The business behind the dividend
| Measure | PPC | Median | Formula |
|---|---|---|---|
| Return on equity | 29.4% | 10.6% | Net income ÷ shareholders’ equity |
| Return on capital employed | 23.8% | 10.0% | Operating income ÷ (equity + total debt) |
| Owner earnings | $820.02m | $120.90m | Net income + depreciation & amortisation − capital expenditure |
| Free cash flow | $653.15m | $155.08m | Operating cash flow − capital expenditure |
| Operating margin | 8.7% | 14.3% | Operating income ÷ revenue |
| Net margin | 5.9% | 10.1% | Net income ÷ revenue |
| Debt to equity | 0.84x | 0.73x | Total debt ÷ shareholders’ equity |
| Interest cover | 10.00x | 4.22x | Operating income ÷ interest expense |
| Current ratio | 1.47x | 1.55x | Current assets ÷ current liabilities |
| Long-term debt to working capital | 2.30x | 1.88x | Long-term debt ÷ (current assets − current liabilities) |
| Cash conversion | 1.27x | 1.66x | Operating cash flow ÷ net income |
| Accruals | -2.8% | -3.1% | (Net income − operating cash flow) ÷ total assets |
Ten years of it
The same measures, for every year the filings support. One year is a fact; a row is a business.
| Measure | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | Median |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Return on equity | 29.4% | 25.6% | 9.7% | 26.3% | 1.2% | 3.7% | 18.1% | 12.3% | 37.6% | 21.2% | 18.1% |
| Return on capital employed | 23.8% | 20.2% | 7.8% | 19.5% | 8.1% | 9.5% | 27.1% | 11.4% | 23.5% | 22.6% | 19.5% |
| Operating margin | 8.7% | 8.4% | 3.0% | 6.7% | 1.4% | 2.0% | 6.1% | 4.5% | 10.0% | 8.0% | 6.1% |
| Net margin | 5.9% | 6.1% | 1.9% | 4.3% | 0.2% | 0.8% | 4.0% | 2.3% | 6.5% | 4.5% | 4.0% |
| Debt to equity | 0.84x | 0.76x | 1.00x | 1.12x | 0.01x | 0.01x | 0.01x | 1.17x | 1.47x | 0.69x | 0.76x |
| Current ratio | 1.47x | 2.01x | 1.68x | 1.51x | 1.38x | 1.50x | 1.58x | 1.72x | 1.73x | 1.53x | 1.53x |
| Cash conversion | 1.27x | 1.83x | 2.11x | 0.90x | 10.53x | 7.64x | 1.46x | 1.98x | 1.15x | 1.81x | 1.81x |
How it compares in consumer staples
Among the 64 consumer staples companies here measured on free cash flow, Pilgrims Pride pays out less than 0 of them. The median for that group is 53.9%, against this company’s 305.3%.
Closest on free cash flow
- United Guardian (UG) 145.0%
- Coca Cola (KO) 165.8%
- National Beverage (FIZZ) 178.5%
- Utz Brands (UTZ) 237.2%
Same sector and same denominator, so the figures are comparable. All 72 in consumer staples →