Richtech Digital BhdXKLS:0342 +5.56%19 Return-on-Tangible-Equity is 12.84% as of Mar. 2026, which is 72% below its 10-year median of 46.39. GuruFocus rates XKLS:0342 with a GF Score™ of 19/100. The stock has 2 warning signs investors should review. Among 2,467 Software companies, Richtech Digital Bhd ranks better than 52.7% 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. Richtech Digital Bhd's annualized net income for the quarter that ended in Mar. 2026 was RM4.19 Mil. Richtech Digital Bhd's average shareholder tangible equity for the quarter that ended in Mar. 2026 was RM32.61 Mil. Therefore, Richtech Digital Bhd's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 12.84%.
The historical rank and industry rank for Richtech Digital Bhd's Return-on-Tangible-Equity or its related term are showing as below:
XKLS:0342'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 10.27 Med: 46.39 Max: 52.23
Current: 10.27
During the past 4 years, Richtech Digital Bhd's highest Return-on-Tangible-Equity was 52.23%. The lowest was 10.27%. And the median was 46.39%.
XKLS:0342's Return-on-Tangible-Equity is ranked better than 52.7% of 2467
companies
in the Software industry
Industry Median: 8.62
vs XKLS:0342: 10.27
Richtech Digital Bhd (XKLS:0342) 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.
Richtech Digital Bhd Return-on-Tangible-Equity Related Terms
Richtech Digital Bhd Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Richtech Digital Bhd'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.
Richtech Digital Bhd Return-on-Tangible-Equity Chart
XKLS:0342 vs MSFT, ORCL, PLTR: Return-on-Tangible-Equity Comparison
For the Software - Infrastructure subindustry, Richtech Digital Bhd'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.
Richtech Digital Bhd Return-on-Tangible-Equity vs Software Industry
For the Software industry and Technology sector, Richtech Digital Bhd's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Richtech Digital Bhd's Return-on-Tangible-Equity falls into.
* 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. 2026) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of 12.84% mean?
Richtech Digital Bhd (XKLS:0342) has a Return-on-Tangible-Equity of 12.84% as of Mar. 2026. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Richtech Digital Bhd and its competitors. This is 72% below median its historical median of 46.39. Over the past decade, Richtech Digital Bhd's Return-on-Tangible-Equity has ranged from 10.27 to 52.23. According to the industry distribution chart, Richtech Digital Bhd ranks #1167 out of 2467 companies in the Software industry, placing it in the top 47.3%.
Is Richtech Digital Bhd's Return-on-Tangible-Equity too high?
Richtech Digital Bhd's current Return-on-Tangible-Equity of 12.84% is 72% below median its 10-year median of 46.39. Over the past 10 years, this metric has ranged from a low of 10.27 to a high of 52.23. The Software industry median Return-on-Tangible-Equity is 8.62. Richtech Digital Bhd's value of 12.84% is 49% above this industry median. Based on the distribution chart, Richtech Digital Bhd ranks #1167 out of 2467 companies in the Software industry, which is above the industry midpoint. Overall, Richtech Digital Bhd has a GF Score™ of 19/100, reflecting its overall financial health beyond just this single metric.
How does Richtech Digital Bhd's Return-on-Tangible-Equity compare to MSFT and ORCL?
According to the Software industry distribution chart, Richtech Digital Bhd ranks #1167 out of 2467 companies for Return-on-Tangible-Equity. This puts Richtech Digital Bhd in the upper half of its industry. The industry median Return-on-Tangible-Equity is 8.62. Richtech Digital Bhd's value of 12.84% is 49% above this benchmark. Historically, Richtech Digital Bhd's own Return-on-Tangible-Equity has ranged from 10.27 to 52.23 over the past decade. While the company's 10-year median is 46.39 vs. the industry median of 8.62, Richtech Digital Bhd 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 a Software company?
The median Return-on-Tangible-Equity among Software companies is 8.62, based on 2,467 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. Richtech Digital Bhd's current Return-on-Tangible-Equity of 12.84% is 49% 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 Richtech Digital Bhd and its competitors. For the Software industry, the median Return-on-Tangible-Equity is 8.62 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Richtech Digital Bhd's current Return-on-Tangible-Equity is 12.84%, which is 72% below median its own 10-year median of 46.39. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Richtech Digital Bhd stock overvalued right now?
Richtech Digital Bhd (XKLS:0342) has a current Return-on-Tangible-Equity of 12.84%. The current Return-on-Tangible-Equity is 12.84%, which is 72% below median its 10-year median of 46.39 and 49% above the Software industry median of 8.62. Richtech Digital Bhd's overall GF Score™ is 19/100 with 2 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 Richtech Digital Bhd (XKLS:0342), the current Return-on-Tangible-Equity is 12.84% as of Mar. 2026. 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.
Richtech Digital Bhd is principally an investment holding company. Through its sole Subsidiary, it is principally involved in the distribution of electronic reloads as well as the provision of bill payment services via its SRS platform. SRS corporate users, which refer to: reload retailers (such as resellers, mobile phone shops, sundry shops and apparel shops), which provide electronic reload and bill payment services through utilizing both the front-end interfaces and back-end system of Its SRS platform.
19GF Score
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