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Lenta IPJSC (LSE:LNTA) ROA % : -1.85% (As of Jun. 2023)


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What is Lenta IPJSC ROA %?

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Lenta IPJSC's annualized Net Income for the quarter that ended in Jun. 2023 was $-76 Mil. Lenta IPJSC's average Total Assets over the quarter that ended in Jun. 2023 was $4,088 Mil. Therefore, Lenta IPJSC's annualized ROA % for the quarter that ended in Jun. 2023 was -1.85%.

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

LSE:LNTA's ROA % is not ranked *
in the Retail - Cyclical industry.
Industry Median: 2.35
* Ranked among companies with meaningful ROA % only.

Lenta IPJSC ROA % Historical Data

The historical data trend for Lenta IPJSC'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.

Lenta IPJSC ROA % Chart

Lenta IPJSC Annual Data
Trend Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21
ROA %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 5.74 4.09 -0.97 4.94 4.03

Lenta IPJSC Semi-Annual Data
Jun13 Dec13 Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Jun23
ROA % 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 5.44 3.71 4.75 2.21 -1.85

Competitive Comparison of Lenta IPJSC's ROA %

For the Department Stores subindustry, Lenta IPJSC'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.


Lenta IPJSC's ROA % Distribution in the Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Lenta IPJSC's ROA % distribution charts can be found below:

* The bar in red indicates where Lenta IPJSC's ROA % falls into.



Lenta IPJSC ROA % Calculation

Lenta IPJSC's annualized ROA % for the fiscal year that ended in Dec. 2021 is calculated as:

ROA %=Net Income (A: Dec. 2021 )/( (Total Assets (A: Dec. 2020 )+Total Assets (A: Dec. 2021 ))/ count )
=168.791/( (3736.63+4643.106)/ 2 )
=168.791/4189.868
=4.03 %

Lenta IPJSC's annualized ROA % for the quarter that ended in Jun. 2023 is calculated as:

ROA %=Net Income (Q: Jun. 2023 )/( (Total Assets (Q: Jun. 2022 )+Total Assets (Q: Jun. 2023 ))/ count )
=-75.804/( (0+4088.295)/ 1 )
=-75.804/4088.295
=-1.85 %

* 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 (Jun. 2023) net income data. ROA % is displayed in the 30-year financial page.


Lenta IPJSC  (LSE:LNTA) 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: Jun. 2023 )
=Net Income/Total Assets
=-75.804/4088.295
=(Net Income / Revenue)*(Revenue / Total Assets)
=(-75.804 / 6337.016)*(6337.016 / 4088.295)
=Net Margin %*Asset Turnover
=-1.2 %*1.55
=-1.85 %

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


Lenta IPJSC ROA % Related Terms

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Lenta IPJSC Business Description

Traded in Other Exchanges
Address
112B & 119 Savushkina Street, Saint Petersburg, RUS, 197374
Lenta IPJSC, formerly Lenta PLC operates a chain of retail stores in Russia. The company operates more than 200 hypermarkets in Russia. It also has more than 100 supermarkets in Moscow and St. Petersburg. Through its hypermarkets and supermarkets, it sells products varying from household goods, daily need products, food, and drinks. Revenues are generated by the sale of these products directly to the consumer.

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