showing the working

← Kinetik Holdings

The business behind the dividend

MeasureKNTKMedianFormula
Return on equityNet income ÷ shareholders’ equity
Return on capital employed5.1%10.0%Operating income ÷ (equity + total debt)
Owner earnings$68.43m$120.90mNet income + depreciation & amortisation − capital expenditure
Free cash flow$111.65m$155.08mOperating cash flow − capital expenditure
Operating margin9.3%14.3%Operating income ÷ revenue
Net margin10.1%10.1%Net income ÷ revenue
Debt to equityTotal debt ÷ shareholders’ equity
Interest cover0.69x4.22xOperating income ÷ interest expense
Current ratio0.69x1.55xCurrent assets ÷ current liabilities
Long-term debt to working capitalLong-term debt ÷ (current assets − current liabilities)
Cash conversion3.39x1.66xOperating cash flow ÷ net income
Accruals-6.0%-3.1%(Net income − operating cash flow) ÷ total assets

Not computed here: Debt to equity, Long-term debt to working capital, Return on equity — 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.

Measure202520242023202220212020201920182017Median
Return on equity-0.0%-0.0%
Return on capital employed5.1%32.4%5.2%5.9%2.3%-163.5%-316.9%5.1%
Operating margin9.3%12.1%12.7%12.4%8.1%-248.8%-946.8%-15.9%-76.2%8.1%
Net margin10.1%5.4%23.0%20.7%0.2%-281.8%-977.7%-0.3%-1.2%0.2%
Current ratio0.69x0.70x1.03x1.06x0.90x1.43x0.94x4.75x0.05x0.94x
Cash conversion3.39x7.97x2.02x2.44x3.39x

How it compares in utilities

Among the 76 utilities companies here measured on GAAP earnings, Kinetik Holdings pays out less than 4 of them. The median for that group is 60.7%, against this company’s 117.5%.

Closest on GAAP earnings

Same sector and same denominator, so the figures are comparable. All 80 in utilities →