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Tier1 Technology (XMAD:TR1) 5-Year ROIIC % : 29.90% (As of Dec. 2023)


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What is Tier1 Technology 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. Tier1 Technology's 5-Year ROIIC % for the quarter that ended in Dec. 2023 was 29.90%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.

The industry rank for Tier1 Technology's 5-Year ROIIC % or its related term are showing as below:

XMAD:TR1's 5-Year ROIIC % is ranked better than
79.02% of 2464 companies
in the Software industry
Industry Median: 3.39 vs XMAD:TR1: 29.90

Tier1 Technology 5-Year ROIIC % Historical Data

The historical data trend for Tier1 Technology'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.

Tier1 Technology 5-Year ROIIC % Chart

Tier1 Technology Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
5-Year ROIIC %
Get a 7-Day Free Trial Premium Member Only - 18.51 19.68 -0.84 29.90

Tier1 Technology Semi-Annual Data
Dec15 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 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 19.68 - -0.84 - 29.90

Competitive Comparison of Tier1 Technology's 5-Year ROIIC %

For the Information Technology Services subindustry, Tier1 Technology'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.


Tier1 Technology's 5-Year ROIIC % Distribution in the Software Industry

For the Software industry and Technology sector, Tier1 Technology's 5-Year ROIIC % distribution charts can be found below:

* The bar in red indicates where Tier1 Technology's 5-Year ROIIC % falls into.



Tier1 Technology 5-Year ROIIC % Calculation

Tier1 Technology'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**
=( 1.832562 (Dec. 2023) - 0.8280568 (Dec. 2018) )/( 7.496 (Dec. 2023) - 4.136 (Dec. 2018) )
=1.0045052/3.36
=29.90%***

* 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.


Tier1 Technology  (XMAD:TR1) 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.


Tier1 Technology 5-Year ROIIC % Related Terms

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Tier1 Technology (XMAD:TR1) Business Description

Traded in Other Exchanges
Address
C / Boabdil 6, Beds, Edificio Vega 7, Seville, ESP, 41900
Tier1 Technology SA provides computer services. It is focused on the development of its software products. Tier1 builds IT solutions for business processes such as purchasing, sales, finance, logistics, asset management, and others.

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