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ReTo Eco-Solutions (ReTo Eco-Solutions) 5-Year ROIIC % : 44.72% (As of Dec. 2022)


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What is ReTo Eco-Solutions 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. ReTo Eco-Solutions's 5-Year ROIIC % for the quarter that ended in Dec. 2022 was 44.72%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.

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

RETO's 5-Year ROIIC % is ranked better than
86.07% of 366 companies
in the Building Materials industry
Industry Median: 2.86 vs RETO: 44.72

ReTo Eco-Solutions 5-Year ROIIC % Historical Data

The historical data trend for ReTo Eco-Solutions'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.

ReTo Eco-Solutions 5-Year ROIIC % Chart

ReTo Eco-Solutions Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22
5-Year ROIIC %
Get a 7-Day Free Trial - - -58.98 34.55 44.72

ReTo Eco-Solutions Semi-Annual Data
Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23
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 - 34.55 - 44.72 -

Competitive Comparison of ReTo Eco-Solutions's 5-Year ROIIC %

For the Building Materials subindustry, ReTo Eco-Solutions'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.


ReTo Eco-Solutions's 5-Year ROIIC % Distribution in the Building Materials Industry

For the Building Materials industry and Basic Materials sector, ReTo Eco-Solutions's 5-Year ROIIC % distribution charts can be found below:

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



ReTo Eco-Solutions 5-Year ROIIC % Calculation

ReTo Eco-Solutions's 5-Year ROIIC % for the quarter that ended in Dec. 2022 is calculated as:

5-Year ROIIC %=5-Year Incremental Net Operating Profit After Taxes (NOPAT)**/5-Year Incremental Invested Capital**
=( -12.5069736 (Dec. 2022) - 5.869328 (Dec. 2017) )/( 26.042 (Dec. 2022) - 67.132 (Dec. 2017) )
=-18.3763016/-41.09
=44.72%***

* 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.


ReTo Eco-Solutions  (NAS:RETO) 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.


ReTo Eco-Solutions 5-Year ROIIC % Related Terms

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ReTo Eco-Solutions (ReTo Eco-Solutions) Business Description

Traded in Other Exchanges
N/A
Address
C/o Beijing REIT Technology Development Co., Ltd., X-702, Runfengdeshangyuan, 60 Anli Road, Chaoyang District, Beijing, CHN, 100101
ReTo Eco-Solutions Inc is a manufacturer and distributor of eco-friendly construction materials and fly-ash, as well as equipment used to produce these eco-friendly construction materials. The company engaged in providing consultation, design, project implementation and construction of urban ecological environments for capturing, controlling and re-using rainwater. It operates through four segments namely Machinery and Equipment sales, Construction materials sales, Municipal Construction Projects, and Technology Consulting and other services. The company earns its revenue from Machinery and Equipment sales segment. Geographically, it derives a majority of its revenue from China.