Hoe LeongSGX:H20 ROE % is 4.04% as of Dec. 2025, which is 71% above its 10-year median of 2.36. The stock has 3 warning signs investors should review. Among 157 Industrial Distribution companies, Hoe Leong ranks worse than 77.07% on this metric.
ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Hoe Leong's annualized net income for the quarter that ended in Dec. 2025 was S$1.04 Mil. Hoe Leong's average Total Stockholders Equity over the quarter that ended in Dec. 2025 was S$25.62 Mil. Therefore, Hoe Leong's annualized ROE % for the quarter that ended in Dec. 2025 was 4.04%.
The historical rank and industry rank for Hoe Leong's ROE % or its related term are showing as below:
SGX:H20'
s ROE % Range Over the Past 10 Years
Min: -108.38 Med: 2.36 Max: 24.33
Current: 2.12
During the past 13 years, Hoe Leong's highest ROE % was 24.33%. The lowest was -108.38%. And the median was 2.36%.
SGX:H20's ROE % is ranked worse than 77.07% of 157
companies
in the Industrial Distribution industry
Industry Median: 7.26
vs SGX:H20: 2.12
Hoe Leong (SGX:H20) 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:
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.
Hoe Leong ROE % Related Terms
Hoe Leong ROE % Historical Data
* Premium members only.
The historical data trend for Hoe Leong'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.
For the Industrial Distribution subindustry, Hoe Leong'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.
Hoe Leong ROE % vs Industrial Distribution Industry
For the Industrial Distribution industry and Industrials sector, Hoe Leong's ROE % distribution charts can be found below:
* The bar in red indicates where Hoe Leong's ROE % 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 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.
Hoe Leong (SGX:H20) has a ROE % of 4.04% 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 Hoe Leong and its competitors. This is 71% above median its historical median of 2.36. According to the industry distribution chart, Hoe Leong ranks #121 out of 157 companies in the Industrial Distribution industry, placing it in the top 77.1%.
Is Hoe Leong's ROE % too high?
Hoe Leong's current ROE % of 4.04% is 71% above median its 10-year median of 2.36. The Industrial Distribution industry median ROE % is 7.26. Hoe Leong's value of 4.04% is 44.4% below this industry median. Based on the distribution chart, Hoe Leong ranks #121 out of 157 companies in the Industrial Distribution industry, which is in the bottom quartile relative to peers.
How does Hoe Leong's ROE % compare to GWW and FAST?
According to the Industrial Distribution industry distribution chart, Hoe Leong ranks #121 out of 157 companies for ROE %. This places Hoe Leong in the lower half of its industry. The industry median ROE % is 7.26. Hoe Leong's value of 4.04% is 44.4% below this benchmark. While the company's 10-year median is 2.36 vs. the industry median of 7.26, Hoe Leong has consistently been below 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 Industrial Distribution company?
The median ROE % among Industrial Distribution companies is 7.26, based on 157 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. Hoe Leong's current ROE % of 4.04% is 44.4% below 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 Hoe Leong and its competitors. For the Industrial Distribution industry, the median ROE % is 7.26 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hoe Leong's current ROE % is 4.04%, which is 71% above median its own 10-year median of 2.36. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hoe Leong stock overvalued right now?
Hoe Leong (SGX:H20) has a current ROE % of 4.04%. The current ROE % is 4.04%, which is 71% above median its 10-year median of 2.36 and 44.4% below the Industrial Distribution industry median of 7.26. 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 Hoe Leong (SGX:H20), the current ROE % is 4.04% 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.
Hoe Leong Corp Ltd specializes in providing undercarriage products, equipment parts, and services for heavy equipment and industrial machinery. Its offerings include an extensive range of parts for bulldozers, excavators, wheel loaders, and off-the-road (OTR) mining dump trucks, such as track frames, track chains and groups, rollers, shoes, sprockets, grouser parts, idlers, and OTR tires. The Group's reportable segments are Design and manufacture, Trading and distribution, and Investment Holding. Maximum revenue is derived from the Design and manufacture segment, which designs, manufactures, and sells equipment parts for both heavy equipment and industrial machinery under in-house brands like KBJ, ROSSI, and MIZU. Geographically, it operates globally and derives key revenue from Australia.
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