industry and Energy sector, Basin Energy's ROE % distribution charts can be found below:

* The bar in red indicates where Basin Energy's ROE % falls into.



Basin Energy ROE % Calculation

Basin Energy's annualized ROE % for the fiscal year that ended in Jun. 2023 is calculated as

ROE %=Net Income (A: Jun. 2023 )/( (Total Stockholders Equity (A: Jun. 2022 )+Total Stockholders Equity (A: Jun. 2023 ))/ count )
=-1.346/( (12.047+11.232)/ 2 )
=-1.346/11.6395
=-11.56 %

Basin Energy's annualized ROE % for the quarter that ended in Dec. 2023 is calculated as

ROE %=Net Income (Q: Dec. 2023 )/( (Total Stockholders Equity (Q: Jun. 2023 )+Total Stockholders Equity (Q: Dec. 2023 ))/ count )
=-1.232/( (11.232+10.896)/ 2 )
=-1.232/11.064
=-11.14 %

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


Basin Energy  (ASX:BSN) 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: Dec. 2023 )
=Net Income/Total Stockholders Equity
=-1.232/11.064
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(-1.232 / 0)*(0 / 11.184)*(11.184 / 11.064)
=Net Margin %*Asset Turnover*Equity Multiplier
=N/A %*0*1.0108
=ROA %*Equity Multiplier
=N/A %*1.0108
=-11.14 %

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: Dec. 2023 )
=Net Income/Total Stockholders Equity
=-1.232/11.064
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (-1.232 / -1.232) * (-1.232 / -1.41) * (-1.41 / 0) * (0 / 11.184) * (11.184 / 11.064)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 1 * 0.8738 * N/A % * 0 * 1.0108
=-11.14 %

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


Basin Energy ROE % Related Terms

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


Basin Energy (ASX:BSN) Business Description

Traded in Other Exchanges
N/A
Address
3 Ord Street, Level 1, West Perth, WA, AUS, 6005
Basin Energy Ltd is an early-stage mineral exploration and development company focused on uranium projects located in Canada. The company holds interests in the Marshall, Geikie, and North Millennium Projects. Each of the Projects is a prospective uranium exploration project.