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Tencent Holdings (HKSE:00700) 1-Year ROIIC % : 22.16% (As of Dec. 2023)


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What is Tencent 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. Tencent Holdings's 1-Year ROIIC % for the quarter that ended in Dec. 2023 was 22.16%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.

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

HKSE:00700's 1-Year ROIIC % is ranked better than
59.68% of 568 companies
in the Interactive Media industry
Industry Median: 4.975 vs HKSE:00700: 22.16

Tencent Holdings 1-Year ROIIC % Historical Data

The historical data trend for Tencent 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.

Tencent Holdings 1-Year ROIIC % Chart

Tencent Holdings Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
1-Year ROIIC %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 8.29 9.15 2.44 10.26 22.16

Tencent Holdings Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
1-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 10.26 1.87 -25.95 -61.54 22.16

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

For the Internet Content & Information subindustry, Tencent 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.


Tencent Holdings's 1-Year ROIIC % Distribution in the Interactive Media Industry

For the Interactive Media industry and Communication Services sector, Tencent Holdings's 1-Year ROIIC % distribution charts can be found below:

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



Tencent Holdings 1-Year ROIIC % Calculation

Tencent Holdings's 1-Year ROIIC % for the quarter that ended in Dec. 2023 is calculated as:

1-Year ROIIC %=1-Year Incremental Net Operating Profit After Taxes (NOPAT)**/1-Year Incremental Invested Capital
=( 132579.0812691 (Dec. 2023) - 114221.9790075 (Dec. 2022) )/( 1405760.718 (Dec. 2023) - 1322930.607 (Dec. 2022) )
=18357.1022616/82830.111
=22.16%***

* 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.


Tencent Holdings  (HKSE:00700) 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.


Tencent Holdings 1-Year ROIIC % Related Terms

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Tencent Holdings (HKSE:00700) Business Description

Address
No. 33 Haitian 2nd Road, Tencent Binhai Towers, Nanshan District, Shenzhen, CHN, 518054
Tencent is arguably the most influential internet firm in China as one can hardly go by a day without using its products. Tencent is the world's largest video game vendor and owns the world's top-grossing mobile game--Honor of Kings. Tencent also runs China's largest social media super app--WeChat. The app is now part of the fabric of life for Chinese people who use it to chat, shop, watch videos, play games, order food and taxis, and more. Equally as impressive as its own portfolio, Tencent is also among the world's largest venture capital and investment corporations. The firm is now one of the largest shareholders in leading tech companies like Meituan, JD, DiDi, Snap, PDD, Kuaishou, Epic Games, and more.

Tencent Holdings (HKSE:00700) Headlines

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