Tanwan (FRA:K7U) ROE %: 48.04% (As of Dec. 2025) — 111% Above Median

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FRA:K7U Tanwan Inc FRA:K7U
35 GF Score
Price €1.02
! 6 Warning Signs
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What is Tanwan ROE %?

Tanwan FRA:K7U -0.97% 35 ROE % is 48.04% as of Dec. 2025, which is 111% above its 10-year median of 22.82. GuruFocus rates FRA:K7U with a GF Score™ of 35/100. The stock has 6 warning signs investors should review. Among 530 Interactive Media companies, Tanwan ranks better than 94.53% on this metric.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Tanwan's annualized net income for the quarter that ended in Dec. 2025 was €214.5 Mil. Tanwan's average Total Stockholders Equity over the quarter that ended in Dec. 2025 was €446.5 Mil. Therefore, Tanwan's annualized ROE % for the quarter that ended in Dec. 2025 was 48.04%.

The historical rank and industry rank for Tanwan's ROE % or its related term are showing as below:

FRA:K7U' s ROE % Range Over the Past 10 Years
Min: -196.49   Med: 22.82   Max: 67.73
Current: 45.96

During the past 6 years, Tanwan's highest ROE % was 67.73%. The lowest was -196.49%. And the median was 22.82%.

FRA:K7U's ROE % is ranked better than
94.53% of 530 companies
in the Interactive Media industry
Industry Median: 2.575 vs FRA:K7U: 45.96

Tanwan  (FRA:K7U) ROE % Explanation

ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.

The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:

ROE %(Q: Dec. 2025 )
=Net Income/Total Stockholders Equity
=214.502/446.4955
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(214.502 / 522.26)*(522.26 / 791.6925)*(791.6925 / 446.4955)
=Net Margin %*Asset Turnover*Equity Multiplier
=41.07 %*0.6597*1.7731
=ROA %*Equity Multiplier
=27.09 %*1.7731
=48.04 %

With this breakdown, it is clear that if a company grows its Net Profit Margin, its Asset Turnover, or its Leverage, it can grow its ROE %.

The factors that affect a company's ROE % can also be illustrated with the five-step DuPont Analysis:

ROE %(Q: Dec. 2025 )
=Net Income/Total Stockholders Equity
=214.502/446.4955
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (214.502 / 287.142) * (287.142 / -5.33) * (-5.33 / 522.26) * (522.26 / 791.6925) * (791.6925 / 446.4955)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.747 * -53.8728 * -1.02 % * 0.6597 * 1.7731
=48.04 %

Note: The net income data used here is two times the semi-annual (Dec. 2025) net income data. The Revenue data used here is two times the semi-annual (Dec. 2025) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.

* 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.


Be Aware

Net Income is used.

Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % 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 ROE %s can be extremely high.


Tanwan ROE % Related Terms


Tanwan ROE % Historical Data

* Premium members only.

The historical data trend for Tanwan's ROE % 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.

Tanwan ROE % Chart

Tanwan Annual Data
Trend Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROE %
Get a 7-Day Free Trial 69.33 34.97 11.45 -0.16 43.85

Tanwan Semi-Annual Data
Dec20 Dec21 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
ROE % Get a 7-Day Free Trial Premium Member Only -3.51 -36.29 35.45 41.53 48.04

FRA:K7U vs NTES, EA, TTWO: ROE % Comparison

For the Electronic Gaming & Multimedia subindustry, Tanwan's ROE %, along with its competitors' market caps and ROE % 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.


Tanwan ROE % vs Interactive Media Industry

For the Interactive Media industry and Communication Services sector, Tanwan's ROE % distribution charts can be found below:

* The bar in red indicates where Tanwan's ROE % falls into.


FRA:K7U
35GF Score
Tanwan Inc FRA:K7U
ROE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Tanwan ROE % Calculation

Tanwan's annualized ROE % for the fiscal year that ended in Dec. 2025 is calculated as

ROE %=Net Income (A: Dec. 2025 )/( (Total Stockholders Equity (A: Dec. 2024 )+Total Stockholders Equity (A: Dec. 2025 ))/ count )
=180.242/( (314.613+507.543)/ 2 )
=180.242/411.078
=43.85 %

Tanwan's annualized ROE % for the quarter that ended in Dec. 2025 is calculated as

ROE %=Net Income (Q: Dec. 2025 )/( (Total Stockholders Equity (Q: Jun. 2025 )+Total Stockholders Equity (Q: Dec. 2025 ))/ count )
=214.502/( (385.448+507.543)/ 2 )
=214.502/446.4955
=48.04 %

* 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 ROE %, the net income of the last fiscal year and the average total shareholder 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. ROE % is displayed in the 30-year financial page.

Frequently Asked Questions Learn more about ROE % →
What does a ROE % of 48.04% mean?
Tanwan (FRA:K7U) has a ROE % of 48.04% as of Dec. 2025. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Tanwan and its competitors. This is 111% above median its historical median of 22.82. According to the industry distribution chart, Tanwan ranks #29 out of 530 companies in the Interactive Media industry, placing it in the top 5.5%.
Is Tanwan's ROE % too high?
Tanwan's current ROE % of 48.04% is 111% above median its 10-year median of 22.82. The Interactive Media industry median ROE % is 2.58. Tanwan's value of 48.04% is 1765.6% above this industry median. Based on the distribution chart, Tanwan ranks #29 out of 530 companies in the Interactive Media industry, which is in the top quartile — a strong position relative to peers. Overall, Tanwan has a GF Score™ of 35/100, reflecting its overall financial health beyond just this single metric.
How does Tanwan's ROE % compare to NTES and EA?
According to the Interactive Media industry distribution chart, Tanwan ranks #29 out of 530 companies for ROE %. This places Tanwan in the top 6% of its industry — outperforming the majority of peers. The industry median ROE % is 2.58. Tanwan's value of 48.04% is 1765.6% above this benchmark. While the company's 10-year median is 22.82 vs. the industry median of 2.58, Tanwan 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 ROE % for an Interactive Media company?
The median ROE % among Interactive Media companies is 2.58, based on 530 companies in the industry. Companies in the top quartile (top 25%) have a ROE % significantly above this median, while those in the bottom quartile fall well below. However, ROE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Tanwan's current ROE % of 48.04% is 1765.6% 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 ROE % mean?
A high ROE % can signal that a stock is expensive relative to its fundamentals. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Tanwan and its competitors. For the Interactive Media industry, the median ROE % is 2.58 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Tanwan's current ROE % is 48.04%, which is 111% above median its own 10-year median of 22.82. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Tanwan stock overvalued right now?
Tanwan (FRA:K7U) has a current ROE % of 48.04%. The current ROE % is 48.04%, which is 111% above median its 10-year median of 22.82 and 1765.6% above the Interactive Media industry median of 2.58. Tanwan's overall GF Score™ is 35/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROE % calculated?
ROE % is calculated from a company's financial statements. For Tanwan (FRA:K7U), the current ROE % is 48.04% 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.

Tanwan Business Description

Other Exchanges 09890:Hong Kong
Address 656 Huangpu Avenue, Floors 41, 62 to 66, Canton Financial Center, Tianhe District, Guangdong Province, Guangzhou, CHN
Tanwan Inc Formerly ZX Inc is a publisher of online game products in China. It is devoted to marketing and operating online games (in particular mobile games) in China. The online games developed by its clients marketed and operated by the company are delivered to players under the Tan Wan brand. The company has enabled the marketing and operation of game products. Its geographic markets are Mainland China, Hong Kong, and Others. It generates revenue from marketing and operating online games and consumer product business, including sales of private-label and local-flavor rice noodle products and other fast consumer foods under the brand Zha Zha Hui.
35GF Score

Get the complete analysis for FRA:K7U

ROE % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

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