GURUFOCUS.COM » STOCK LIST » Consumer Defensive » Consumer Packaged Goods » Westrock Coffee Co (NAS:WEST) » Definitions » ROE %

Westrock Coffee Co (Westrock Coffee Co) ROE % : -20.35% (As of Dec. 2023)


View and export this data going back to 2022. Start your Free Trial

What is Westrock Coffee Co ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Westrock Coffee Co's annualized net income for the quarter that ended in Dec. 2023 was $-80.2 Mil. Westrock Coffee Co's average Total Stockholders Equity over the quarter that ended in Dec. 2023 was $394.2 Mil. Therefore, Westrock Coffee Co's annualized ROE % for the quarter that ended in Dec. 2023 was -20.35%.

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

WEST' s ROE % Range Over the Past 10 Years
Min: -127.99   Med: -25   Max: -10.29
Current: -10.68

During the past 4 years, Westrock Coffee Co's highest ROE % was -10.29%. The lowest was -127.99%. And the median was -25.00%.

WEST's ROE % is ranked worse than
85.98% of 1819 companies
in the Consumer Packaged Goods industry
Industry Median: 6.33 vs WEST: -10.68

Westrock Coffee Co ROE % Historical Data

The historical data trend for Westrock Coffee 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.

Westrock Coffee Co ROE % Chart

Westrock Coffee Co Annual Data
Trend Dec20 Dec21 Dec22 Dec23
ROE %
-127.99 -21.51 -28.49 -10.29

Westrock Coffee Co Quarterly Data
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 -43.34 -6.10 -39.27 20.11 -20.35

Competitive Comparison of Westrock Coffee Co's ROE %

For the Packaged Foods subindustry, Westrock Coffee 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.


Westrock Coffee Co's ROE % Distribution in the Consumer Packaged Goods Industry

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

* The bar in red indicates where Westrock Coffee Co's ROE % falls into.



Westrock Coffee Co ROE % Calculation

Westrock Coffee Co'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 )
=-34.582/( (284.205+387.956)/ 2 )
=-34.582/336.0805
=-10.29 %

Westrock Coffee Co'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 )
=-80.204/( (400.48+387.956)/ 2 )
=-80.204/394.218
=-20.35 %

* 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.


Westrock Coffee Co  (NAS:WEST) 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
=-80.204/394.218
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(-80.204 / 859.864)*(859.864 / 931.2925)*(931.2925 / 394.218)
=Net Margin %*Asset Turnover*Equity Multiplier
=-9.33 %*0.9233*2.3624
=ROA %*Equity Multiplier
=-8.61 %*2.3624
=-20.35 %

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
=-80.204/394.218
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (-80.204 / -92.232) * (-92.232 / -17.94) * (-17.94 / 859.864) * (859.864 / 931.2925) * (931.2925 / 394.218)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.8696 * 5.1411 * -2.09 % * 0.9233 * 2.3624
=-20.35 %

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.


Westrock Coffee Co ROE % Related Terms

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


Westrock Coffee Co (Westrock Coffee Co) Business Description

Traded in Other Exchanges
Address
4009 N. Rodney Parham Road, 3rd Floor, Little Rock, AR, USA, 72212
Westrock Coffee Co is an integrated coffee, tea, flavors, extracts, and ingredients solutions provider in the U.S, providing coffee sourcing, supply chain management, product development, roasting, packaging, and distribution services to retail, foodservice and restaurant, convenience store and travel center, non-commercial account, CPG, and hospitality industries around the world. The company's segment includes Beverage Solutions and Sustainable Sourcing and Traceability. It generates maximum revenue from the Beverage Solutions segment.
Executives
Joe T Ford director C/O ENPRO INDUSTRIES INC, 5605 CARNEGIE BLVD, CHARLOTTE NC 28209-4674
Thomas Christopher Pledger officer: CHIEF FINANCIAL OFFICER 100 RIVER BLUFF DRIVE, SUITE 210, LITTLE ROCK AR 72202
William A Ford officer: GROUP PRESIDENT, OPERATIONS 100 RIVER BLUFF DRIVE, SUITE 210, LITTLE ROCK AR 72202
Oluwatoyin Umesiri director 100 RIVER BLUFF DRIVE, SUITE 210, LITTLE ROCK AR 72202
Josie C Natori director ONE ALLIED DRIVE, LITTLE ROCK AR 72202
Hugh Iii Mccoll director 100 RIVER BLUFF DRIVE, SUITE 210, LITTLE ROCK AR 72202
Rbm Acquisition, Llc other: Prior 10% Owner 55 EAST MAIN STREET, SUITE 102, CHATTANOOGA TN 37408
Rbm Investments, Llc other: Prior 10% Owner 55 EAST MAIN STREET, SUITE 102, CHATTANOOGA TN 37408
Riverview Sponsor Partners, Llc other: Prior 10% Owner 55 E. MAIN STREET, SUITE 102, CHATTANOOGA TN 37408
R Brad Martin director
Brown Brothers Harriman & Co 10 percent owner 140 BROADWAY, NEW YORK NY 10005-1101
Hf Direct Investments Pool, Llc 10 percent owner 502 UNION AVENUE, KNOXVILLE TN 37919
Stephens Group, Llc 10 percent owner 100 RIVER BLUFF DRIVE, SUITE 500, LITTLE ROCK AR 72202
Scott T Ford director, 10 percent owner, officer: CHIEF EXECUTIVE OFFICER (1) 4009 N. RODNEY PARHAM RD., 3RD FLOOR, LITTLE ROCK AR 72212
Blake Schuhmacher officer: CHIEF ACCOUNTING OFFICER 10802 EXECUTIVE CENTER DRIVE, BENTON BUILDING, SUITE 300, LITTLE ROCK AR 72211

Westrock Coffee Co (Westrock Coffee Co) Headlines