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Interactive Intelligence Group (Interactive Intelligence Group) ROE % : -12.49% (As of Sep. 2016)


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What is Interactive Intelligence Group ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Interactive Intelligence Group's annualized net income for the quarter that ended in Sep. 2016 was $-21.7 Mil. Interactive Intelligence Group's average Total Stockholders Equity over the quarter that ended in Sep. 2016 was $173.8 Mil. Therefore, Interactive Intelligence Group's annualized ROE % for the quarter that ended in Sep. 2016 was -12.49%.

The historical rank and industry rank for Interactive Intelligence Group's ROE % or its related term are showing as below:

ININ's ROE % is not ranked *
in the Software industry.
Industry Median: 3.145
* Ranked among companies with meaningful ROE % only.

Interactive Intelligence Group ROE % Historical Data

The historical data trend for Interactive Intelligence Group'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.

Interactive Intelligence Group ROE % Chart

Interactive Intelligence Group Annual Data
Trend Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 12.91 0.66 5.71 -22.98 -12.31

Interactive Intelligence Group Quarterly Data
Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16
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 -21.16 -7.74 -29.34 -23.24 -12.49

Competitive Comparison of Interactive Intelligence Group's ROE %

For the Software - Application subindustry, Interactive Intelligence Group'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.


Interactive Intelligence Group's ROE % Distribution in the Software Industry

For the Software industry and Technology sector, Interactive Intelligence Group's ROE % distribution charts can be found below:

* The bar in red indicates where Interactive Intelligence Group's ROE % falls into.



Interactive Intelligence Group ROE % Calculation

Interactive Intelligence Group's annualized ROE % for the fiscal year that ended in Dec. 2015 is calculated as

ROE %=Net Income (A: Dec. 2015 )/( (Total Stockholders Equity (A: Dec. 2014 )+Total Stockholders Equity (A: Dec. 2015 ))/ count )
=-21.827/( (170.73+184.03)/ 2 )
=-21.827/177.38
=-12.31 %

Interactive Intelligence Group's annualized ROE % for the quarter that ended in Sep. 2016 is calculated as

ROE %=Net Income (Q: Sep. 2016 )/( (Total Stockholders Equity (Q: Jun. 2016 )+Total Stockholders Equity (Q: Sep. 2016 ))/ count )
=-21.708/( (172.402+175.25)/ 2 )
=-21.708/173.826
=-12.49 %

* 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 (Sep. 2016) net income data. ROE % is displayed in the 30-year financial page.


Interactive Intelligence Group  (NAS:ININ) 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: Sep. 2016 )
=Net Income/Total Stockholders Equity
=-21.708/173.826
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(-21.708 / 441.628)*(441.628 / 485.7805)*(485.7805 / 173.826)
=Net Margin %*Asset Turnover*Equity Multiplier
=-4.92 %*0.9091*2.7946
=ROA %*Equity Multiplier
=-4.47 %*2.7946
=-12.49 %

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: Sep. 2016 )
=Net Income/Total Stockholders Equity
=-21.708/173.826
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (-21.708 / -23.14) * (-23.14 / -15.84) * (-15.84 / 441.628) * (441.628 / 485.7805) * (485.7805 / 173.826)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.9381 * 1.4609 * -3.59 % * 0.9091 * 2.7946
=-12.49 %

Note: The net income data used here is four times the quarterly (Sep. 2016) net income data. The Revenue data used here is four times the quarterly (Sep. 2016) 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.


Interactive Intelligence Group ROE % Related Terms

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Interactive Intelligence Group (Interactive Intelligence Group) Business Description

Traded in Other Exchanges
N/A
Address
Interactive Intelligence Group Inc was incorporated in Indiana in April 2011. The Company is a provider of software and services designed to improve the customer experience. It offers a suite of applications that provides customers with a multichannel communications platform that is delivered on-premises or through the cloud. Its software applications provide a range of pre-integrated inbound and outbound communications functionality. Its solutions are used by businesses and organizations in industries including teleservices, insurance, banking, accounts receivable management, utilities, healthcare, retail, technology, government and business services. Its solutions can be deployed via its cloud model using a data center, on-premises at the customer's site, as hybrid cloud/on-premises solutions, or as a managed service in which it manages the communications solution for the customer. The Company has different competitors, including inContact, Inc., Five9, Inc., and the Echopass solution, which was acquired by Genesys Telecommunications Laboratories, Inc. ("Genesys"). In the on-premises contact center market, its primary competitors are Avaya, Cisco, Microsoft, Mitel Networks Corp, and ShoreTel. Its registered trademark includes "Interactive Intelligence". The Company is subject to compliance with federal, state and local provisions.
Executives
Mitchell E Daniels director 2800 ROCKCREEK PARKWAY, NORTH KANSAS CITY MO 64117
Richard A Reck director 128 HILLCREST AVENUE HINSDALE IL 60521-4736
Mark E Hill director 12900 NORTH MERIDIAN, SUITE 200, CARMEL IN 46032
Thomas J Fisher officer: Chief Services Officer 7601 INTERACTIE WAY, INDIANAPOLIS IN 46278

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