showing the working

← Aircastle

The business behind the dividend

MeasureAYRMedianFormula
Return on equity7.3%10.6%Net income ÷ shareholders’ equity
Return on capital employedOperating income ÷ (equity + total debt)
Owner earningsNet income + depreciation & amortisation − capital expenditure
Free cash flowOperating cash flow − capital expenditure
Operating marginOperating income ÷ revenue
Net margin19.9%10.1%Net income ÷ revenue
Debt to equity1.97x0.73xTotal debt ÷ shareholders’ equity
Interest coverOperating income ÷ interest expense
Current ratioCurrent assets ÷ current liabilities
Long-term debt to working capitalLong-term debt ÷ (current assets − current liabilities)
Cash conversion2.49x1.66xOperating cash flow ÷ net income
Accruals-3.2%-3.1%(Net income − operating cash flow) ÷ total assets

Not computed here: Current ratio, Free cash flow, Interest cover, Operating margin, Owner earnings, Return on capital employed — why a blank is not a zero.

Ten years of it

The same measures, for every year the filings support. One year is a fact; a row is a business.

Measure2026202520242023202220212019201820172016Median
Return on equity7.3%4.9%3.9%3.4%-15.2%-19.2%7.6%12.3%7.8%8.3%4.9%
Net margin19.9%15.1%9.7%7.9%-36.1%-40.0%17.1%27.8%17.4%18.6%15.1%
Debt to equity1.97x1.96x2.20x2.46x2.47x2.97x2.47x2.37x2.26x2.46x2.37x
Cash conversion2.49x3.75x4.44x6.97x3.43x2.11x3.32x3.09x3.43x

How it compares in consumer discretionary

Among the 6 consumer discretionary companies here measured on operating cash flow, Aircastle pays out less than 4 of them. The median for that group is 14.4%, against this company’s 13.0%.

Closest on operating cash flow

Same sector and same denominator, so the figures are comparable. All 197 in consumer discretionary →