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OPG Power Ventures (LSE:OPG) ROE % : 2.76% (As of Sep. 2023)


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What is OPG Power Ventures ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. OPG Power Ventures's annualized net income for the quarter that ended in Sep. 2023 was £4.7 Mil. OPG Power Ventures's average Total Stockholders Equity over the quarter that ended in Sep. 2023 was £171.5 Mil. Therefore, OPG Power Ventures's annualized ROE % for the quarter that ended in Sep. 2023 was 2.76%.

The historical rank and industry rank for OPG Power Ventures's ROE % or its related term are showing as below:

LSE:OPG' s ROE % Range Over the Past 10 Years
Min: -45.13   Med: 9.23   Max: 13.83
Current: 6.16

During the past 13 years, OPG Power Ventures's highest ROE % was 13.83%. The lowest was -45.13%. And the median was 9.23%.

LSE:OPG's ROE % is ranked better than
50.71% of 424 companies
in the Utilities - Independent Power Producers industry
Industry Median: 5.975 vs LSE:OPG: 6.16

OPG Power Ventures ROE % Historical Data

The historical data trend for OPG Power Ventures'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.

OPG Power Ventures ROE % Chart

OPG Power Ventures Annual Data
Trend Mar14 Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 9.61 5.28 8.84 3.63 4.27

OPG Power Ventures Semi-Annual Data
Mar14 Sep14 Mar15 Sep15 Mar16 Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23
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 5.15 2.12 -1.30 9.55 2.76

Competitive Comparison of OPG Power Ventures's ROE %

For the Utilities - Independent Power Producers subindustry, OPG Power Ventures'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.


OPG Power Ventures's ROE % Distribution in the Utilities - Independent Power Producers Industry

For the Utilities - Independent Power Producers industry and Utilities sector, OPG Power Ventures's ROE % distribution charts can be found below:

* The bar in red indicates where OPG Power Ventures's ROE % falls into.



OPG Power Ventures ROE % Calculation

OPG Power Ventures's annualized ROE % for the fiscal year that ended in Mar. 2023 is calculated as

ROE %=Net Income (A: Mar. 2023 )/( (Total Stockholders Equity (A: Mar. 2022 )+Total Stockholders Equity (A: Mar. 2023 ))/ count )
=7.253/( (169.194+170.757)/ 2 )
=7.253/169.9755
=4.27 %

OPG Power Ventures's annualized ROE % for the quarter that ended in Sep. 2023 is calculated as

ROE %=Net Income (Q: Sep. 2023 )/( (Total Stockholders Equity (Q: Mar. 2023 )+Total Stockholders Equity (Q: Sep. 2023 ))/ count )
=4.738/( (170.757+172.202)/ 2 )
=4.738/171.4795
=2.76 %

* 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 two times the semi-annual (Sep. 2023) net income data. ROE % is displayed in the 30-year financial page.


OPG Power Ventures  (LSE:OPG) 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: Sep. 2023 )
=Net Income/Total Stockholders Equity
=4.738/171.4795
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(4.738 / 139.736)*(139.736 / 258.0845)*(258.0845 / 171.4795)
=Net Margin %*Asset Turnover*Equity Multiplier
=3.39 %*0.5414*1.505
=ROA %*Equity Multiplier
=1.84 %*1.505
=2.76 %

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: Sep. 2023 )
=Net Income/Total Stockholders Equity
=4.738/171.4795
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (4.738 / 8.128) * (8.128 / 10.104) * (10.104 / 139.736) * (139.736 / 258.0845) * (258.0845 / 171.4795)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.5829 * 0.8044 * 7.23 % * 0.5414 * 1.505
=2.76 %

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


OPG Power Ventures ROE % Related Terms

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OPG Power Ventures (LSE:OPG) Business Description

Traded in Other Exchanges
Address
55 Athol Street, Douglas, IMN, IM1 1LA
OPG Power Ventures PLC is engaged in the development, owning, operation and maintenance of private sector power projects in India. The electricity generated from the group's plants is sold principally to public sector undertakings and heavy industrial companies in India or in the short term market. The business objective of the group is to focus on the power generation business within India and thereby provide reliable, cost effective power to the industrial consumers and other users under the open access provisions mandated by the Government of India.

OPG Power Ventures (LSE:OPG) Headlines

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