GURUFOCUS.COM » STOCK LIST » Industrials » Business Services » AD1 Holdings Ltd (ASX:AD1) » Definitions » ROA %

AD1 Holdings (ASX:AD1) ROA % : -53.29% (As of Dec. 2023)


View and export this data going back to 2016. Start your Free Trial

What is AD1 Holdings ROA %?

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. AD1 Holdings's annualized Net Income for the quarter that ended in Dec. 2023 was A$-5.12 Mil. AD1 Holdings's average Total Assets over the quarter that ended in Dec. 2023 was A$9.60 Mil. Therefore, AD1 Holdings's annualized ROA % for the quarter that ended in Dec. 2023 was -53.29%.

The historical rank and industry rank for AD1 Holdings's ROA % or its related term are showing as below:

ASX:AD1' s ROA % Range Over the Past 10 Years
Min: -130.51   Med: -66.79   Max: -22.65
Current: -43.87

During the past 8 years, AD1 Holdings's highest ROA % was -22.65%. The lowest was -130.51%. And the median was -66.79%.

ASX:AD1's ROA % is ranked worse than
95.46% of 1079 companies
in the Business Services industry
Industry Median: 3.48 vs ASX:AD1: -43.87

AD1 Holdings ROA % Historical Data

The historical data trend for AD1 Holdings's ROA % 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.

AD1 Holdings ROA % Chart

AD1 Holdings Annual Data
Trend Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23
ROA %
Get a 7-Day Free Trial -127.44 -70.05 -36.72 -22.65 -63.52

AD1 Holdings Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23
ROA % 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 -36.40 -7.31 -112.06 -31.24 -53.29

Competitive Comparison of AD1 Holdings's ROA %

For the Staffing & Employment Services subindustry, AD1 Holdings's ROA %, along with its competitors' market caps and ROA % 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.


AD1 Holdings's ROA % Distribution in the Business Services Industry

For the Business Services industry and Industrials sector, AD1 Holdings's ROA % distribution charts can be found below:

* The bar in red indicates where AD1 Holdings's ROA % falls into.



AD1 Holdings ROA % Calculation

AD1 Holdings's annualized ROA % for the fiscal year that ended in Jun. 2023 is calculated as:

ROA %=Net Income (A: Jun. 2023 )/( (Total Assets (A: Jun. 2022 )+Total Assets (A: Jun. 2023 ))/ count )
=-8.015/( (14.412+10.824)/ 2 )
=-8.015/12.618
=-63.52 %

AD1 Holdings's annualized ROA % for the quarter that ended in Dec. 2023 is calculated as:

ROA %=Net Income (Q: Dec. 2023 )/( (Total Assets (Q: Jun. 2023 )+Total Assets (Q: Dec. 2023 ))/ count )
=-5.116/( (10.824+8.375)/ 2 )
=-5.116/9.5995
=-53.29 %

* 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 ROA %, the net income of the last fiscal year and the average total assets over the fiscal year are used. In calculating the quarterly data, the Net Income data used here is two times the semi-annual (Dec. 2023) net income data. ROA % is displayed in the 30-year financial page.


AD1 Holdings  (ASX:AD1) ROA % Explanation

ROA % measures the rate of return on the total assets (shareholder equity plus liabilities). It measures a firm's efficiency at generating profits from shareholders' equity plus its liabilities. ROA % shows how well a company uses what it has to generate earnings. ROA %s can vary drastically across industries. Therefore, ROA % should not be used to compare companies in different industries. For retailers, a ROA % of higher than 5% is expected. For example, Wal-Mart (WMT) has a ROA % of about 8% as of 2012. For banks, ROA % is close to their interest spread. A bank’s ROA % is typically well under 2%.

Similar to ROE, ROA % is affected by profit margins and asset turnover. This can be seen from the Du Pont Formula:

ROA %(Q: Dec. 2023 )
=Net Income/Total Assets
=-5.116/9.5995
=(Net Income / Revenue)*(Revenue / Total Assets)
=(-5.116 / 4.352)*(4.352 / 9.5995)
=Net Margin %*Asset Turnover
=-117.56 %*0.4534
=-53.29 %

Note: The Net Income data used here is two times the semi-annual (Dec. 2023) net income data. The Revenue data used here is two times the semi-annual (Dec. 2023) revenue data.

* 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

Like ROE, ROA % is calculated with only 12 months data. Fluctuations in the company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective. ROA % can be affected by events such as stock buyback or issuance, and by goodwill, a company's tax rate and its interest payment. ROA % may not reflect the true earning power of the assets. A more accurate measurement is ROC % (ROC).

Many analysts argue the higher return the better. Buffett states that really high ROA % may indicate vulnerability in the durability of the competitive advantage.

E.g. Raising $43b to take on KO is impossible, but $1.7b to take on Moody's is. Although Moody's ROA % and underlying economics is far superior to Coca Cola, the durability is far weaker because of lower entry cost.


AD1 Holdings ROA % Related Terms

Thank you for viewing the detailed overview of AD1 Holdings's ROA % provided by GuruFocus.com. Please click on the following links to see related term pages.


AD1 Holdings (ASX:AD1) Business Description

Traded in Other Exchanges
N/A
Address
90 William Street, Level 4, Office 7, Melbourne, VIC, AUS, 3000
AD1 Holdings Ltd is an e-recruitment company. It has developed an online platform that links job candidates directly to live job opportunities on employer websites. The company generates revenue from SaaS and Managed Services, IT Development and Consulting, Digital Marketing, and Business Process Outsourcing.

AD1 Holdings (ASX:AD1) Headlines

No Headlines