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Brilliant Earth Group (Brilliant Earth Group) ROE % : 7.99% (As of Dec. 2023)


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What is Brilliant Earth Group ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Brilliant Earth Group's annualized net income for the quarter that ended in Dec. 2023 was $1.0 Mil. Brilliant Earth Group's average Total Stockholders Equity over the quarter that ended in Dec. 2023 was $12.2 Mil. Therefore, Brilliant Earth Group's annualized ROE % for the quarter that ended in Dec. 2023 was 7.99%.

The historical rank and industry rank for Brilliant Earth Group's ROE % or its related term are showing as below:

BRLT' s ROE % Range Over the Past 10 Years
Min: 4.98   Med: 5011.05   Max: Negative Equity
Current: 5.02

During the past 5 years, Brilliant Earth Group's highest ROE % was Negative Equity%. The lowest was 4.98%. And the median was 5,011.05%.

BRLT's ROE % is ranked worse than
52.67% of 1086 companies
in the Retail - Cyclical industry
Industry Median: 5.925 vs BRLT: 5.02

Brilliant Earth Group ROE % Historical Data

The historical data trend for Brilliant Earth Group'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.

Brilliant Earth Group ROE % Chart

Brilliant Earth Group Annual Data
Trend Dec19 Dec20 Dec21 Dec22 Dec23
ROE %
- Negative Equity Negative Equity 22.09 4.98

Brilliant Earth Group Quarterly Data
Dec19 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
ROE % 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 27.50 -1.88 5.17 8.36 7.99

Competitive Comparison of Brilliant Earth Group's ROE %

For the Luxury Goods subindustry, Brilliant Earth Group'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.


Brilliant Earth Group's ROE % Distribution in the Retail - Cyclical Industry

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

* The bar in red indicates where Brilliant Earth Group's ROE % falls into.



Brilliant Earth Group ROE % Calculation

Brilliant Earth Group's annualized ROE % for the fiscal year that ended in Dec. 2023 is calculated as

ROE %=Net Income (A: Dec. 2023 )/( (Total Stockholders Equity (A: Dec. 2022 )+Total Stockholders Equity (A: Dec. 2023 ))/ count )
=0.584/( (10.929+12.532)/ 2 )
=0.584/11.7305
=4.98 %

Brilliant Earth Group's annualized ROE % for the quarter that ended in Dec. 2023 is calculated as

ROE %=Net Income (Q: Dec. 2023 )/( (Total Stockholders Equity (Q: Sep. 2023 )+Total Stockholders Equity (Q: Dec. 2023 ))/ count )
=0.972/( (11.805+12.532)/ 2 )
=0.972/12.1685
=7.99 %

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


Brilliant Earth Group  (NAS:BRLT) 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
=0.972/12.1685
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(0.972 / 497.384)*(497.384 / 269.638)*(269.638 / 12.1685)
=Net Margin %*Asset Turnover*Equity Multiplier
=0.2 %*1.8446*22.1587
=ROA %*Equity Multiplier
=0.37 %*22.1587
=7.99 %

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
=0.972/12.1685
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (0.972 / 5.564) * (5.564 / 4.792) * (4.792 / 497.384) * (497.384 / 269.638) * (269.638 / 12.1685)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.1747 * 1.1611 * 0.96 % * 1.8446 * 22.1587
=7.99 %

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. 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.


Brilliant Earth Group ROE % Related Terms

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Brilliant Earth Group (Brilliant Earth Group) Business Description

Traded in Other Exchanges
N/A
Address
300 Grant Avenue, Third Floor, San Francisco, CA, USA, 94108
Brilliant Earth Group Inc designs, procures and sells ethically-sourced diamonds, gemstones and jewelry online and through showrooms. Its sales consist of revenue from diamond, gemstone, and jewelry retail sales. The company sells its products in the U.S. and other international countries, of which a majority of revenue is derived from the U.S.
Executives
Mainsail Gp Iii, Llc 10 percent owner 500 WEST 5TH STREET, SUITE 1100, AUSTIN TX 78701
Gavin Turner director, 10 percent owner 500 WEST 5TH STREET, SUITE 1100, AUSTIN TX 78701
Jeffrey Chuenhong Kuo officer: Chief Financial Officer C/O BRILLIANT EARTH GROUP, INC., 300 GRANT AVENUE, 3RD FLOOR, SAN FRANCISCO CA 94108
Jennifer Noel Harris director 13785 RESEARCH BLVD., SUITE 150, AUSTIN TX 78750
Ian Bickley director 516 WEST 34TH STREET, NEW YORK NY 10001
Beth Tanara Gerstein director, 10 percent owner, officer: Chief Executive Officer C/O BRILLIANT EARTH GROUP, INC., 300 GRANT AVENUE, 3RD FLOOR, SAN FRANCISCO CA 94108
Eric Scott Grossberg director, 10 percent owner, officer: Executive Chairman C/O BRILLIANT EARTH GROUP, INC., 300 GRANT AVENUE, 3RD FLOOR, SAN FRANCISCO CA 94108
Just Rocks, Inc. 10 percent owner 300 GRANT AVENUE, THIRD FLOOR, SAN FRANCISCO CA 94108
Attica Jaques director MISSION ADVANCEMENT CORP., 2525 E CAMELBACK RD, STE 850, PHOENIX AZ 85016
Beth J Kaplan director 1716 LOCUST STREET, DES MOINES IA 50309
Mainsail Partners Iii, L.p. 10 percent owner 500 WEST 5TH STREET, SUITE 1100, AUSTIN TX 78701
Mainsail Co-investors Iii, L.p. 10 percent owner 500 WEST 5TH STREET, SUITE 1100, AUSTIN TX 78701
Mainsail Incentive Program, Llc 10 percent owner 500 WEST 5TH STREET, SUITE 1100, AUSTIN TX 78701
Mainsail Management Company, Llc 10 percent owner 500 WEST 5TH STREET, SUITE 1100, AUSTIN TX 78701