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Inspire Films (NSE:INSPIRE) ROE % : 38.24% (As of Mar. 2023)


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What is Inspire Films ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Inspire Films's annualized net income for the quarter that ended in Mar. 2023 was ₹40.5 Mil. Inspire Films's average Total Stockholders Equity over the quarter that ended in Mar. 2023 was ₹105.9 Mil. Therefore, Inspire Films's annualized ROE % for the quarter that ended in Mar. 2023 was 38.24%.

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

NSE:INSPIRE' s ROE % Range Over the Past 10 Years
Min: -10.64   Med: 3.27   Max: 38.24
Current: 38.24

During the past 3 years, Inspire Films's highest ROE % was 38.24%. The lowest was -10.64%. And the median was 3.27%.

NSE:INSPIRE's ROE % is ranked better than
93.65% of 977 companies
in the Media - Diversified industry
Industry Median: 2.52 vs NSE:INSPIRE: 38.24

Inspire Films ROE % Historical Data

The historical data trend for Inspire Films'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.

Inspire Films ROE % Chart

Inspire Films Annual Data
Trend Mar21 Mar22 Mar23
ROE %
-10.64 3.27 38.24

Inspire Films Semi-Annual Data
Mar21 Mar22 Mar23
ROE % -10.64 3.27 38.24

Competitive Comparison of Inspire Films's ROE %

For the Broadcasting subindustry, Inspire Films'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.


Inspire Films's ROE % Distribution in the Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, Inspire Films's ROE % distribution charts can be found below:

* The bar in red indicates where Inspire Films's ROE % falls into.



Inspire Films ROE % Calculation

Inspire Films's annualized ROE % for the fiscal year that ended in Mar. 2023 is calculated as

ROE %=Net Income (A: Mar. 2023 )/( (Total Stockholders Equity (A: Mar. 2022 )+Total Stockholders Equity (A: Mar. 2023 ))/ count )
=40.482/( (80.629+131.122)/ 2 )
=40.482/105.8755
=38.24 %

Inspire Films's annualized ROE % for the quarter that ended in Mar. 2023 is calculated as

ROE %=Net Income (Q: Mar. 2023 )/( (Total Stockholders Equity (Q: Mar. 2022 )+Total Stockholders Equity (Q: Mar. 2023 ))/ count )
=40.482/( (80.629+131.122)/ 2 )
=40.482/105.8755
=38.24 %

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


Inspire Films  (NSE:INSPIRE) 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: Mar. 2023 )
=Net Income/Total Stockholders Equity
=40.482/105.8755
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(40.482 / 488.316)*(488.316 / 360.6875)*(360.6875 / 105.8755)
=Net Margin %*Asset Turnover*Equity Multiplier
=8.29 %*1.3538*3.4067
=ROA %*Equity Multiplier
=11.22 %*3.4067
=38.24 %

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: Mar. 2023 )
=Net Income/Total Stockholders Equity
=40.482/105.8755
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (40.482 / 55.316) * (55.316 / 65.641) * (65.641 / 488.316) * (488.316 / 360.6875) * (360.6875 / 105.8755)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.7318 * 0.8427 * 13.44 % * 1.3538 * 3.4067
=38.24 %

Note: The net income data used here is one times the annual (Mar. 2023) net income data. The Revenue data used here is one times the annual (Mar. 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.


Inspire Films ROE % Related Terms

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


Inspire Films (NSE:INSPIRE) Business Description

Traded in Other Exchanges
N/A
Address
111, 1st Floor, Shree Kamdhenu Estate, Chincholi Off Link Road, Bhd Tangent Showroom, Charkop, Malad, Mumbai, MH, IND, 400064
Inspire Films Ltd is a company is primarily engaged into the business of creation, production, distribution, and exhibition of television and digital content across broadcasting channels, apps and digital platforms as well as content writing, production and sale, purchase of rights. It includes financing the projects, hiring actors and crew members, scouting locations, creating sets, managing the budgets, and overseeing the entire production and post-production process.

Inspire Films (NSE:INSPIRE) Headlines

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