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ARM Holdings (ARM Holdings) 1-Year ROIIC % : -3,605.72% (As of Mar. 2024)


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What is ARM Holdings 1-Year ROIIC %?

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. ARM Holdings's 1-Year ROIIC % for the quarter that ended in Mar. 2024 was -3,605.72%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.

The industry rank for ARM Holdings's 1-Year ROIIC % or its related term are showing as below:

ARM's 1-Year ROIIC % is ranked worse than
99.17% of 969 companies
in the Semiconductors industry
Industry Median: -1.53 vs ARM: -3605.72

ARM Holdings 1-Year ROIIC % Historical Data

The historical data trend for ARM Holdings'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.

* Premium members only.

ARM Holdings 1-Year ROIIC % Chart

ARM Holdings Annual Data
Trend Mar21 Mar22 Mar23 Mar24
1-Year ROIIC %
- - 18.91 -3,605.72

ARM Holdings Quarterly Data
Mar21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
1-Year ROIIC % Get a 7-Day Free Trial Premium Member Only Premium Member Only 18.91 - - - -3,605.72

Competitive Comparison of ARM Holdings's 1-Year ROIIC %

For the Semiconductors subindustry, ARM Holdings'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.


ARM Holdings's 1-Year ROIIC % Distribution in the Semiconductors Industry

For the Semiconductors industry and Technology sector, ARM Holdings's 1-Year ROIIC % distribution charts can be found below:

* The bar in red indicates where ARM Holdings's 1-Year ROIIC % falls into.



ARM Holdings 1-Year ROIIC % Calculation

ARM Holdings's 1-Year ROIIC % for the quarter that ended in Mar. 2024 is calculated as:

1-Year ROIIC %=1-Year Incremental Net Operating Profit After Taxes (NOPAT)**/1-Year Incremental Invested Capital
=( 168.8778 (Mar. 2024) - 529.4502 (Mar. 2023) )/( 4280 (Mar. 2024) - 4270 (Mar. 2023) )
=-360.5724/10
=-3,605.72%***

* 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.

** 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.


ARM Holdings  (NAS:ARM) 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.


ARM Holdings 1-Year ROIIC % Related Terms

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ARM Holdings (ARM Holdings) Business Description

Traded in Other Exchanges
Address
110 Fulbourn Road, Cambridge, GBR, CB1 9NJ
Arm Holdings is the IP owner and developer of the ARM architecture (ARM stands for Acorn RISC Machine), which is used in 99% of the world's smartphone CPU cores, and it also has high market share in other battery-powered devices like wearables, tablets, or sensors. Arm licenses its architecture for a fee, offering different types of licenses depending on the flexibility the customer needs. Customers like Apple or Qualcomm buy architectural licenses, which allows them to modify the architecture and add or delete instructions to tailor the chips to their specific needs. Other clients directly buy off-the-shelf designs from Arm. Both off-the-shelf and architectural customers pay a royalty fee per chip shipped.