showing the working

← Meridian

The business behind the dividend

MeasureMRBKMedianFormula
Return on equity10.9%10.6%Net income ÷ shareholders’ equity
Return on capital employedOperating income ÷ (equity + total debt)
Owner earnings$21.50m$120.90mNet income + depreciation & amortisation − capital expenditure
Free cash flow$22.57m$155.08mOperating cash flow − capital expenditure
Operating marginOperating income ÷ revenue
Net marginNet 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-0.1%-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 equity10.9%9.5%8.4%14.2%21.5%18.7%8.7%7.5%3.0%9.5%
Operating margin64.7%55.1%25.6%23.8%16.2%25.6%
Net margin49.8%42.2%19.8%18.5%8.5%19.8%

How it compares in banks & insurers

Among the 377 banks & insurers companies here measured on GAAP earnings, Meridian pays out less than 230 of them. The median for that group is 30.6%, against this company’s 26.5%.

Closest on GAAP earnings

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