Measuring XPD Soccer Gear Group Limited's (ASX:XPD) track record of past performance is a useful exercise for investors. It enables us to understand whether or not the company has met or exceed expectations, which is an insightful signal for future performance. Today I will assess XPD's recent performance announced on 31 December 2018 and weigh these figures against its long-term trend and industry movements.

Check out our latest analysis for XPD Soccer Gear Group

Were XPD's earnings stronger than its past performances and the industry?

XPD's trailing twelve-month earnings (from 31 December 2018) of AU$9.7m has jumped 15% compared to the previous year.

Furthermore, this one-year growth rate has exceeded its 5-year annual growth average of -14%, indicating the rate at which XPD is growing has accelerated. How has it been able to do this? Well, let’s take a look at whether it is merely attributable to industry tailwinds, or if XPD Soccer Gear Group has seen some company-specific growth.

In terms of returns from investment, XPD Soccer Gear Group has fallen short of achieving a 20% return on equity (ROE), recording 9.0% instead. However, its return on assets (ROA) of 8.2% exceeds the AU Luxury industry of 6.2%, indicating XPD Soccer Gear Group has used its assets more efficiently. Though, its return on capital (ROC), which also accounts for XPD Soccer Gear Group’s debt level, has declined over the past 3 years from 34% to 12%.

What does this mean?

XPD Soccer Gear Group's track record can be a valuable insight into its earnings performance, but it certainly doesn't tell the whole story. Recent positive growth isn't always indicative of a continued optimistic outlook. There may be factors that are influencing the entire industry thus the high industry growth rate over the same time period. I recommend you continue to research XPD Soccer Gear Group to get a better picture of the stock by looking at:

1. Future Outlook: What are well-informed industry analysts predicting for XPD’s future growth? Take a look at our free research report of analyst consensus for XPD’s outlook.

2. Financial Health: Are XPD’s operations financially sustainable? Balance sheets can be hard to analyze, which is why we’ve done it for you. Check out our financial health checks here.

3. Other High-Performing Stocks: Are there other stocks that provide better prospects with proven track records? Explore our free list of these great stocks here.

NB: Figures in this article are calculated using data from the trailing twelve months from 31 December 2018. This may not be consistent with full year annual report figures.

We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.

If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading.