showing the working

← LexinFintech Holdings

The business behind the dividend

MeasureLXMedianFormula
Return on equity14.0%10.6%Net income ÷ shareholders’ equity
Return on capital employedOperating income ÷ (equity + total debt)
Owner earnings$204.43m$120.90mNet income + depreciation & amortisation − capital expenditure
Free cash flow$466.39m$155.08mOperating cash flow − capital expenditure
Operating margin15.8%14.3%Operating income ÷ revenue
Net margin12.8%10.1%Net income ÷ revenue
Debt to equityTotal 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 conversionOperating cash flow ÷ net income
Accruals-8.4%-3.1%(Net income − operating cash flow) ÷ total assets

Not computed here: Cash conversion, Current ratio, Debt to equity, Long-term debt to working capital, Interest cover, 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.

Measure202520242023202220212020201920182017Median
Return on equity14.0%10.2%11.0%9.5%29.1%10.8%34.8%48.1%14.1%14.0%
Operating margin15.8%9.5%10.2%10.4%24.3%5.9%25.5%27.8%8.5%10.4%
Net margin12.8%7.7%8.2%8.4%20.5%5.1%21.6%26.0%4.3%8.4%

How it compares in banks & insurers

Among the 377 banks & insurers companies here measured on GAAP earnings, LexinFintech Holdings pays out less than 263 of them. The median for that group is 30.6%, against this company’s 22.8%.

Closest on GAAP earnings

Same sector and same denominator, so the figures are comparable. All 377 in banks & insurers →