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Arco Platform (Arco Platform) Return-on-Tangible-Equity : 0.00% (As of Jun. 2023)


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What is Arco Platform Return-on-Tangible-Equity?

Return-on-Tangible-Equity is calculated as Net Income divided by its average total shareholder tangible equity. Total shareholder tangible equity equals to Total Stockholders Equity minus Intangible Assets. Arco Platform's annualized net income for the quarter that ended in Jun. 2023 was $-61.0 Mil. Arco Platform's average shareholder tangible equity for the quarter that ended in Jun. 2023 was $-222.9 Mil. Therefore, Arco Platform's annualized Return-on-Tangible-Equity for the quarter that ended in Jun. 2023 was N/A%.

The historical rank and industry rank for Arco Platform's Return-on-Tangible-Equity or its related term are showing as below:

During the past 8 years, Arco Platform's highest Return-on-Tangible-Equity was 48.54%. The lowest was -15.91%. And the median was 14.36%.

ARCE's Return-on-Tangible-Equity is not ranked *
in the Education industry.
Industry Median: 10.29
* Ranked among companies with meaningful Return-on-Tangible-Equity only.

Arco Platform Return-on-Tangible-Equity Historical Data

The historical data trend for Arco Platform's Return-on-Tangible-Equity 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.

Arco Platform Return-on-Tangible-Equity Chart

Arco Platform Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22
Return-on-Tangible-Equity
Get a 7-Day Free Trial -15.91 -2.64 Negative Tangible Equity - Negative Tangible Equity

Arco Platform Quarterly Data
Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23
Return-on-Tangible-Equity 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 - - Negative Tangible Equity Negative Tangible Equity -

Competitive Comparison of Arco Platform's Return-on-Tangible-Equity

For the Education & Training Services subindustry, Arco Platform's Return-on-Tangible-Equity, along with its competitors' market caps and Return-on-Tangible-Equity 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.


Arco Platform's Return-on-Tangible-Equity Distribution in the Education Industry

For the Education industry and Consumer Defensive sector, Arco Platform's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where Arco Platform's Return-on-Tangible-Equity falls into.



Arco Platform Return-on-Tangible-Equity Calculation

Arco Platform's annualized Return-on-Tangible-Equity for the fiscal year that ended in Dec. 2022 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Dec. 2022 )  (A: Dec. 2021 )(A: Dec. 2022 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Dec. 2022 )  (A: Dec. 2021 )(A: Dec. 2022 )
=7.528/( (-244.412+-245.285 )/ 2 )
=7.528/-244.8485
=Negative Tangible Equity %

Arco Platform's annualized Return-on-Tangible-Equity for the quarter that ended in Jun. 2023 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Jun. 2023 )  (Q: Mar. 2023 )(Q: Jun. 2023 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Jun. 2023 )  (Q: Mar. 2023 )(Q: Jun. 2023 )
=-61.016/( (-212.734+-233.149)/ 2 )
=-61.016/-222.9415
=N/A %

* 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 Return-on-Tangible-Equity, the net income of the last fiscal year and the average total shareholder tangible equity over the fiscal year are used. In calculating the quarterly data, the net income data used here is four times the quarterly (Jun. 2023) net income data. Return-on-Tangible-Equity is displayed in the 10-year financial page.


Arco Platform  (NAS:ARCE) Return-on-Tangible-Equity Explanation

Return-on-Tangible-Equity measures the rate of return on the ownership interest (shareholder's tangible equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' tangible equity (shareholders equity minus intangibles). Return-on-Tangible-Equity shows how well a company uses investment funds to generate earnings growth. Return-on-Tangible-Equitys between 15% and 20% are considered desirable.


Be Aware

Net Income is used.

Because a company can increase its Return-on-Tangible-Equity by having more financial leverage, it is important to watch the leverage ratio when investing in high Return-on-Tangible-Equity companies. Like Return-on-Tangible-Asset, Return-on-Tangible-Equity 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 Return-on-Tangible-Equitys can be extremely high.


Arco Platform Return-on-Tangible-Equity Related Terms

Thank you for viewing the detailed overview of Arco Platform's Return-on-Tangible-Equity provided by GuruFocus.com. Please click on the following links to see related term pages.


Arco Platform (Arco Platform) Business Description

Traded in Other Exchanges
N/A
Address
Rua Augusta 2840, 9th Floor, Suite 91, Consolacao, Sao Paulo, SP, BRA, 01412-100
Arco Platform Ltd provides a complete pedagogical system with technology-enabled features to deliver educational content to private schools in Brazil. Its turnkey curriculum solutions provide educational content in both printed and digital formats delivered through its platform to improve the learning process. Its operating segment includes Core Curriculum and Supplemental Solutions. It generates maximum revenue from the Core Curriculum segment. The Core Curriculum business segment provides solutions that address the Brazilian K-12 curriculum requirements through a personalized and interactive learning experience. Students Access content in various formats, such as digital, video, print, and other audiovisual formats that are aligned with the daily curriculum of their classes.