Switch to:
Li & Fung Ltd (OTCPK:LFUGF)
Net Margin
1.89% (As of Jun. 2015)

Net margin is calculated as net income divided by its revenue. Li & Fung Ltd's net income for the six months ended in Jun. 2015 was $163 Mil. Li & Fung Ltd's revenue for the six months ended in Jun. 2015 was $8,626 Mil. Therefore, Li & Fung Ltd's net margin for the quarter that ended in Jun. 2015 was 1.89%.

LFUGF' s 10-Year Net Margin Range
Min: 2.19   Max: 3.97
Current: 2.64

2.19
3.97
LFUGF's Net Marginis ranked lower than
57% of the 741 Companies
in the Global Business Services industry.

( Industry Median: 3.84 vs. LFUGF: 2.64 )

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. 2014 is calculated as

Net Margin=Net Income (A: Dec. 2014 )/Revenue (A: Dec. 2014 )
=469.646/19288.499
=2.43 %

Li & Fung Ltd's Net Margin for the quarter that ended in Jun. 2015 is calculated as

Net Margin=Net Income (Q: Jun. 2015 )/Revenue (Q: Jun. 2015 )
=162.593/8625.611
=1.89 %

* All numbers are in millions except for per share data and ratio. All numbers are in their own 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 own currency.

Li & Fung Ltd Annual Data

Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14
netmargin 3.223.243.312.193.223.453.403.083.972.43

Li & Fung Ltd Semi-Annual Data

Dec10Jun11Dec11Jun12Dec12Jun13Dec13Jun14Dec14Jun15
netmargin 2.922.693.963.432.791.326.101.443.251.89
Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)

GuruFocus Premium Plus Membership

FEEDBACK