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Li & Fung Ltd (OTCPK:LFUGF)
Net Margin
0.90% (As of Jun. 2016)

Net margin is calculated as net income divided by its revenue. Li & Fung Ltd's net income for the six months ended in Jun. 2016 was $72 Mil. Li & Fung Ltd's revenue for the six months ended in Jun. 2016 was $8,071 Mil. Therefore, Li & Fung Ltd's net margin for the quarter that ended in Jun. 2016 was 0.90%.

LFUGF' s Net Margin Range Over the Past 10 Years
Min: 1.89   Max: 3.81
Current: 1.89

1.89
3.81
LFUGF's Net Margin is ranked lower than
63% of the 748 Companies
in the Global Business Services industry.

( Industry Median: 4.11 vs. LFUGF: 1.89 )

Definition

Net margin - also known as net profit margin is the ratio of Net Income divided by net sales or Revenue, usually presented in percent.

Li & Fung Ltd's Net Margin for the fiscal year that ended in Dec. 2015 is calculated as

Net Margin=Net Income (A: Dec. 2015 )/Revenue (A: Dec. 2015 )
=421.046/18830.835
=2.24 %

Li & Fung Ltd's Net Margin for the quarter that ended in Jun. 2016 is calculated as

Net Margin=Net Income (Q: Jun. 2016 )/Revenue (Q: Jun. 2016 )
=72.315/8070.733
=0.90 %

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's currency.


Explanation

Although Net Income and Earnings-per-Share (EPS) are the most widely used parameter in measuring a company’s profitability and valuation, it is the least reliable. The reason is that reported earnings can be manipulated easily by adjusting any numbers such as Depreciation, Depletion and Amotorization and non-recurring items.

But the long term trend of the net margin is a good indicator of the competitiveness and health of the business.


Related Terms

Net Income, Revenue, Cost of Goods Sold, Selling, General, & Admin. Expense, Research & Development, Depreciation, Depletion and Amortization, Interest Expense, Non-Recurring Items, Tax Expense


Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's currency.

Li & Fung Ltd Annual Data

Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14Dec15
netmargin 3.243.312.193.223.453.403.053.812.292.24

Li & Fung Ltd Semi-Annual Data

Dec11Jun12Dec12Jun13Dec13Jun14Dec14Jun15Dec15Jun16
netmargin 3.973.422.751.145.961.283.121.722.670.90
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