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Vimicro International (FRA:V7I) Return-on-Tangible-Equity : 19.96% (As of Jun. 2015)


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What is Vimicro International 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. Vimicro International's annualized net income for the quarter that ended in Jun. 2015 was €18.84 Mil. Vimicro International's average shareholder tangible equity for the quarter that ended in Jun. 2015 was €94.37 Mil. Therefore, Vimicro International's annualized Return-on-Tangible-Equity for the quarter that ended in Jun. 2015 was 19.96%.

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

FRA:V7I' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -35.42   Med: -5.89   Max: 21.3
Current: 12.45

During the past 13 years, Vimicro International's highest Return-on-Tangible-Equity was 21.30%. The lowest was -35.42%. And the median was -5.89%.

FRA:V7I's Return-on-Tangible-Equity is not ranked
in the Semiconductors industry.
Industry Median: 5.19 vs FRA:V7I: 12.45

Vimicro International Return-on-Tangible-Equity Historical Data

The historical data trend for Vimicro International'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.

Vimicro International Return-on-Tangible-Equity Chart

Vimicro International Annual Data
Trend Dec05 Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14
Return-on-Tangible-Equity
Get a 7-Day Free Trial Premium Member Only Premium Member Only -19.97 -35.52 -0.92 -14.58 9.70

Vimicro International Quarterly Data
Sep10 Dec10 Mar11 Jun11 Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15
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 26.10 29.91 17.23 -10.81 19.96

Competitive Comparison of Vimicro International's Return-on-Tangible-Equity

For the Semiconductors subindustry, Vimicro International'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.


Vimicro International's Return-on-Tangible-Equity Distribution in the Semiconductors Industry

For the Semiconductors industry and Technology sector, Vimicro International's Return-on-Tangible-Equity distribution charts can be found below:

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



Vimicro International Return-on-Tangible-Equity Calculation

Vimicro International's annualized Return-on-Tangible-Equity for the fiscal year that ended in Dec. 2014 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Dec. 2014 )  (A: Dec. 2013 )(A: Dec. 2014 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Dec. 2014 )  (A: Dec. 2013 )(A: Dec. 2014 )
=3.809/( (36.078+42.422 )/ 2 )
=3.809/39.25
=9.70 %

Vimicro International's annualized Return-on-Tangible-Equity for the quarter that ended in Jun. 2015 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Jun. 2015 )  (Q: Mar. 2015 )(Q: Jun. 2015 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Jun. 2015 )  (Q: Mar. 2015 )(Q: Jun. 2015 )
=18.836/( (93.126+95.611)/ 2 )
=18.836/94.3685
=19.96 %

* 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 (Jun. 2015) net income data. Return-on-Tangible-Equity is displayed in the 10-year financial page.


Vimicro International  (FRA:V7I) 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.


Vimicro International Return-on-Tangible-Equity Related Terms

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Vimicro International (FRA:V7I) Business Description

Traded in Other Exchanges
N/A
Address
Vimicro International is one of China's leading semiconductor design companies. The firm makes mixed-signal multimedia chips used in PC, embedded notebook webcams, mobile phones, and video cameras. The firm recently launched a surveillance segment that provides comprehensive security systems to customers, bundling its chips with other hardware, software, and nonsoftware acquired from third party vendors. The company was founded in 1999.

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