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Heidelberg Materials AG (XTER:HEI) 5-Year RORE % : 39.10% (As of Dec. 2023)


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What is Heidelberg Materials AG 5-Year RORE %?

Return on Retained Earnings (RORE) is an indicator of a company's growth potential, it shows how much a company earns by reinvesting its retained earnings, i.e. profits after dividend payments. Heidelberg Materials AG's 5-Year RORE % for the quarter that ended in Dec. 2023 was 39.10%.

The industry rank for Heidelberg Materials AG's 5-Year RORE % or its related term are showing as below:

XTER:HEI's 5-Year RORE % is ranked better than
81.01% of 337 companies
in the Building Materials industry
Industry Median: 6.53 vs XTER:HEI: 39.10

Heidelberg Materials AG 5-Year RORE % Historical Data

The historical data trend for Heidelberg Materials AG's 5-Year RORE % 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.

Heidelberg Materials AG 5-Year RORE % Chart

Heidelberg Materials AG Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
5-Year RORE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 7.80 -1,418.00 76.47 31.13 39.10

Heidelberg Materials AG Semi-Annual Data
Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23
5-Year RORE % 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 76.47 46.28 31.13 45.91 39.10

Competitive Comparison of Heidelberg Materials AG's 5-Year RORE %

For the Building Materials subindustry, Heidelberg Materials AG's 5-Year RORE %, along with its competitors' market caps and 5-Year RORE % 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.


Heidelberg Materials AG's 5-Year RORE % Distribution in the Building Materials Industry

For the Building Materials industry and Basic Materials sector, Heidelberg Materials AG's 5-Year RORE % distribution charts can be found below:

* The bar in red indicates where Heidelberg Materials AG's 5-Year RORE % falls into.



Heidelberg Materials AG 5-Year RORE % Calculation

Heidelberg Materials AG's 5-Year RORE % for the quarter that ended in Dec. 2023 is calculated as:

5-Year RORE %=( Most Recent EPS (Diluted)- First Period EPS (Diluted) )/( Cumulative EPS (Diluted) for 5-year -Cumulative Dividends per Share for 5-year )
=( 10.43-5.5 )/( 22.51-9.9 )
=4.93/12.61
=39.10 %

* 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 5-Year RORE %, the most recent and first period EPS (Diluted) is the trailing twelve months (TTM) data ended in Dec. 2023 and 5-year before.


Heidelberg Materials AG  (XTER:HEI) 5-Year RORE % Explanation

Return on Retained Earnings (RORE) is important to investors because it reveals a company's efficiency and growth potential. A higher RORE indicates a higher return. A high RORE indicates that the company should reinvest profits into the business. A lower RORE suggests that the company should distribute profits to shareholders by paying out dividends, since those dollars aren't generating much additional growth for the company.

There are a several different ways to arrive at the Return on Retained Earnings. The simplest way to calculate it is by using published information on Earnings per Share (EPS) and Dividend per Share (DPS) over a selected period. Here, 5-year period is chosen.

Be Aware

Please keep in mind that the RORE is relative to the nature of the business and its competitors. If another company in the same sector is producing a lower return on retained earnings, it doesn’t necessarily mean it’s a bad investment. It may just suggest the company is older and no longer in a high growth stage. At such a stage in the business cycle, it would be expected to see a lower RORE and higher dividend payout.


Heidelberg Materials AG 5-Year RORE % Related Terms

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Heidelberg Materials AG (XTER:HEI) Business Description

Address
Berliner Strasse 6, Heidelberg, BW, DEU, 69120
Heidelberg Materials is one of the world's largest building materials companies, with operations in 60 countries. Its core activities include the production of cement and aggregates, which are used to construct houses, infrastructure, and commercial facilities. The sale of cement and aggregates accounts for the majority of group revenue and profits. North America is the company's largest market, contributing 29% of EBITDA, followed by Western and Southern Europe, contributing 21%. Heidelberg Materials is listed in Germany and has 55,000 employees.
Executives
Ludwig Merckle Supervisory Board
René Aldach Board of Directors
Dennis Lentz Board of Directors
Ernest Jelito Board of Directors
Christopher Ward Board of Directors
Kevin Gluskie Board of Directors
Dr. Dominik Von Achten Board of Directors