← Petrobras - Petroleo Brasileiro
The business behind the dividend
| Measure | PBR | Median | Formula |
|---|---|---|---|
| Return on equity | 10.7% | 10.6% | Net income ÷ shareholders’ equity |
| Return on capital employed | 10.0% | 10.0% | Operating income ÷ (equity + total debt) |
| Owner earnings | $-17.10bn | $120.90m | Net income + depreciation & amortisation − capital expenditure |
| Free cash flow | $-16.58bn | $155.08m | Operating cash flow − capital expenditure |
| Operating margin | 16.0% | 14.3% | Operating income ÷ revenue |
| Net margin | 12.9% | 10.1% | Net income ÷ revenue |
| Debt to equity | 0.33x | 0.73x | Total debt ÷ shareholders’ equity |
| Interest cover | — | — | Operating income ÷ interest expense |
| Current ratio | 1.90x | 1.55x | Current assets ÷ current liabilities |
| Long-term debt to working capital | 2.00x | 1.88x | Long-term debt ÷ (current assets − current liabilities) |
| Cash conversion | 1.46x | 1.66x | Operating cash flow ÷ net income |
| Accruals | -2.9% | -3.1% | (Net income − operating cash flow) ÷ total assets |
Not computed here: Interest cover — 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.
| Measure | 2010 | 2009 | 2008 | 2007 | Median |
|---|---|---|---|---|---|
| Return on equity | 10.7% | 17.9% | 28.3% | 19.9% | 19.9% |
| Return on capital employed | 10.0% | 15.3% | 30.4% | — | 15.3% |
| Operating margin | 16.0% | 18.9% | 17.3% | 18.2% | 18.2% |
| Net margin | 12.9% | 14.5% | 12.1% | 11.9% | 12.9% |
| Debt to equity | 0.33x | 0.52x | 0.33x | — | 0.33x |
| Current ratio | 1.90x | 1.38x | 1.08x | — | 1.38x |
| Cash conversion | 1.46x | 1.48x | 1.59x | 1.69x | 1.59x |