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LBRDK (Liberty Broadband) ROE % : 8.44% (As of Jun. 2024)


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What is Liberty Broadband ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Liberty Broadband's annualized net income for the quarter that ended in Jun. 2024 was $780.0 Mil. Liberty Broadband's average Total Stockholders Equity over the quarter that ended in Jun. 2024 was $9,240.5 Mil. Therefore, Liberty Broadband's annualized ROE % for the quarter that ended in Jun. 2024 was 8.44%.

The historical rank and industry rank for Liberty Broadband's ROE % or its related term are showing as below:

LBRDK' s ROE % Range Over the Past 10 Years
Min: -5.1   Med: 4.75   Max: 21.45
Current: 8.87

During the past 13 years, Liberty Broadband's highest ROE % was 21.45%. The lowest was -5.10%. And the median was 4.75%.

LBRDK's ROE % is ranked better than
55.93% of 354 companies
in the Telecommunication Services industry
Industry Median: 7.485 vs LBRDK: 8.87

Liberty Broadband ROE % Historical Data

The historical data trend for Liberty Broadband'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.

Liberty Broadband ROE % Chart

Liberty Broadband Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.10 3.29 6.20 13.51 7.87

Liberty Broadband Quarterly Data
Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24
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 11.60 7.28 9.12 10.63 8.44

Competitive Comparison of Liberty Broadband's ROE %

For the Telecom Services subindustry, Liberty Broadband'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.


Liberty Broadband's ROE % Distribution in the Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, Liberty Broadband's ROE % distribution charts can be found below:

* The bar in red indicates where Liberty Broadband's ROE % falls into.



Liberty Broadband ROE % Calculation

Liberty Broadband's annualized ROE % for the fiscal year that ended in Dec. 2023 is calculated as

ROE %=Net Income (A: Dec. 2023 )/( (Total Stockholders Equity (A: Dec. 2022 )+Total Stockholders Equity (A: Dec. 2023 ))/ count )
=688/( (8483+9003)/ 2 )
=688/8743
=7.87 %

Liberty Broadband's annualized ROE % for the quarter that ended in Jun. 2024 is calculated as

ROE %=Net Income (Q: Jun. 2024 )/( (Total Stockholders Equity (Q: Mar. 2024 )+Total Stockholders Equity (Q: Jun. 2024 ))/ count )
=780/( (9138+9343)/ 2 )
=780/9240.5
=8.44 %

* 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 (Jun. 2024) net income data. ROE % is displayed in the 30-year financial page.


Liberty Broadband  (NAS:LBRDK) 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: Jun. 2024 )
=Net Income/Total Stockholders Equity
=780/9240.5
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(780 / 984)*(984 / 15849.5)*(15849.5 / 9240.5)
=Net Margin %*Asset Turnover*Equity Multiplier
=79.27 %*0.0621*1.7152
=ROA %*Equity Multiplier
=4.92 %*1.7152
=8.44 %

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: Jun. 2024 )
=Net Income/Total Stockholders Equity
=780/9240.5
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (780 / 1012) * (1012 / 84) * (84 / 984) * (984 / 15849.5) * (15849.5 / 9240.5)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.7708 * 12.0476 * 8.54 % * 0.0621 * 1.7152
=8.44 %

Note: The net income data used here is four times the quarterly (Jun. 2024) net income data. The Revenue data used here is four times the quarterly (Jun. 2024) 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.


Liberty Broadband ROE % Related Terms

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


Liberty Broadband Business Description

Address
12300 Liberty Boulevard, Englewood, CO, USA, 80112
Liberty Broadband Corp serves in the telecommunications industry in the United States. It provides cable services to both residential and small to medium businesses through its fiber, hybrid fiber, and coaxial cable infrastructure. The services provided by the company are residential services which include video services, internet services, voice services, and mobile services, commercial services which include small, and medium business and enterprise solutions, advertising services, and other services. The reportable segments of the company are GCI Holdings, Charter. The firm derives the majority of its revenue from GCI Holdings.
Executives
Sue Ann Hamilton director 12405 POWERSCOURT DRIVE, ST. LOUIS MO 63131
Gregg L Engles director 1225 SEVENTEENTH STREET, SUITE 1000, DENVER CO 80202
Julie D. Frist director 810 JACKSON BLVD., NASHVILLE TN 37205
Renee L Wilm officer: Chief Legal Officer 12300 LIBERTY BOULEVARD, ENGLEWOOD CO 80112
John C Malone director, 10 percent owner 12300 LIBERTY BLVD, ENGLEWOOD CO 80112
Brian J Wendling officer: SVP/Controller/PFO 12300 LIBERTY BOULEVARD, ENGLEWOOD CO 80112
Mark D Carleton officer: Chief Financial Officer 12300 LIBERTY BLVD., ENGLEWOOD CO 80112
J David Wargo director C/O WARGO & CO, 712 FIFTH AVENUE 41ST FLOOR, NEW YORK NY 10019
Donne F Fisher director 12300 LIBERTY BLVD, ENGLEWOOD CO 80112
Welsh John E Iii director AVALON CAPITAL PARTNERS, 181 MAIN ST, COLD SPRING HARBOR NY 11724
Richard R Green director 1550 WEWATTA STREET, STE 1000, DENVER CO 80202
Gregory B Maffei director, officer: President/CEO 12300 LIBERTY BLVD, ENGLEWOOD CO 80112
Liberty Media Corp 10 percent owner 12300 LIBERTY BOULEVARD, ENGLEWOOD CO 80112
Albert E Rosenthaler officer: Senior Vice President 12300 LIBERTY BLVD, ENGLEWOOD CO 80112
Christopher W Shean officer: Senior Vice President/CFO 12300 LIBERTY BLVD., ENGLEWOOD CO 80116