showing the working

← National Presto Industries

The business behind the dividend

MeasureNPKMedianFormula
Return on equity8.4%10.6%Net income ÷ shareholders’ equity
Return on capital employedOperating income ÷ (equity + total debt)
Owner earnings$9.67m$120.90mNet income + depreciation & amortisation − capital expenditure
Free cash flow$-36.17m$155.08mOperating cash flow − capital expenditure
Operating margin8.0%14.3%Operating income ÷ revenue
Net margin6.6%10.1%Net income ÷ revenue
Debt to equityTotal debt ÷ shareholders’ equity
Interest cover48.37x4.22xOperating income ÷ interest expense
Current ratio4.24x1.55xCurrent assets ÷ current liabilities
Long-term debt to working capitalLong-term debt ÷ (current assets − current liabilities)
Cash conversion-0.28x1.66xOperating cash flow ÷ net income
Accruals8.4%-3.1%(Net income − operating cash flow) ÷ total assets

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

Measure2025202420232022202120202019201820172016Median
Return on equity8.4%11.3%9.7%5.9%7.2%12.5%11.5%10.9%14.5%12.7%10.9%
Operating margin8.0%11.6%10.3%6.9%8.4%15.9%15.0%14.8%18.5%18.3%11.6%
Net margin6.6%10.7%10.1%6.4%7.2%13.3%13.7%12.4%15.9%13.0%10.7%
Current ratio4.24x4.93x5.00x6.09x6.55x6.48x8.60x7.42x7.44x5.29x6.09x
Cash conversion-0.28x-1.29x1.31x0.42x1.35x0.87x0.23x1.91x0.46x1.49x0.46x