RAIL3 Profitability Analysis: Past Growth, Margins, Return on Capital, Free Cash Flow, and more - Rumo SA - Alpha Spread

Rumo SA
BOVESPA:RAIL3

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Rumo SA
BOVESPA:RAIL3
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Price: 19.92 BRL -2.73% Market Closed
Market Cap: 36.8B BRL
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Profitability Summary

We take all the information about a company's profitability (such as its margins, capital efficiency, free cash flow generating ability, and more) and consolidate it into one single number - the profitability score. The higher the profitability score, the more profitable the company is.

Past Growth

To be successful and remain in business, both growth and profitability are important and necessary. Net Income growth is often seen as a sign of a company's efficiency from an operational standpoint, but is influenced heavily by a company's goals and challenges and should therefore be assessed in conjunction with other metrics like revenue and operating income growth.

Margins

Profit margins represent what percentage of sales has turned into profits. Simply put, the percentage figure indicates how many cents of profit the company has generated for each dollar of sale.

Profit margins help investors assess if a company's management is generating enough profit from its sales and whether operating costs and overhead costs are being contained.

Earnings Waterfall
Rumo SA

Revenue
11.7B BRL
Cost of Revenue
-7.1B BRL
Gross Profit
4.6B BRL
Operating Expenses
-650.8m BRL
Operating Income
4B BRL
Other Expenses
-3B BRL
Net Income
1B BRL

Margins Comparison
Rumo SA Competitors

Country Company Market Cap Gross
Margin
Operating
Margin
Net
Margin
BR
Rumo SA
BOVESPA:RAIL3
36.8B BRL
40%
34%
9%
US
Union Pacific Corp
NYSE:UNP
149.6B USD
78%
39%
27%
CA
Canadian Pacific Railway Ltd
NYSE:CP
80.1B USD
84%
36%
24%
CA
Canadian National Railway Co
TSX:CNR
100.3B CAD
74%
38%
32%
US
CSX Corp
NASDAQ:CSX
67.7B USD
72%
37%
24%
US
Norfolk Southern Corp
NYSE:NSC
56B USD
46%
32%
15%
CN
Beijing-Shanghai High Speed Railway Co Ltd
SSE:601816
261.7B CNY
47%
45%
30%
US
Kansas City Southern
LSE:0JQ4
4.2B USD
69%
39%
3%
JP
East Japan Railway Co
TSE:9020
3.4T JPY
36%
14%
8%
JP
Central Japan Railway Co
TSE:9022
3.2T JPY
48%
37%
24%
HK
MTR Corp Ltd
HKEX:66
171.6B HKD
38%
19%
16%
Country BR
Market Cap 36.8B BRL
Gross Margin
40%
Operating Margin
34%
Net Margin
9%
Country US
Market Cap 149.6B USD
Gross Margin
78%
Operating Margin
39%
Net Margin
27%
Country CA
Market Cap 80.1B USD
Gross Margin
84%
Operating Margin
36%
Net Margin
24%
Country CA
Market Cap 100.3B CAD
Gross Margin
74%
Operating Margin
38%
Net Margin
32%
Country US
Market Cap 67.7B USD
Gross Margin
72%
Operating Margin
37%
Net Margin
24%
Country US
Market Cap 56B USD
Gross Margin
46%
Operating Margin
32%
Net Margin
15%
Country CN
Market Cap 261.7B CNY
Gross Margin
47%
Operating Margin
45%
Net Margin
30%
Country US
Market Cap 4.2B USD
Gross Margin
69%
Operating Margin
39%
Net Margin
3%
Country JP
Market Cap 3.4T JPY
Gross Margin
36%
Operating Margin
14%
Net Margin
8%
Country JP
Market Cap 3.2T JPY
Gross Margin
48%
Operating Margin
37%
Net Margin
24%
Country HK
Market Cap 171.6B HKD
Gross Margin
38%
Operating Margin
19%
Net Margin
16%

Return on Capital

Return on capital ratios give a sense of how well a company is using its capital (equity, assets, capital employed, etc.) to generate profits (operating income, net income, etc.). In simple words, these ratios show how much income is generated for each dollar of capital invested.

Return on Capital Comparison
Rumo SA Competitors

Country Company Market Cap ROE ROA ROCE ROIC
BR
Rumo SA
BOVESPA:RAIL3
36.8B BRL
6%
2%
9%
8%
US
Union Pacific Corp
NYSE:UNP
149.6B USD
44%
10%
15%
11%
CA
Canadian Pacific Railway Ltd
NYSE:CP
80.1B USD
8%
4%
7%
5%
CA
Canadian National Railway Co
TSX:CNR
100.3B CAD
27%
10%
14%
11%
US
CSX Corp
NASDAQ:CSX
67.7B USD
29%
9%
14%
10%
US
Norfolk Southern Corp
NYSE:NSC
56B USD
14%
4%
10%
8%
CN
Beijing-Shanghai High Speed Railway Co Ltd
SSE:601816
261.7B CNY
7%
4%
7%
5%
US
Kansas City Southern
LSE:0JQ4
4.2B USD
2%
1%
12%
5%
JP
East Japan Railway Co
TSE:9020
3.4T JPY
9%
2%
5%
3%
JP
Central Japan Railway Co
TSE:9022
3.2T JPY
10%
4%
7%
5%
HK
MTR Corp Ltd
HKEX:66
171.6B HKD
5%
3%
4%
3%
Country BR
Market Cap 36.8B BRL
ROE
6%
ROA
2%
ROCE
9%
ROIC
8%
Country US
Market Cap 149.6B USD
ROE
44%
ROA
10%
ROCE
15%
ROIC
11%
Country CA
Market Cap 80.1B USD
ROE
8%
ROA
4%
ROCE
7%
ROIC
5%
Country CA
Market Cap 100.3B CAD
ROE
27%
ROA
10%
ROCE
14%
ROIC
11%
Country US
Market Cap 67.7B USD
ROE
29%
ROA
9%
ROCE
14%
ROIC
10%
Country US
Market Cap 56B USD
ROE
14%
ROA
4%
ROCE
10%
ROIC
8%
Country CN
Market Cap 261.7B CNY
ROE
7%
ROA
4%
ROCE
7%
ROIC
5%
Country US
Market Cap 4.2B USD
ROE
2%
ROA
1%
ROCE
12%
ROIC
5%
Country JP
Market Cap 3.4T JPY
ROE
9%
ROA
2%
ROCE
5%
ROIC
3%
Country JP
Market Cap 3.2T JPY
ROE
10%
ROA
4%
ROCE
7%
ROIC
5%
Country HK
Market Cap 171.6B HKD
ROE
5%
ROA
3%
ROCE
4%
ROIC
3%

Free Cash Flow

Free cash flow (FCF) is the money a company has left over after paying its operating expenses and capital expenditures. The more free cash flow a company has, the more it can allocate to dividends, paying down debt, and growth opportunities.

If a company has a decreasing free cash flow, that is not necessarily bad if the company is investing in its growth.

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