showing the working

← Hyster-Yale

The business behind the dividend

MeasureHYMedianFormula
Return on equity-12.7%10.6%Net income ÷ shareholders’ equity
Return on capital employed-1.9%10.0%Operating income ÷ (equity + total debt)
Owner earnings$-76.80m$120.90mNet income + depreciation & amortisation − capital expenditure
Free cash flow$23.60m$155.08mOperating cash flow − capital expenditure
Operating margin-0.6%14.3%Operating income ÷ revenue
Net margin-1.6%10.1%Net income ÷ revenue
Debt to equity1.52x0.73xTotal debt ÷ shareholders’ equity
Interest cover-0.71x4.22xOperating income ÷ interest expense
Current ratio1.34x1.55xCurrent assets ÷ current liabilities
Long-term debt to working capital1.37x1.88xLong-term debt ÷ (current assets − current liabilities)
Cash conversionOperating cash flow ÷ net income
Accruals-7.2%-3.1%(Net income − operating cash flow) ÷ total assets

Not computed here: Cash conversion — 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.

Measure2025202420232022202120202019201820172016Median
Return on equity-12.7%30.0%32.3%-36.3%-48.4%6.0%6.6%6.6%8.6%9.2%6.6%
Return on capital employed-1.9%26.7%23.6%-5.2%-17.4%5.5%6.5%4.8%8.7%5.5%5.5%
Operating margin-0.6%5.7%5.1%-1.1%-5.0%1.8%1.6%1.2%2.6%1.3%1.3%
Net margin-1.6%3.3%3.1%-2.1%-5.6%1.3%1.1%1.1%1.7%1.7%1.1%
Debt to equity1.52x0.93x1.27x2.70x1.45x0.47x0.51x0.55x0.50x0.29x0.55x
Current ratio1.34x1.35x1.22x1.09x1.22x1.49x1.41x1.46x1.63x1.41x1.35x
Cash conversion1.20x1.20x4.50x2.14x1.95x3.39x-1.14x1.95x

How it compares in industrials

Among the 289 industrials companies here measured on free cash flow, Hyster-Yale pays out less than 20 of them. The median for that group is 24.4%, against this company’s 107.6%.

Closest on free cash flow

Same sector and same denominator, so the figures are comparable. All 348 in industrials →