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Cel AI (LSE:CLAI) ROE % : -110.06% (As of Aug. 2023)


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What is Cel AI ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Cel AI's annualized net income for the quarter that ended in Aug. 2023 was £-3.01 Mil. Cel AI's average Total Stockholders Equity over the quarter that ended in Aug. 2023 was £2.73 Mil. Therefore, Cel AI's annualized ROE % for the quarter that ended in Aug. 2023 was -110.06%.

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

LSE:CLAI' s ROE % Range Over the Past 10 Years
Min: -140   Med: -85.42   Max: -63.72
Current: -96.21

During the past 5 years, Cel AI's highest ROE % was -63.72%. The lowest was -140.00%. And the median was -85.42%.

LSE:CLAI's ROE % is ranked worse than
96.65% of 1820 companies
in the Consumer Packaged Goods industry
Industry Median: 6.395 vs LSE:CLAI: -96.21

Cel AI ROE % Historical Data

The historical data trend for Cel AI'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.

Cel AI ROE % Chart

Cel AI Annual Data
Trend Aug19 Aug20 Aug21 Aug22 Aug23
ROE %
-140.00 - -63.72 -77.79 -93.04

Cel AI Semi-Annual Data
Aug19 Feb20 Aug20 Feb21 Aug21 Feb22 Aug22 Feb23 Aug23
ROE % Get a 7-Day Free Trial Premium Member Only -21.47 -50.72 -109.86 -89.63 -110.06

Competitive Comparison of Cel AI's ROE %

For the Household & Personal Products subindustry, Cel AI'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.


Cel AI's ROE % Distribution in the Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Cel AI's ROE % distribution charts can be found below:

* The bar in red indicates where Cel AI's ROE % falls into.



Cel AI ROE % Calculation

Cel AI's annualized ROE % for the fiscal year that ended in Aug. 2023 is calculated as

ROE %=Net Income (A: Aug. 2023 )/( (Total Stockholders Equity (A: Aug. 2022 )+Total Stockholders Equity (A: Aug. 2023 ))/ count )
=-3.31/( (4.852+2.263)/ 2 )
=-3.31/3.5575
=-93.04 %

Cel AI's annualized ROE % for the quarter that ended in Aug. 2023 is calculated as

ROE %=Net Income (Q: Aug. 2023 )/( (Total Stockholders Equity (Q: Feb. 2023 )+Total Stockholders Equity (Q: Aug. 2023 ))/ count )
=-3.008/( (3.203+2.263)/ 2 )
=-3.008/2.733
=-110.06 %

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


Cel AI  (LSE:CLAI) 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: Aug. 2023 )
=Net Income/Total Stockholders Equity
=-3.008/2.733
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(-3.008 / 0.072)*(0.072 / 3.022)*(3.022 / 2.733)
=Net Margin %*Asset Turnover*Equity Multiplier
=-4177.78 %*0.0238*1.1057
=ROA %*Equity Multiplier
=-99.43 %*1.1057
=-110.06 %

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: Aug. 2023 )
=Net Income/Total Stockholders Equity
=-3.008/2.733
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (-3.008 / -3.008) * (-3.008 / -3.048) * (-3.048 / 0.072) * (0.072 / 3.022) * (3.022 / 2.733)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 1 * 0.9869 * -4233.33 % * 0.0238 * 1.1057
=-110.06 %

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


Cel AI ROE % Related Terms

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


Cel AI (LSE:CLAI) Business Description

Traded in Other Exchanges
Address
16 Great Queen Street, 9th Floor, London, GBR, WC2B 5DG
Cellular Goods PLC develops efficacy-led and research-backed cannabinoid products. The company is launching with two product brands covering distinct market segments: a face-mask and serum-containing synthetic CBD, and a topical athletic recovery gel roll-on product. These will be made available through partnerships with online and physical retailers and direct to consumers through the company's website.

Cel AI (LSE:CLAI) Headlines

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