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Bandwidth (Bandwidth) 5-Year ROIIC % : -5.81% (As of Dec. 2023)


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What is Bandwidth 5-Year ROIIC %?

5-Year Return on Invested Incremental Capital (5-Year ROIIC %) measures the change in earnings as a percentage of change in investment over 5-year. Bandwidth's 5-Year ROIIC % for the quarter that ended in Dec. 2023 was -5.81%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.

The industry rank for Bandwidth's 5-Year ROIIC % or its related term are showing as below:

BAND's 5-Year ROIIC % is ranked worse than
64.9% of 2470 companies
in the Software industry
Industry Median: 3.55 vs BAND: -5.81

Bandwidth 5-Year ROIIC % Historical Data

The historical data trend for Bandwidth's 5-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.

* Premium members only.

Bandwidth 5-Year ROIIC % Chart

Bandwidth Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
5-Year ROIIC %
Get a 7-Day Free Trial Premium Member Only - -4.25 -4.58 -5.33 -5.81

Bandwidth Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
5-Year ROIIC % 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 Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -5.33 - - - -5.81

Competitive Comparison of Bandwidth's 5-Year ROIIC %

For the Software - Infrastructure subindustry, Bandwidth's 5-Year ROIIC %, along with its competitors' market caps and 5-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.


Bandwidth's 5-Year ROIIC % Distribution in the Software Industry

For the Software industry and Technology sector, Bandwidth's 5-Year ROIIC % distribution charts can be found below:

* The bar in red indicates where Bandwidth's 5-Year ROIIC % falls into.



Bandwidth 5-Year ROIIC % Calculation

Bandwidth's 5-Year ROIIC % for the quarter that ended in Dec. 2023 is calculated as:

5-Year ROIIC %=5-Year Incremental Net Operating Profit After Taxes (NOPAT)**/5-Year Incremental Invested Capital**
=( -30.0214419 (Dec. 2023) - 17.1581824 (Dec. 2018) )/( 886.964 (Dec. 2023) - 74.569 (Dec. 2018) )
=-47.1796243/812.395
=-5.81%***

* 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.

** Annual data of NOPAT and Invested Capital was used to calculate 5-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.


Bandwidth  (NAS:BAND) 5-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.


Bandwidth 5-Year ROIIC % Related Terms

Thank you for viewing the detailed overview of Bandwidth's 5-Year ROIIC % provided by GuruFocus.com. Please click on the following links to see related term pages.


Bandwidth (Bandwidth) Business Description

Traded in Other Exchanges
Address
900 Main Campus Drive, Raleigh, NC, USA, 27606
Bandwidth Inc is cloud-based communications platform-as-a-service (CPaaS) provider that enables enterprises to create, scale and operate voice or messaging communications services across any mobile application or connected device. Company earns revenue through the sale of communications services offered through Application Programming Interface software solutions to large as well as small and medium-sized business, customers and is generally derived from usage and service fees. Usage revenue includes voice communication (driven by inbound and outbound minutes and toll-free minutes) and messaging communication (driven by the number of messages) that traverse the platform and network. Service fees include the provision and management of phone numbers and emergency services access.
Executives
Richard Brandon Asbill officer: General Counsel C/O BANDWIDTH INC., 900 MAIN CAMPUS DRIVE, RALEIGH NC 27606
Devin M Krupka officer: Controller, PAO C/O BANDWIDTH INC., 2230 BANDMATE WAY, RALEIGH NC 27607
Daryl Raiford officer: Chief Financial Officer C/O BANDWIDTH INC., 900 MAIN CAMPUS DRIVE, RALEIGH NC 27606
Kade Ross officer: Chief Information Officer C/O BANDWIDTH INC., 2230 BANDMATE WAY, RALEIGH NC 27607
David A. Morken director, 10 percent owner, officer: Chairman & CEO C/O BANDWIDTH INC., 2230 BANDMATE WAY, RALEIGH NC 27607
Rebecca Bottorff officer: Chief People Officer C/O BANDWIDTH INC., 2230 BANDMATE WAY, RALEIGH NC 27607
Anthony Bartolo officer: Chief Operating Officer C/O BANDWIDTH INC., 900 MAIN CAMPUS DRIVE, RALEIGH NC 27606
Lukas M. Roush director C/O BANDWIDTH INC., 2230 BANDMATE WAY, RALEIGH NC 27607
Marina C. Carreker officer: President C/O BANDWIDTH INC., 900 MAIN CAMPUS DRIVE, RALEIGH NC 27606
Douglas A Suriano director C/O BANDWIDTH INC., 2230 BANDMATE WAY, RALEIGH NC 27607
Brian D. Bailey director, 10 percent owner C/O CARMICHAEL INVESTMENT PARTNERS LLC, 4725 PIEDMONT ROW DRIVE, SUITE 210, CHARLOTTE NC 28210
Gabriela Gonzalez officer: Sr. VP Finance, Controller 1801 VARSITY DRIVE, RALEIGH NC 27606
John C. Murdock director, 10 percent owner, officer: President C/O BANDWIDTH INC., 2230 BANDMATE WAY, RALEIGH NC 27607
Jeffrey A. Hoffman officer: Chief Financial Officer C/O BANDWIDTH INC., 900 MAIN CAMPUS DRIVE, RALEIGH NC 27606
W. Christopher Matton officer: General Counsel C/O BANDWIDTH INC., 900 MAIN CAMPUS DRIVE, RALEIGH NC 27606