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Li Ning Co (Li Ning Co) 1-Year ROIIC % : 91.92% (As of Dec. 2023)


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What is Li Ning Co 1-Year ROIIC %?

1-Year Return on Invested Incremental Capital (1-Year ROIIC %) measures the change in earnings as a percentage of change in investment over 1-year. Li Ning Co's 1-Year ROIIC % for the quarter that ended in Dec. 2023 was 91.92%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.

The industry rank for Li Ning Co's 1-Year ROIIC % or its related term are showing as below:

LNNGY's 1-Year ROIIC % is ranked better than
81.81% of 753 companies
in the Travel & Leisure industry
Industry Median: 5.43 vs LNNGY: 91.92

Li Ning Co 1-Year ROIIC % Historical Data

The historical data trend for Li Ning Co's 1-Year ROIIC % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

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Li Ning Co 1-Year ROIIC % Chart

Li Ning Co Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
1-Year ROIIC %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 25.05 32.66 28.15 -8.28 91.92

Li Ning Co Semi-Annual Data
Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23
1-Year ROIIC % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 28.15 12.37 -8.28 -20.35 91.92

Competitive Comparison of Li Ning Co's 1-Year ROIIC %

For the Leisure subindustry, Li Ning Co's 1-Year ROIIC %, along with its competitors' market caps and 1-Year ROIIC % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Li Ning Co's 1-Year ROIIC % Distribution in the Travel & Leisure Industry

For the Travel & Leisure industry and Consumer Cyclical sector, Li Ning Co's 1-Year ROIIC % distribution charts can be found below:

* The bar in red indicates where Li Ning Co's 1-Year ROIIC % falls into.



Li Ning Co 1-Year ROIIC % Calculation

Li Ning Co's 1-Year ROIIC % for the quarter that ended in Dec. 2023 is calculated as:

1-Year ROIIC %=1-Year Incremental Net Operating Profit After Taxes (NOPAT)**/1-Year Incremental Invested Capital
=( 354.0932928 (Dec. 2023) - 482.538478 (Dec. 2022) )/( 3298.565 (Dec. 2023) - 3447.433 (Dec. 2022) )
=-128.4451852/-148.868
=86.28%***

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

** TTM data of NOPAT and Invested Capital was used to calculate 1-Year ROIIC %.
*** Please be aware that the ROIIC (Return on Invested Capital) calculations are based on company-level data using the primary share class. The calculated data provided is for demonstration purposes and may slightly differ from the results displayed in the title due to potential variations caused by currency exchange rate differences throughout the year.


Li Ning Co  (OTCPK:LNNGY) 1-Year ROIIC % Explanation

Return on Incremental Invested Capital (ROIIC) is an extension of Return on Investment Capital (ROIC). ROIC % tells investors how efficiently that profitability is earned per dollar of company capital. ROIIC narrows the focus even further and shows how profitable each additional unit of capital investment could be. ROIIC % is a more powerful metric than ROIC because it measures how much money the company can generate going forward on future capital investments.

High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.

Be Aware

It's important to keep in mind that when tracking ROIIC, the metric is better suited to forecasting the trend of future returns rather than measuring current return on investment.


Li Ning Co 1-Year ROIIC % Related Terms

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Li Ning Co (Li Ning Co) Business Description

Traded in Other Exchanges
Address
No. 8 Xing Guang 5th Street, Opto-Mechatronics Industrial Park, Zhongguancun Science and Technology Area, Tongzhou District, Beijing, CHN, 101111
Established in 1989, Li Ning is one of the largest sportswear companies in China. Headquartered in Beijing, Li Ning mainly sells professional and leisure footwear and apparel under the Li Ning brand. Despite having a single-brand strategy, Li Ning launched multiple sub-brands (such as China Li Ning and Li Ning 1990) to appeal to different demographics. As of the end of 2021, the company had 7,137 stores in China, of which 1,232 were directly operated, and 5,905 were franchised.

Li Ning Co (Li Ning Co) Headlines

From GuruFocus

Matthews China Fund Comments on Li Ning Co Ltd

By Vera Yuan Vera Yuan 10-20-2014