GURUFOCUS.COM » STOCK LIST » Technology » Software » Model N Inc (FRA:2MD) » Definitions » 3-Year ROIIC %

Model N (FRA:2MD) 3-Year ROIIC % : 4.71% (As of Sep. 2023)


View and export this data going back to 2013. Start your Free Trial

What is Model N 3-Year ROIIC %?

3-Year Return on Invested Incremental Capital (3-Year ROIIC %) measures the change in earnings as a percentage of change in investment over 3-year. Model N's 3-Year ROIIC % for the quarter that ended in Sep. 2023 was 4.71%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.

The industry rank for Model N's 3-Year ROIIC % or its related term are showing as below:

FRA:2MD's 3-Year ROIIC % is ranked better than
54.82% of 2603 companies
in the Software industry
Industry Median: 1.33 vs FRA:2MD: 4.71

Model N 3-Year ROIIC % Historical Data

The historical data trend for Model N's 3-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.

* Premium members only.

Model N 3-Year ROIIC % Chart

Model N Annual Data
Trend Sep14 Sep15 Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22 Sep23
3-Year ROIIC %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 19.70 -273.38 7.16 2.76 4.71

Model N Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
3-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 - - 4.71 - -

Competitive Comparison of Model N's 3-Year ROIIC %

For the Software - Application subindustry, Model N's 3-Year ROIIC %, along with its competitors' market caps and 3-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.


Model N's 3-Year ROIIC % Distribution in the Software Industry

For the Software industry and Technology sector, Model N's 3-Year ROIIC % distribution charts can be found below:

* The bar in red indicates where Model N's 3-Year ROIIC % falls into.



Model N 3-Year ROIIC % Calculation

Model N's 3-Year ROIIC % for the quarter that ended in Sep. 2023 is calculated as:

3-Year ROIIC %=3-Year Incremental Net Operating Profit After Taxes (NOPAT)**/3-Year Incremental Invested Capital**
=( -4.211007 (Sep. 2023) - -5.9618648 (Sep. 2020) )/( 184.577 (Sep. 2023) - 121.671 (Sep. 2020) )
=1.7508578/62.906
=2.78%***

* 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.

** Annual data of NOPAT and Invested Capital was used to calculate 3-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.


Model N  (FRA:2MD) 3-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.


Model N 3-Year ROIIC % Related Terms

Thank you for viewing the detailed overview of Model N's 3-Year ROIIC % provided by GuruFocus.com. Please click on the following links to see related term pages.


Model N (FRA:2MD) Business Description

Traded in Other Exchanges
Address
777 Mariners Island Boulevard, Suite 300, San Mateo, CA, USA, 94404
Model N Inc is a provider of cloud revenue management solutions for life science and technology companies. The products of the company involve Revenue Cloud for Life Sciences for helps life science companies improve revenue and operational efficiency while adhering to government regulations as it creates and executes contracts with its customers; and Revenue Cloud for High Tech that enables customers to modernize their sales processes by adopting a strategic approach to manage the revenue lifecycle by planned revenue. It has one operating segment with one business activity - developing and monetizing revenue management solutions. A majority of the firm's revenue is generated in the United States, but it has a presence in countries across the world.

Model N (FRA:2MD) Headlines

No Headlines