Switch to:
Li & Fung Ltd (OTCPK:LFUGF)
Net Margin
2.67% (As of Dec. 2015)

Net margin is calculated as net income divided by its revenue. Li & Fung Ltd's net income for the six months ended in Dec. 2015 was $272 Mil. Li & Fung Ltd's revenue for the six months ended in Dec. 2015 was $10,205 Mil. Therefore, Li & Fung Ltd's net margin for the quarter that ended in Dec. 2015 was 2.67%.

LFUGF' s Net Margin Range Over the Past 10 Years
Min: 2.19   Max: 3.81
Current: 2.24

2.19
3.81
LFUGF's Net Margin is ranked lower than
60% of the 737 Companies
in the Global Business Services industry.

( Industry Median: 3.95 vs. LFUGF: 2.24 )

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 Dec. 2015 is calculated as

Net Margin=Net Income (Q: Dec. 2015 )/Revenue (Q: Dec. 2015 )
=272.361/10205.224
=2.67 %

* 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

Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14Dec15
netmargin 3.243.312.193.223.453.403.053.812.292.24

Li & Fung Ltd Semi-Annual Data

Jun11Dec11Jun12Dec12Jun13Dec13Jun14Dec14Jun15Dec15
netmargin 2.683.973.422.751.145.961.283.121.722.67
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)
FEEDBACK