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IVD Medical Holding (HKSE:01931) ROE % : 7.38% (As of Jun. 2024)


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What is IVD Medical Holding ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. IVD Medical Holding's annualized net income for the quarter that ended in Jun. 2024 was HK$270 Mil. IVD Medical Holding's average Total Stockholders Equity over the quarter that ended in Jun. 2024 was HK$3,656 Mil. Therefore, IVD Medical Holding's annualized ROE % for the quarter that ended in Jun. 2024 was 7.38%.

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

HKSE:01931' s ROE % Range Over the Past 10 Years
Min: 5.77   Med: 7.41   Max: 14.52
Current: 7.84

During the past 8 years, IVD Medical Holding's highest ROE % was 14.52%. The lowest was 5.77%. And the median was 7.41%.

HKSE:01931's ROE % is ranked better than
53.33% of 105 companies
in the Medical Distribution industry
Industry Median: 7.38 vs HKSE:01931: 7.84

IVD Medical Holding ROE % Historical Data

The historical data trend for IVD Medical Holding'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.

* Premium members only.

IVD Medical Holding ROE % Chart

IVD Medical Holding Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
ROE %
Get a 7-Day Free Trial 14.52 5.77 6.08 6.54 7.26

IVD Medical Holding Semi-Annual Data
Dec16 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24
ROE % 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 5.28 8.13 6.42 8.26 7.38

Competitive Comparison of IVD Medical Holding's ROE %

For the Medical Distribution subindustry, IVD Medical Holding'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.


IVD Medical Holding's ROE % Distribution in the Medical Distribution Industry

For the Medical Distribution industry and Healthcare sector, IVD Medical Holding's ROE % distribution charts can be found below:

* The bar in red indicates where IVD Medical Holding's ROE % falls into.



IVD Medical Holding ROE % Calculation

IVD Medical Holding's annualized ROE % for the fiscal year that ended in Dec. 2023 is calculated as

ROE %=Net Income (A: Dec. 2023 )/( (Total Stockholders Equity (A: Dec. 2022 )+Total Stockholders Equity (A: Dec. 2023 ))/ count )
=260.498/( (3521.433+3658.619)/ 2 )
=260.498/3590.026
=7.26 %

IVD Medical Holding's annualized ROE % for the quarter that ended in Jun. 2024 is calculated as

ROE %=Net Income (Q: Jun. 2024 )/( (Total Stockholders Equity (Q: Dec. 2023 )+Total Stockholders Equity (Q: Jun. 2024 ))/ count )
=269.756/( (3658.619+3653.415)/ 2 )
=269.756/3656.017
=7.38 %

* 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 (Jun. 2024) net income data. ROE % is displayed in the 30-year financial page.


IVD Medical Holding  (HKSE:01931) 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: Jun. 2024 )
=Net Income/Total Stockholders Equity
=269.756/3656.017
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(269.756 / 2914.138)*(2914.138 / 5484.8425)*(5484.8425 / 3656.017)
=Net Margin %*Asset Turnover*Equity Multiplier
=9.26 %*0.5313*1.5002
=ROA %*Equity Multiplier
=4.92 %*1.5002
=7.38 %

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: Jun. 2024 )
=Net Income/Total Stockholders Equity
=269.756/3656.017
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (269.756 / 388.612) * (388.612 / 420.3) * (420.3 / 2914.138) * (2914.138 / 5484.8425) * (5484.8425 / 3656.017)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.6942 * 0.9246 * 14.42 % * 0.5313 * 1.5002
=7.38 %

Note: The net income data used here is two times the semi-annual (Jun. 2024) net income data. The Revenue data used here is two times the semi-annual (Jun. 2024) 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.


IVD Medical Holding ROE % Related Terms

Thank you for viewing the detailed overview of IVD Medical Holding's ROE % provided by GuruFocus.com. Please click on the following links to see related term pages.


IVD Medical Holding Business Description

Traded in Other Exchanges
N/A
Address
Lane 299, Bisheng Road, Room 602, Building 6, Zhangjiang Hi-Tech Park, Pudong New Area District, Shanghai, CHN
IVD Medical Holding Ltd is principally engaged in the sale and manufacture of medical equipment and consumables and the provision of consultancy and maintenance services related to medical equipment. It has three segments. The distribution business, which is the key revenue driver, involves the trading of IVD analysers, reagents, and other consumables to customers such as distributors, hospitals and healthcare institutions, and logistics providers. The After-sales Services provided by Vastec include maintenance and repair services, installation services and end-customer training. Its Self-branded Products Business, distributes its self-developed IVD products under its own brand which includes IVD analysers and reagents under the IVD testing category of Point-of-care testing.
Executives
Leung King Sun
Wu Meizhen 2201 Interest of corporation controlled by you
China International Trust Limited 2201 Interest of corporation controlled by you
Wu Yanfeng 2201 Interest of corporation controlled by you
Wu Mingcong 2201 Interest of corporation controlled by you
Wu Junfeng 2201 Interest of corporation controlled by you
Shen Li 2201 Interest of corporation controlled by you
Nd Medical Technology Limited 2201 Interest of corporation controlled by you
Ma Zhouwei 2201 Interest of corporation controlled by you
Hong Kong Medicine Group Limited 2201 Interest of corporation controlled by you
Hknd Gene Biotechnology Limited 2201 Interest of corporation controlled by you
Fast Benefit Pharmaceutical Limited 2201 Interest of corporation controlled by you
China Smart Pharmaceutical Technology Limited 2201 Interest of corporation controlled by you
3w.com Holding Limited 2201 Interest of corporation controlled by you
Morgan Stanley 2201 Interest of corporation controlled by you

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