Gala Technology Holding (HKSE:02458) Return-on-Tangible-Equity: 25.06% (As of Dec. 2025) — 33% Below Median

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HKSE:02458 Gala Technology Holding Ltd HKSE:02458
91 GF Score
Price HK$6.66
GF Value HK$6.68
Valuation Fairly Valued
! 3 Warning Signs
View Full Analysis

What is Gala Technology Holding Return-on-Tangible-Equity?

Gala Technology Holding HKSE:02458 +0.30% 91 Return-on-Tangible-Equity is 25.06% as of Dec. 2025, which is 33% below its 10-year median of 37.46. GuruFocus rates HKSE:02458 with a GF Score™ of 91/100 and a GF Value™ of HK$6.68 (Fairly Valued). The stock has 3 warning signs investors should review. Among 487 Interactive Media companies, Gala Technology Holding ranks better than 81.11% on this metric.

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. Gala Technology Holding's annualized net income for the quarter that ended in Dec. 2025 was HK$93 Mil. Gala Technology Holding's average shareholder tangible equity for the quarter that ended in Dec. 2025 was HK$372 Mil. Therefore, Gala Technology Holding's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 was 25.06%.

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

HKSE:02458' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 14.46   Med: 37.46   Max: 49.63
Current: 30.13

During the past 7 years, Gala Technology Holding's highest Return-on-Tangible-Equity was 49.63%. The lowest was 14.46%. And the median was 37.46%.

HKSE:02458's Return-on-Tangible-Equity is ranked better than
81.11% of 487 companies
in the Interactive Media industry
Industry Median: 5.12 vs HKSE:02458: 30.13

Gala Technology Holding  (HKSE:02458) 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.


Gala Technology Holding Return-on-Tangible-Equity Related Terms


Gala Technology Holding Return-on-Tangible-Equity Historical Data

* Premium members only.

The historical data trend for Gala Technology Holding'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.

Gala Technology Holding Return-on-Tangible-Equity Chart

Gala Technology Holding Annual Data
Trend Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Return-on-Tangible-Equity
Get a 7-Day Free Trial 37.46 14.46 45.65 31.71 30.48

Gala Technology Holding Semi-Annual Data
Dec19 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
Return-on-Tangible-Equity Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only 31.79 22.70 47.47 35.68 25.06

HKSE:02458 vs NTES, EA, TTWO: Return-on-Tangible-Equity Comparison

For the Electronic Gaming & Multimedia subindustry, Gala Technology Holding'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.


Gala Technology Holding Return-on-Tangible-Equity vs Interactive Media Industry

For the Interactive Media industry and Communication Services sector, Gala Technology Holding's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where Gala Technology Holding's Return-on-Tangible-Equity falls into.


HKSE:02458
91GF Score
Gala Technology Holding Ltd HKSE:02458
Return-on-Tangible-Equity is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Gala Technology Holding Return-on-Tangible-Equity Calculation

Gala Technology Holding's annualized Return-on-Tangible-Equity for the fiscal year that ended in Dec. 2025 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=105.928/( (304.677+390.328 )/ 2 )
=105.928/347.5025
=30.48 %

Gala Technology Holding's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2025 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Dec. 2025 )  (Q: Jun. 2025 )(Q: Dec. 2025 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Dec. 2025 )  (Q: Jun. 2025 )(Q: Dec. 2025 )
=93.182/( (353.44+390.328)/ 2 )
=93.182/371.884
=25.06 %

* 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 two times the semi-annual (Dec. 2025) net income data. Return-on-Tangible-Equity is displayed in the 10-year financial page.

What does a Return-on-Tangible-Equity of 25.06% mean?
Gala Technology Holding (HKSE:02458) has a Return-on-Tangible-Equity of 25.06% as of Dec. 2025. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Gala Technology Holding and its competitors. This is 33% below median its historical median of 37.46. Over the past decade, Gala Technology Holding's Return-on-Tangible-Equity has ranged from 14.46 to 49.63. According to the industry distribution chart, Gala Technology Holding ranks #92 out of 487 companies in the Interactive Media industry, placing it in the top 18.9%.
Is Gala Technology Holding's Return-on-Tangible-Equity too high?
Gala Technology Holding's current Return-on-Tangible-Equity of 25.06% is 33% below median its 10-year median of 37.46. Over the past 10 years, this metric has ranged from a low of 14.46 to a high of 49.63. The Interactive Media industry median Return-on-Tangible-Equity is 5.12. Gala Technology Holding's value of 25.06% is 389.5% above this industry median. Based on the distribution chart, Gala Technology Holding ranks #92 out of 487 companies in the Interactive Media industry, which is in the top quartile — a strong position relative to peers. Overall, Gala Technology Holding has a GF Score™ of 91/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Gala Technology Holding's Return-on-Tangible-Equity compare to NTES and EA?
According to the Interactive Media industry distribution chart, Gala Technology Holding ranks #92 out of 487 companies for Return-on-Tangible-Equity. This places Gala Technology Holding in the top 19% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 5.12. Gala Technology Holding's value of 25.06% is 389.5% above this benchmark. Historically, Gala Technology Holding's own Return-on-Tangible-Equity has ranged from 14.46 to 49.63 over the past decade. While the company's 10-year median is 37.46 vs. the industry median of 5.12, Gala Technology Holding has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Return-on-Tangible-Equity for an Interactive Media company?
The median Return-on-Tangible-Equity among Interactive Media companies is 5.12, based on 487 companies in the industry. Companies in the top quartile (top 25%) have a Return-on-Tangible-Equity significantly above this median, while those in the bottom quartile fall well below. However, Return-on-Tangible-Equity should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Gala Technology Holding's current Return-on-Tangible-Equity of 25.06% is 389.5% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Return-on-Tangible-Equity mean?
A high Return-on-Tangible-Equity can signal that a stock is expensive relative to its fundamentals. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Gala Technology Holding and its competitors. For the Interactive Media industry, the median Return-on-Tangible-Equity is 5.12 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Gala Technology Holding's current Return-on-Tangible-Equity is 25.06%, which is 33% below median its own 10-year median of 37.46. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Gala Technology Holding stock overvalued right now?
Based on GuruFocus' analysis, Gala Technology Holding (HKSE:02458) is currently considered Fairly Valued. The stock's GF Value™ is HK$6.68, compared to a current price of HK$6.66 — trading 0.3% below its estimated fair value. The current Return-on-Tangible-Equity is 25.06%, which is 33% below median its 10-year median of 37.46 and 389.5% above the Interactive Media industry median of 5.12. Gala Technology Holding's overall GF Score™ is 91/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Return-on-Tangible-Equity calculated?
Return-on-Tangible-Equity is calculated from a company's financial statements. For Gala Technology Holding (HKSE:02458), the current Return-on-Tangible-Equity is 25.06% as of Dec. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Gala Technology Holding (HKSE:02458) Overvalued in 2026?

Based on GuruFocus' analysis, Gala Technology Holding stock appears to be undervalued. The current stock price of HK$6.66 is trading 0.3% below its estimated GF Value™ of HK$6.68. GuruFocus considers Gala Technology Holding to be Fairly Valued.

Key valuation signals for HKSE:02458:

  • Return-on-Tangible-Equity: 25.06% (33% below median its 10-year median of 37.46)
  • GF Value™: HK$6.68 vs. price of HK$6.66 (0.3% below fair value)
  • GF Score™: 91/100 with 3 warning signs
  • Industry Position: 389.5% above the Interactive Media median (#92 of 487)

No single metric tells the full story. See the HKSE:02458 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Gala Technology Holding Business Description

Address 66 Shuniu Street, 15th Floor, Qianhai CTF Finance Tower, Qianhai Shenzhen-Hong Kong Cooperation Zone, Nanshan Subdistrict, Nanshan District, Shenzhen, CHN
Gala Technology Holding Ltd is an investment holding company. Along with its subsidiaries, it is mainly engaged in the mobile sports game development, publishing, and operation in the People's Republic of China. Its portfolio of games mainly covers mainstream sports categories, namely football, basketball, and baseball, including Football Master, NBA Basketball Master, Total Football, Football Champion, Clutch Hit Baseball, and NBA Rivals. These sports games rely on licensing resources from international sports leagues and clubs. The Group derives revenue from self-development games through various arrangements, including games published through its platforms or third-party distribution channels, and games published by other third-party game publishers under game distribution arrangements.
91GF Score

Get the complete analysis for HKSE:02458

Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

HK$6.66
Price
HK$6.68
GF Value