1-Year Return on Invested Incremental Capital (1-Year ROIIC %) measures the change in earnings as a percentage of change in investment over 1-year.
Ralph Lauren's 1-Year ROIIC % for the quarter that ended in Dec. 2024 was 87.68%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.
The industry rank for Ralph Lauren's 1-Year ROIIC % or its related term are showing as below:
The historical data trend for Ralph Lauren's 1-Year ROIIC % 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.
Competitive Comparison of Ralph Lauren's 1-Year ROIIC %
For the Apparel Manufacturing subindustry, Ralph Lauren's 1-Year ROIIC %, along with its competitors' market caps and 1-Year ROIIC % 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.
Ralph Lauren's 1-Year ROIIC % Distribution in the Manufacturing - Apparel & Accessories Industry
For the Manufacturing - Apparel & Accessories industry and Consumer Cyclical sector, Ralph Lauren's 1-Year ROIIC % distribution charts can be found below:
* The bar in red indicates where Ralph Lauren's 1-Year ROIIC % falls into.
Ralph Lauren 1-Year ROIIC % Calculation
Ralph Lauren's 1-Year ROIIC % for the quarter that ended in Dec. 2024 is calculated as:
1-Year ROIIC %
=
1-Year Incremental Net Operating Profit After Taxes (NOPAT)**
/
1-Year Incremental Invested Capital
=
( 725.8679 (Dec. 2024) - 613.3711 (Dec. 2023) )
/
( 3864.2 (Dec. 2024) - 3735.9 (Dec. 2023) )
=
112.4968
/
128.3
=
87.68%***
* 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.
** TTM data of NOPAT and Invested Capital was used to calculate 1-Year ROIIC %.
*** Please be aware that the ROIIC (Return on Invested Capital) calculations are based on company-level data using the primary share class. The calculated data provided is for demonstration purposes and may slightly differ from the results displayed in the title due to potential variations caused by currency exchange rate differences throughout the year.
Ralph Lauren (NYSE:RL) 1-Year ROIIC % Explanation
Return on Incremental Invested Capital (ROIIC) is an extension of Return on Investment Capital (ROIC). ROIC % tells investors how efficiently that profitability is earned per dollar of company capital. ROIIC narrows the focus even further and shows how profitable each additional unit of capital investment could be. ROIIC % is a more powerful metric than ROIC because it measures how much money the company can generate going forward on future capital investments.
High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.
Be Aware
It's important to keep in mind that when tracking ROIIC, the metric is better suited to forecasting the trend of future returns rather than measuring current return on investment.
Ralph Lauren 1-Year ROIIC % Related Terms
Thank you for viewing the detailed overview of Ralph Lauren's 1-Year ROIIC % provided by GuruFocus.com. Please click on the following links to see related term pages.
Founded by designer Ralph Lauren in 1967 in New York City, Ralph Lauren Corp. designs, markets, and distributes lifestyle merchandise in North America, Europe, and Asia. Best known for its iconic polo shirts, its products also include other types of apparel, footwear, eyewear, jewelry, handbags, home goods, and fragrances. The company's brands include Ralph Lauren Collection, Polo Ralph Lauren, and Lauren Ralph Lauren. Distribution channels for Ralph Lauren include wholesale (department stores and specialty stores), retail (company-owned retail stores and e-commerce), and licensing.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
RL has been successfully added to your 