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ZBAO (Zhibao Technology) ROA % : -9.45% (As of Dec. 2023)


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What is Zhibao Technology ROA %?

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Zhibao Technology's annualized Net Income for the quarter that ended in Dec. 2023 was $-2.39 Mil. Zhibao Technology's average Total Assets over the quarter that ended in Dec. 2023 was $25.34 Mil. Therefore, Zhibao Technology's annualized ROA % for the quarter that ended in Dec. 2023 was -9.45%.

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

ZBAO' s ROA % Range Over the Past 10 Years
Min: -53.36   Med: -18.21   Max: 16.95
Current: -25.44

During the past 2 years, Zhibao Technology's highest ROA % was 16.95%. The lowest was -53.36%. And the median was -18.21%.

ZBAO's ROA % is ranked worse than
98.77% of 489 companies
in the Insurance industry
Industry Median: 2.25 vs ZBAO: -25.44

Zhibao Technology ROA % Historical Data

The historical data trend for Zhibao Technology'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.

Zhibao Technology ROA % Chart

Zhibao Technology Annual Data
Trend Jun21 Jun22
ROA %
-53.36 16.95

Zhibao Technology Semi-Annual Data
Jun21 Dec21 Jun22 Dec22 Jun23 Dec23
ROA % Get a 7-Day Free Trial 25.55 11.41 8.06 -43.38 -9.45

Competitive Comparison of Zhibao Technology's ROA %

For the Insurance Brokers subindustry, Zhibao Technology'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.


Zhibao Technology's ROA % Distribution in the Insurance Industry

For the Insurance industry and Financial Services sector, Zhibao Technology's ROA % distribution charts can be found below:

* The bar in red indicates where Zhibao Technology's ROA % falls into.



Zhibao Technology ROA % Calculation

Zhibao Technology's annualized ROA % for the fiscal year that ended in Jun. 2022 is calculated as:

ROA %=Net Income (A: Jun. 2022 )/( (Total Assets (A: Jun. 2021 )+Total Assets (A: Jun. 2022 ))/ count )
=2.13/( (10.804+14.323)/ 2 )
=2.13/12.5635
=16.95 %

Zhibao Technology'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 )
=-2.394/( (17.879+32.798)/ 2 )
=-2.394/25.3385
=-9.45 %

* 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.


Zhibao Technology  (NAS:ZBAO) 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
=-2.394/25.3385
=(Net Income / Revenue)*(Revenue / Total Assets)
=(-2.394 / 23.6)*(23.6 / 25.3385)
=Net Margin %*Asset Turnover
=-10.14 %*0.9314
=-9.45 %

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.


Zhibao Technology ROA % Related Terms

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Zhibao Technology Business Description

Comparable Companies
Traded in Other Exchanges
N/A
Address
Floor 3, Building 6, Wuxing Road, Lane 727, Shanghai, CHN, 201204
Zhibao Technology Inc is a insurance technology company primarily engaged in providing digital insurance brokerage services in China. 2B2C digital embedded insurance is their innovative business model which They pioneered in China. They provide customized digital insurance solutions for B-side channels (covering a wide range of industries and organizations, including but not limited to Internet platforms, large and medium-sized enterprises, and government agencies, etc.), embedding them into the channel's existing business matrix, and providing the channel with Provide digital insurance brokerage services to C-end customers.