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Hisamitsu Pharmaceutical Co (TSE:4530) ROE % : 5.45% (As of Nov. 2023)


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What is Hisamitsu Pharmaceutical Co ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Hisamitsu Pharmaceutical Co's annualized net income for the quarter that ended in Nov. 2023 was 円14,772 Mil. Hisamitsu Pharmaceutical Co's average Total Stockholders Equity over the quarter that ended in Nov. 2023 was 円270,945 Mil. Therefore, Hisamitsu Pharmaceutical Co's annualized ROE % for the quarter that ended in Nov. 2023 was 5.45%.

The historical rank and industry rank for Hisamitsu Pharmaceutical Co's ROE % or its related term are showing as below:

TSE:4530' s ROE % Range Over the Past 10 Years
Min: 3.69   Med: 7.68   Max: 9.02
Current: 5.28

During the past 13 years, Hisamitsu Pharmaceutical Co's highest ROE % was 9.02%. The lowest was 3.69%. And the median was 7.68%.

TSE:4530's ROE % is ranked better than
53.06% of 997 companies
in the Drug Manufacturers industry
Industry Median: 4.25 vs TSE:4530: 5.28

Hisamitsu Pharmaceutical Co ROE % Historical Data

The historical data trend for Hisamitsu Pharmaceutical Co'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.

Hisamitsu Pharmaceutical Co ROE % Chart

Hisamitsu Pharmaceutical Co Annual Data
Trend Feb15 Feb16 Feb17 Feb18 Feb19 Feb20 Feb21 Feb22 Feb23 Feb24
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 7.53 3.69 3.82 4.61 5.36

Hisamitsu Pharmaceutical Co Quarterly Data
May19 Aug19 Nov19 Feb20 May20 Aug20 Nov20 Feb21 May21 Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24
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 Premium Member Only Premium Member Only Premium Member Only Premium Member Only 3.38 6.28 6.57 5.45 2.79

Competitive Comparison of Hisamitsu Pharmaceutical Co's ROE %

For the Drug Manufacturers - Specialty & Generic subindustry, Hisamitsu Pharmaceutical Co'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.


Hisamitsu Pharmaceutical Co's ROE % Distribution in the Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Hisamitsu Pharmaceutical Co's ROE % distribution charts can be found below:

* The bar in red indicates where Hisamitsu Pharmaceutical Co's ROE % falls into.



Hisamitsu Pharmaceutical Co ROE % Calculation

Hisamitsu Pharmaceutical Co's annualized ROE % for the fiscal year that ended in Feb. 2024 is calculated as

ROE %=Net Income (A: Feb. 2024 )/( (Total Stockholders Equity (A: Feb. 2023 )+Total Stockholders Equity (A: Feb. 2024 ))/ count )
=13969/( (256362+264871)/ 2 )
=13969/260616.5
=5.36 %

Hisamitsu Pharmaceutical Co's annualized ROE % for the quarter that ended in Nov. 2023 is calculated as

ROE %=Net Income (Q: Nov. 2023 )/( (Total Stockholders Equity (Q: Aug. 2023 )+Total Stockholders Equity (Q: Nov. 2023 ))/ count )
=14772/( (272807+269082)/ 2 )
=14772/270944.5
=5.45 %

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


Hisamitsu Pharmaceutical Co  (TSE:4530) 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: Nov. 2023 )
=Net Income/Total Stockholders Equity
=14772/270944.5
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(14772 / 143400)*(143400 / 339604.5)*(339604.5 / 270944.5)
=Net Margin %*Asset Turnover*Equity Multiplier
=10.3 %*0.4223*1.2534
=ROA %*Equity Multiplier
=4.35 %*1.2534
=5.45 %

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: Nov. 2023 )
=Net Income/Total Stockholders Equity
=14772/270944.5
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (14772 / 20084) * (20084 / 15496) * (15496 / 143400) * (143400 / 339604.5) * (339604.5 / 270944.5)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.7355 * 1.2961 * 10.81 % * 0.4223 * 1.2534
=5.45 %

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


Hisamitsu Pharmaceutical Co ROE % Related Terms

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Hisamitsu Pharmaceutical Co (TSE:4530) Business Description

Traded in Other Exchanges
Address
408 Tashiro Daikan-machi, Tosu, Saga, JPN, 841-0017
Hisamitsu Pharmaceutical Co Inc is a major pharmaceutical products manufacturer in Japan. The company collaborates with its subsidiaries and associates in operating its business across two segments, The Medical and Related Product segment and the Others segment. The Medical segment represents the company's foremost revenue generating operations. It markets drugs under the Salanpas, Salonsip, Lifecella, Mohrus and Keplat brands, which mainly serve topical medication needs with pain relief creams, gels, sprays, lotions and ointments. The Others segment refers to its miscellaneous businesses such as cable television broadcasting, internet connection, packing materials and insurance. Apart from its primary market in Japan, Hisamitsu has a reach across other regions like North America.

Hisamitsu Pharmaceutical Co (TSE:4530) Headlines

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