Nanshan Aluminium International Holdings (FRA:2HW) ROIC %: 19.64% (As of Dec. 2025)

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FRA:2HW Nanshan Aluminium International Holdings Ltd FRA:2HW
29 GF Score
Price €2.78
! 2 Warning Signs
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What is Nanshan Aluminium International Holdings ROIC %?

Nanshan Aluminium International Holdings FRA:2HW 29 ROIC % is 19.64% as of Dec. 2025. GuruFocus rates FRA:2HW with a GF Score™ of 29/100. The stock has 2 warning signs investors should review.

ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. Nanshan Aluminium International Holdings's annualized return on invested capital (ROIC %) for the quarter that ended in Dec. 2025 was 19.64%.

As of today (2026-08-20), Nanshan Aluminium International Holdings's WACC % is 10.64%. Nanshan Aluminium International Holdings's ROIC % is 29.49% (calculated using TTM income statement data). Nanshan Aluminium International Holdings generates higher returns on investment than it costs the company to raise the capital needed for that investment. It is earning excess returns. A firm that expects to continue generating positive excess returns on new investments in the future will see its value increase as growth increases.


Nanshan Aluminium International Holdings  (FRA:2HW) ROIC % Explanation

ROIC % measures how well a company generates cash flow relative to the capital it has invested in its business. It is also called ROC %. The reason book values of debt and equity are used is because the book values are the capital the company received when issuing the debt or receiving the equity investments.

There are four key components to this definition. The first is the use of operating income or EBIT rather than net income in the numerator. The second is the tax adjustment to this operating income or EBIT, computed as a hypothetical tax based on an effective or marginal tax rate. The third is the use of book values for invested capital, rather than market values. The final is the timing difference; the capital invested is from the end of the prior year whereas the operating income or EBIT is the current year's number.

Why is ROIC % important?

Because it costs money to raise capital. A firm that generates higher returns on investment than it costs the company to raise the capital needed for that investment is earning excess returns. A firm that expects to continue generating positive excess returns on new investments in the future will see its value increase as growth increases, whereas a firm that earns returns that do not match up to its cost of capital will destroy value as it grows.

As of today, Nanshan Aluminium International Holdings's WACC % is 10.64%. Nanshan Aluminium International Holdings's ROIC % is 29.49% (calculated using TTM income statement data). Nanshan Aluminium International Holdings generates higher returns on investment than it costs the company to raise the capital needed for that investment. It is earning excess returns. A firm that expects to continue generating positive excess returns on new investments in the future will see its value increase as growth increases.


Be Aware

Like ROE % and ROA %, ROIC % is calculated with only 12 months of data. Fluctuations in the company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.


Nanshan Aluminium International Holdings ROIC % Related Terms


Nanshan Aluminium International Holdings ROIC % Historical Data

* Premium members only.

The historical data trend for Nanshan Aluminium International Holdings's ROIC % 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.

Nanshan Aluminium International Holdings ROIC % Chart

Nanshan Aluminium International Holdings Annual Data
Trend Dec21 Dec22 Dec23 Dec24 Dec25
ROIC %
3.89 10.10 16.18 42.42 28.50

Nanshan Aluminium International Holdings Semi-Annual Data
Dec21 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25 Jun26
ROIC % Get a 7-Day Free Trial Premium Member Only 30.84 59.91 38.49 19.64 5.68

FRA:2HW vs AA, CENX, CSTM: ROIC % Comparison

For the Aluminum subindustry, Nanshan Aluminium International Holdings's ROIC %, along with its competitors' market caps and ROIC % 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.


Nanshan Aluminium International Holdings ROIC % vs Metals & Mining Industry

For the Metals & Mining industry and Basic Materials sector, Nanshan Aluminium International Holdings's ROIC % distribution charts can be found below:

* The bar in red indicates where Nanshan Aluminium International Holdings's ROIC % falls into.


FRA:2HW
29GF Score
Nanshan Aluminium International Holdings Ltd FRA:2HW
ROIC % is just one metric. See GF Score™, valuation, warning signs, and more.
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Nanshan Aluminium International Holdings ROIC % Calculation

Nanshan Aluminium International Holdings's annualized Return on Invested Capital (ROIC %) for the fiscal year that ended in Dec. 2025 is calculated as:

ROIC % (A: Dec. 2025 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (A: Dec. 2024 ) + Invested Capital (A: Dec. 2025 ))/ count )
=383.934 * ( 1 - 12.77% )/( (1035.574 + 1314.857)/ 2 )
=334.9056282/1175.2155
=28.50 %

where

Invested Capital(A: Dec. 2024 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=1643.21 - 370.62 - ( 433.715 - max(0, 379.283 - 616.299+433.715))
=1035.574

Invested Capital(A: Dec. 2025 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=1920.185 - 273.23 - ( 340.24 - max(0, 277.761 - 609.859+340.24))
=1314.857

Nanshan Aluminium International Holdings's annualized Return on Invested Capital (ROIC %) for the quarter that ended in Dec. 2025 is calculated as:

ROIC % (Q: Dec. 2025 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Jun. 2025 ) + Invested Capital (Q: Dec. 2025 ))/ count )
=273.064 * ( 1 - 9.78% )/( (1193.348 + 1314.857)/ 2 )
=246.3583408/1254.1025
=19.64 %

where

Invested Capital(Q: Jun. 2025 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=1799.146 - 137.66 - ( 468.138 - max(0, 141.363 - 664.147+468.138))
=1193.348

Invested Capital(Q: Dec. 2025 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=1920.185 - 273.23 - ( 340.24 - max(0, 277.761 - 609.859+340.24))
=1314.857

Note: The Operating Income data used here is two times the semi-annual (Dec. 2025) data. The tax rate is limited to between 0% and 100%.

* 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 ROIC % →
What does a ROIC % of 19.64% mean?
Nanshan Aluminium International Holdings (FRA:2HW) has a ROIC % of 19.64% as of Dec. 2025. Return on invested capital is the ratio of current-period net income to average two-period invested capital. View historical data on Nanshan Aluminium International Holdings and its competitors.
Is Nanshan Aluminium International Holdings' ROIC % too high?
Nanshan Aluminium International Holdings' current ROIC % is 19.64%. Overall, Nanshan Aluminium International Holdings has a GF Score™ of 29/100, reflecting its overall financial health beyond just this single metric.
How does Nanshan Aluminium International Holdings' ROIC % compare to AA and CENX?
Nanshan Aluminium International Holdings' ROIC % of 19.64% can be compared against companies in the Metals & Mining industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROIC % for a Metals & Mining company?
A good ROIC % depends on the Metals & Mining industry context. However, ROIC % 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 ROIC % mean?
A high ROIC % can signal that a stock is expensive relative to its fundamentals. Return on invested capital is the ratio of current-period net income to average two-period invested capital. View historical data on Nanshan Aluminium International Holdings and its competitors. Nanshan Aluminium International Holdings's current ROIC % is 19.64%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nanshan Aluminium International Holdings stock overvalued right now?
Nanshan Aluminium International Holdings (FRA:2HW) has a current ROIC % of 19.64%. The current ROIC % is 19.64%. Nanshan Aluminium International Holdings' overall GF Score™ is 29/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROIC % calculated?
ROIC % is calculated from a company's financial statements. For Nanshan Aluminium International Holdings (FRA:2HW), the current ROIC % is 19.64% 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.

Nanshan Aluminium International Holdings Business Description

Other Exchanges 02610:Hong Kong
Address The Special Economic Zone of Galang Batang, village of Gunung Kijang, Bintan Regency, Riau Islands Province, Gunung Kijang, IDN, 29153
Nanshan Aluminium International Holdings Ltd is an alumina manufacturer in Southeast Asia. Its focus has been tapping into Indonesias abundant bauxite and coal reserves, utilizing these resources to fuel its operations. The company's primary product, alumina, is produced under the AO-1 Grade requirement of GB/T 24487-2022 standard.
29GF Score

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

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