Lianlian DigiTech Co (HKSE:02598) ROE %: 10.81% (As of Dec. 2025)


HKSE:02598 Lianlian DigiTech Co Ltd HKSE:02598
39 GF Score
Price HK$4.21
! 3 Warning Signs
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What is Lianlian DigiTech Co ROE %?

Lianlian DigiTech Co HKSE:02598 +0.24% 39 ROE % is 10.81% as of Dec. 2025. GuruFocus rates HKSE:02598 with a GF Score™ of 39/100. The stock has 3 warning signs investors should review. Among 2,675 Software companies, Lianlian DigiTech Co ranks better than 97.2% on this metric.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Lianlian DigiTech Co's annualized net income for the quarter that ended in Dec. 2025 was HK$338 Mil. Lianlian DigiTech Co's average Total Stockholders Equity over the quarter that ended in Dec. 2025 was HK$3,125 Mil. Therefore, Lianlian DigiTech Co's annualized ROE % for the quarter that ended in Dec. 2025 was 10.81%.

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

HKSE:02598' s ROE % Range Over the Past 10 Years
Min: -78.58   Med: -26.09   Max: 78.08
Current: 72.21

During the past 6 years, Lianlian DigiTech Co's highest ROE % was 78.08%. The lowest was -78.58%. And the median was -26.09%.

HKSE:02598's ROE % is ranked better than
97.2% of 2675 companies
in the Software industry
Industry Median: 4.69 vs HKSE:02598: 72.21

Lianlian DigiTech Co  (HKSE:02598) 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
=337.922/3125.477
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(337.922 / 2101.368)*(2101.368 / 23136.6505)*(23136.6505 / 3125.477)
=Net Margin %*Asset Turnover*Equity Multiplier
=16.08 %*0.0908*7.4026
=ROA %*Equity Multiplier
=1.46 %*7.4026
=10.81 %

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
=337.922/3125.477
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (337.922 / 357.92) * (357.92 / -438.494) * (-438.494 / 2101.368) * (2101.368 / 23136.6505) * (23136.6505 / 3125.477)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.9441 * -0.8162 * -20.87 % * 0.0908 * 7.4026
=10.81 %

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.


Lianlian DigiTech Co ROE % Related Terms


Lianlian DigiTech Co ROE % Historical Data

* Premium members only.

The historical data trend for Lianlian DigiTech Co'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.

Lianlian DigiTech Co ROE % Chart

Lianlian DigiTech Co Annual Data
Trend Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROE %
Get a 7-Day Free Trial -33.81 -57.99 -78.58 -18.36 78.08

Lianlian DigiTech Co Semi-Annual Data
Dec20 Dec21 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
ROE % Get a 7-Day Free Trial Premium Member Only -92.61 -91.98 33.82 158.57 10.81

HKSE:02598 vs MSFT, ORCL, PLTR: ROE % Comparison

For the Software - Infrastructure subindustry, Lianlian DigiTech Co'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.


Lianlian DigiTech Co ROE % vs Software Industry

For the Software industry and Technology sector, Lianlian DigiTech Co's ROE % distribution charts can be found below:

* The bar in red indicates where Lianlian DigiTech Co's ROE % falls into.


HKSE:02598
39GF Score
Lianlian DigiTech Co Ltd HKSE:02598
ROE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Lianlian DigiTech Co ROE % Calculation

Lianlian DigiTech Co'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 )
=1837.991/( (1311.46+3396.793)/ 2 )
=1837.991/2354.1265
=78.08 %

Lianlian DigiTech Co'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 )
=337.922/( (2854.161+3396.793)/ 2 )
=337.922/3125.477
=10.81 %

* 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 10.81% mean?
Lianlian DigiTech Co (HKSE:02598) has a ROE % of 10.81% 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 Lianlian DigiTech Co and its competitors. According to the industry distribution chart, Lianlian DigiTech Co ranks #75 out of 2675 companies in the Software industry, placing it in the top 2.8%.
Is Lianlian DigiTech Co's ROE % too high?
Lianlian DigiTech Co's current ROE % is 10.81%. The Software industry median ROE % is 4.69. Lianlian DigiTech Co's value of 10.81% is 130.5% above this industry median. Based on the distribution chart, Lianlian DigiTech Co ranks #75 out of 2675 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, Lianlian DigiTech Co has a GF Score™ of 39/100, reflecting its overall financial health beyond just this single metric.
How does Lianlian DigiTech Co's ROE % compare to MSFT and ORCL?
According to the Software industry distribution chart, Lianlian DigiTech Co ranks #75 out of 2675 companies for ROE %. This places Lianlian DigiTech Co in the top 3% of its industry — outperforming the majority of peers. The industry median ROE % is 4.69. Lianlian DigiTech Co's value of 10.81% is 130.5% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROE % for a Software company?
The median ROE % among Software companies is 4.69, based on 2,675 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. Lianlian DigiTech Co's current ROE % of 10.81% is 130.5% 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 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 Lianlian DigiTech Co and its competitors. For the Software industry, the median ROE % is 4.69 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lianlian DigiTech Co's current ROE % is 10.81%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lianlian DigiTech Co stock overvalued right now?
Lianlian DigiTech Co (HKSE:02598) has a current ROE % of 10.81%. The current ROE % is 10.81% and 130.5% above the Software industry median of 4.69. Lianlian DigiTech Co's overall GF Score™ is 39/100 with 3 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 Lianlian DigiTech Co (HKSE:02598), the current ROE % is 10.81% 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.

Lianlian DigiTech Co Business Description

Address 79 Yueda Lane, B3, 12th Floor, Building 1, Binjiang District, Zhejiang Province, Hangzhou, CHN
Lianlian DigiTech Co Ltd and its subsidiaries are engaged in the provision of digital payment services and value-added services across the world. Digital payment services encompass international and domestic payments and include various products such as pay-in, payout, acquiring, foreign exchange, virtual bank card, and payment aggregation services. By integrating AI-driven intelligence across its end-to-end service chain, the Group works to optimize transaction risk management and improve customer service. The Group's reportable segments are: Global payment, Domestic payment, Value-added services, and Others. Maximum revenue is derived from the Global payment segment, which helps merchants who sell their goods on e-commerce platforms globally and regionally to repatriate their funds.
39GF Score

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

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