ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Spirit Pub Co's annualizedNet Income for the quarter that ended in Feb. 2015 was £7.8 Mil.
Spirit Pub Co's average Total Assets over the quarter that ended in Feb. 2015 was £1,953.1 Mil. Therefore, Spirit Pub Co's annualized ROA % for the quarter that ended in Feb. 2015 was 0.40%.
The historical rank and industry rank for Spirit Pub Co's ROA % or its related term are showing as below:
LSE:SPRT'
s ROA % Range Over the Past 10 Years
Min: -28.17 Med: -6.23 Max: 5.42
Current: 5.42
During the past 7 years, Spirit Pub Co's highest ROA % was 5.42%. The lowest was -28.17%. And the median was -6.23%.
LSE:SPRT's ROA % is not ranked
in the Travel & Leisure industry.
Industry Median: 2.285
vs LSE:SPRT: 5.42
Spirit Pub Co ROA % Historical Data
The historical data trend for Spirit Pub Co'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.
For the Leisure subindustry, Spirit Pub Co'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.
Spirit Pub Co's ROA % Distribution in the Travel & Leisure Industry
For the Travel & Leisure industry and Consumer Cyclical sector, Spirit Pub Co's ROA % distribution charts can be found below:
* The bar in red indicates where Spirit Pub Co's ROA % falls into.
Spirit Pub Co ROA % Calculation
Spirit Pub Co's annualized ROA % for the fiscal year that ended in Aug. 2014 is calculated as:
* 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 (Feb. 2015) net income data.
ROA % is displayed in the 30-year financial page.
Spirit Pub Co (LSE:SPRT) 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 banks 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:
Note:
The Net Income data used here is two times the semi-annual (Feb. 2015) net income data. The Revenue data used here is two times the semi-annual (Feb. 2015) 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.
Spirit Pub Co ROA % Related Terms
Thank you for viewing the detailed overview of Spirit Pub Co's ROA % provided by GuruFocus.com. Please click on the following links to see related term pages.
Spirit Pub Co PLC was incorporated in England. The Company's trading activities are divided into two divisions; namely a Managed division and a Leased division. The Managed division involves pubs that are directly managed by the Group, and a Leased division which involves the granting of leases to licensees who run the pub as their own business, paying rent to the Group, purchasing beer and other drinks from the Group and entering into profit sharing arrangements for income from leisure machines. The Company holds 794 Managed pubs and 433 Leased pubs. The group operates solely in the United Kingdom.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
LSE:SPRT has been successfully added to your 