LHSW (Lianhe Sowell International Group) ROCE %: -12.81% (As of Sep. 2025)


LHSW Lianhe Sowell International Group Ltd LHSW
20 GF Score
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What is Lianhe Sowell International Group ROCE %?

Lianhe Sowell International Group LHSW -10.37% 20 ROCE % is -12.81% as of Sep. 2025. GuruFocus rates LHSW with a GF Score™ of 20/100. The stock has 5 warning signs investors should review.

ROCE % measures how well a company generates profits from its capital. It is calculated as EBIT divided by Capital Employed, where Capital Employed is calculated as Total Assets minus Total Current Liabilities. Lianhe Sowell International Group's annualized ROCE % for the quarter that ended in Sep. 2025 was -12.81%.

Lianhe Sowell International Group  (NAS:LHSW) ROCE % Explanation

ROCE % can be especially useful when comparing the performance of capital-intensive companies. Unlike ROE %, which indicates the profitability of Shareholders Equity, ROCE % also considers long-term debt in Capital Employed. This can be helpful when analyzing companies with significant debt, as the result is neutralized by taking debt into consideration.

Generally speaking, a higher ROCE % indicates a stonger profitability for a company. Moreover, it is important to look at the ratio from a long term perspective. Investors tend to favor companies with stable and rising ROCE % trend over those with volatile ones.

Lianhe Sowell International Group ROCE % Related Terms

Lianhe Sowell International Group ROCE % Historical Data

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The historical data trend for Lianhe Sowell International Group's ROCE % 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.

Lianhe Sowell International Group ROCE % Chart

Lianhe Sowell International Group Annual Data
Trend Mar22 Mar23 Mar24 Mar25
ROCE %
-31.95 77.75 50.95 32.07

Lianhe Sowell International Group Semi-Annual Data
Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25
ROCE % Get a 7-Day Free Trial 68.71 34.19 27.73 35.78 -12.81
LHSW
20GF Score
Lianhe Sowell International Group Ltd LHSW
ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Lianhe Sowell International Group ROCE % Calculation

Lianhe Sowell International Group's annualized ROCE % for the fiscal year that ended in Mar. 2025 is calculated as:

ROCE %=EBIT/( (Capital Employed+Capital Employed)/ count )
(A: Mar. 2025 )  (A: Mar. 2024 )(A: Mar. 2025 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(A: Mar. 2025 )  (A: Mar. 2024 )(A: Mar. 2025 )
=3.26/( ( (19.13 - 10.878) + (30.729 - 18.65) )/ 2 )
=3.26/( (8.252+12.079)/ 2 )
=3.26/10.1655
=32.07 %

Lianhe Sowell International Group's ROCE % of for the quarter that ended in Sep. 2025 is calculated as:

ROCE %=EBIT (1)/( (Capital Employed+Capital Employed)/ count )
(Q: Sep. 2025 )  (Q: Mar. 2025 )(Q: Sep. 2025 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(Q: Sep. 2025 )  (Q: Mar. 2025 )(Q: Sep. 2025 )
=-1.91/( ( (30.729 - 18.65) + (39.227 - 21.482) )/ 2 )
=-1.91/( ( 12.079 + 17.745 )/ 2 )
=-1.91/14.912
=-12.81 %

(1) Note: The EBIT data used here is two times the semi-annual (Sep. 2025) EBIT data.

* 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.

Frequently Asked Questions Learn more about ROCE % →
What does a ROCE % of -12.81% mean?
Lianhe Sowell International Group (LHSW) has a ROCE % of -12.81% as of Sep. 2025.
Is Lianhe Sowell International Group's ROCE % too high?
Lianhe Sowell International Group's current ROCE % is -12.81%. Overall, Lianhe Sowell International Group has a GF Score™ of 20/100, reflecting its overall financial health beyond just this single metric.
How does Lianhe Sowell International Group's ROCE % compare to SDCH and DTSS?
Lianhe Sowell International Group's ROCE % of -12.81% can be compared against companies in the Software industry. The industry median ROCE % is 5.27. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROCE % for a Software company?
The median ROCE % among Software companies is 5.27, based on 2,713 companies in the industry. Companies in the top quartile (top 25%) have a ROCE % significantly above this median, while those in the bottom quartile fall well below. However, ROCE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROCE % mean?
A high ROCE % can signal that a stock is expensive relative to its fundamentals. For the Software industry, the median ROCE % is 5.27 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lianhe Sowell International Group's current ROCE % is -12.81%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lianhe Sowell International Group stock overvalued right now?
Lianhe Sowell International Group (LHSW) has a current ROCE % of -12.81%. The current ROCE % is -12.81%. Lianhe Sowell International Group's overall GF Score™ is 20/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROCE % calculated?
ROCE % is calculated from a company's financial statements. For Lianhe Sowell International Group (LHSW), the current ROCE % is -12.81% as of Sep. 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.

Lianhe Sowell International Group Business Description

Address No. 3388 Binhai Avenue, 15th Floor, Sannuo Smart Building, Binhai Community, Nanshan District, Shenzhen, CHN
Lianhe Sowell International Group Ltd is a holding company and operates its business through its subsidiary. It is a provider of machine vision products and solutions in China that invent and integrate technologies and solutions that address some of the critical manufacturing and distribution challenges, such as precision and accuracy required in manufacturing of electronic products. The company categorize machine vision products in four categories based on their application settings: Industrial Machine Vision, Artificial Intelligence (Face Recognition and AI Behavior Analysis), Intelligent Weak Current (Building Intelligence and Intelligent Transportation) and Electronic Customs Clearance.
20GF Score

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