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Industrivarden AB (CHIX:INDUAS) Return-on-Tangible-Equity : 19.03% (As of Mar. 2025)


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What is Industrivarden AB Return-on-Tangible-Equity?

Return-on-Tangible-Equity is calculated as Net Income divided by its average total shareholder tangible equity. Total shareholder tangible equity equals to Total Stockholders Equity minus Intangible Assets. Industrivarden AB's annualized net income for the quarter that ended in Mar. 2025 was kr31,024 Mil. Industrivarden AB's average shareholder tangible equity for the quarter that ended in Mar. 2025 was kr163,057 Mil. Therefore, Industrivarden AB's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2025 was 19.03%.

The historical rank and industry rank for Industrivarden AB's Return-on-Tangible-Equity or its related term are showing as below:

CHIX:INDUAs' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -10.37   Med: 12.84   Max: 30.19
Current: 2.4

During the past 13 years, Industrivarden AB's highest Return-on-Tangible-Equity was 30.19%. The lowest was -10.37%. And the median was 12.84%.

CHIX:INDUAs's Return-on-Tangible-Equity is ranked worse than
67.05% of 1633 companies
in the Asset Management industry
Industry Median: 7.42 vs CHIX:INDUAs: 2.40

Industrivarden AB Return-on-Tangible-Equity Historical Data

The historical data trend for Industrivarden AB's Return-on-Tangible-Equity 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.

Industrivarden AB Return-on-Tangible-Equity Chart

Industrivarden AB Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Return-on-Tangible-Equity
Get a 7-Day Free Trial Premium Member Only Premium Member Only 7.23 20.14 -10.37 19.45 8.19

Industrivarden AB Quarterly Data
Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
Return-on-Tangible-Equity 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 41.79 -18.33 16.86 -7.93 19.03

Competitive Comparison of Industrivarden AB's Return-on-Tangible-Equity

For the Asset Management subindustry, Industrivarden AB's Return-on-Tangible-Equity, along with its competitors' market caps and Return-on-Tangible-Equity 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.


Industrivarden AB's Return-on-Tangible-Equity Distribution in the Asset Management Industry

For the Asset Management industry and Financial Services sector, Industrivarden AB's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where Industrivarden AB's Return-on-Tangible-Equity falls into.


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Industrivarden AB Return-on-Tangible-Equity Calculation

Industrivarden AB's annualized Return-on-Tangible-Equity for the fiscal year that ended in Dec. 2024 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Dec. 2024 )  (A: Dec. 2023 )(A: Dec. 2024 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Dec. 2024 )  (A: Dec. 2023 )(A: Dec. 2024 )
=12654/( (149880+159178 )/ 2 )
=12654/154529
=8.19 %

Industrivarden AB's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2025 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Mar. 2025 )  (Q: Dec. 2024 )(Q: Mar. 2025 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Mar. 2025 )  (Q: Dec. 2024 )(Q: Mar. 2025 )
=31024/( (159178+166935)/ 2 )
=31024/163056.5
=19.03 %

* 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.

In the calculation of annual Return-on-Tangible-Equity, the net income of the last fiscal year and the average total shareholder tangible equity over the fiscal year are used. In calculating the quarterly data, the net income data used here is four times the quarterly (Mar. 2025) net income data. Return-on-Tangible-Equity is displayed in the 10-year financial page.


Industrivarden AB  (CHIX:INDUAs) Return-on-Tangible-Equity Explanation

Return-on-Tangible-Equity measures the rate of return on the ownership interest (shareholder's tangible equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' tangible equity (shareholders equity minus intangibles). Return-on-Tangible-Equity shows how well a company uses investment funds to generate earnings growth. Return-on-Tangible-Equitys between 15% and 20% are considered desirable.


Be Aware

Net Income is used.

Because a company can increase its Return-on-Tangible-Equity by having more financial leverage, it is important to watch the leverage ratio when investing in high Return-on-Tangible-Equity companies. Like Return-on-Tangible-Asset, Return-on-Tangible-Equity is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Asset light businesses require very few assets to generate very high earnings. Their Return-on-Tangible-Equitys can be extremely high.


Industrivarden AB Return-on-Tangible-Equity Related Terms

Thank you for viewing the detailed overview of Industrivarden AB's Return-on-Tangible-Equity provided by GuruFocus.com. Please click on the following links to see related term pages.


Industrivarden AB Business Description

Address
Storgatan 10, P.O Box 5403, Stockholm, SWE, 114 51
Industrivarden AB is a holding company that invests in and works long-term to develop and create value in its portfolio companies. Active ownership is exercised through sizable ownership stakes in a selection of listed companies with strong market positions, good cash flows, financial strength, and clear development capacity. The company's stock offers exposure to a portfolio of companies with proven business models, a wide breadth of underlying business areas, and good value potential.

Industrivarden AB Headlines

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