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Fonterra Co-operative Group (NZSE:FCG) 10-Year RORE % : 84.20% (As of Jul. 2023)


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What is Fonterra Co-operative Group 10-Year RORE %?

Return on Retained Earnings (RORE) is an indicator of a company's growth potential, it shows how much a company earns by reinvesting its retained earnings, i.e. profits after dividend payments. Fonterra Co-operative Group's 10-Year RORE % for the quarter that ended in Jul. 2023 was 84.20%.

The industry rank for Fonterra Co-operative Group's 10-Year RORE % or its related term are showing as below:

NZSE:FCG's 10-Year RORE % is ranked better than
94.03% of 1207 companies
in the Consumer Packaged Goods industry
Industry Median: 6.29 vs NZSE:FCG: 84.20

Fonterra Co-operative Group 10-Year RORE % Historical Data

The historical data trend for Fonterra Co-operative Group's 10-Year RORE % 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.

Fonterra Co-operative Group 10-Year RORE % Chart

Fonterra Co-operative Group Annual Data
Trend Jul14 Jul15 Jul16 Jul17 Jul18 Jul19 Jul20 Jul21 Jul22 Jul23
10-Year RORE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only - - -6.00 -13.44 84.20

Fonterra Co-operative Group Semi-Annual Data
Jan14 Jul14 Jan15 Jul15 Jan16 Jul16 Jan17 Jul17 Jan18 Jul18 Jan19 Jul19 Jan20 Jul20 Jan21 Jul21 Jan22 Jul22 Jan23 Jul23
10-Year RORE % 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 -6.00 -15.81 -13.44 37.01 84.20

Competitive Comparison of Fonterra Co-operative Group's 10-Year RORE %

For the Packaged Foods subindustry, Fonterra Co-operative Group's 10-Year RORE %, along with its competitors' market caps and 10-Year RORE % 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.


Fonterra Co-operative Group's 10-Year RORE % Distribution in the Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Fonterra Co-operative Group's 10-Year RORE % distribution charts can be found below:

* The bar in red indicates where Fonterra Co-operative Group's 10-Year RORE % falls into.



Fonterra Co-operative Group 10-Year RORE % Calculation

Fonterra Co-operative Group's 10-Year RORE % for the quarter that ended in Jul. 2023 is calculated as:

10-Year RORE %=( Most Recent EPS (Diluted)- First Period EPS (Diluted) )/( Cumulative EPS (Diluted) for 10-year -Cumulative Dividends per Share for 10-year )
=( 0.792-0.083 )/( 2.476-1.634 )
=0.709/0.842
=84.20 %

* 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 10-Year RORE %, the most recent and first period EPS (Diluted) is the trailing twelve months (TTM) data ended in Jul. 2023 and 10-year before.


Fonterra Co-operative Group  (NZSE:FCG) 10-Year RORE % Explanation

Return on Retained Earnings (RORE) is important to investors because it reveals a company's efficiency and growth potential. A higher RORE indicates a higher return. A high RORE indicates that the company should reinvest profits into the business. A lower RORE suggests that the company should distribute profits to shareholders by paying out dividends, since those dollars aren't generating much additional growth for the company.

There are a several different ways to arrive at the Return on Retained Earnings. The simplest way to calculate it is by using published information on Earnings per Share (EPS) and Dividend per Share (DPS) over a selected period. Here, 10-year period is chosen.

Be Aware

Please keep in mind that the RORE is relative to the nature of the business and its competitors. If another company in the same sector is producing a lower return on retained earnings, it doesn’t necessarily mean it’s a bad investment. It may just suggest the company is older and no longer in a high growth stage. At such a stage in the business cycle, it would be expected to see a lower RORE and higher dividend payout.


Fonterra Co-operative Group 10-Year RORE % Related Terms

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Fonterra Co-operative Group (NZSE:FCG) Business Description

Traded in Other Exchanges
N/A
Address
109 Fanshawe Street, Auckland Central, Auckland, NZL, 1010
Fonterra Co-operative Group Ltd operates predominantly in the international dairy industry. The company is involved in the collection, manufacture, and sale of milk and milk-derived products through its ingredients, Consumer and Foodservice channels. The company's reportable segments are Global Markets, Greater China, and Core Operations and the majority of the revenue is generated from its core operations segment. Its primary geographic markets are China, the Rest of Asia, Australia, New Zealand, the United States, Latin America, and the Rest of the world.

Fonterra Co-operative Group (NZSE:FCG) Headlines