The business behind the dividend
| Measure | SID | Median | Formula |
|---|---|---|---|
| Return on equity | 30.0% | 10.6% | Net income ÷ shareholders’ equity |
| Return on capital employed | 10.0% | 10.0% | Operating income ÷ (equity + total debt) |
| Owner earnings | $8.00m | $120.90m | Net income + depreciation & amortisation − capital expenditure |
| Free cash flow | $-890.00m | $155.08m | Operating cash flow − capital expenditure |
| Operating margin | — | — | Operating income ÷ revenue |
| Net margin | — | — | Net income ÷ revenue |
| Debt to equity | 1.72x | 0.73x | Total debt ÷ shareholders’ equity |
| Interest cover | — | — | Operating income ÷ interest expense |
| Current ratio | 3.27x | 1.55x | Current assets ÷ current liabilities |
| Long-term debt to working capital | 1.54x | 1.88x | Long-term debt ÷ (current assets − current liabilities) |
| Cash conversion | 0.03x | 1.66x | Operating cash flow ÷ net income |
| Accruals | 6.5% | -3.1% | (Net income − operating cash flow) ÷ total assets |
Not computed here: Interest cover, Net margin, Operating margin — 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 | 2009 | 2008 | 2007 | Median |
|---|---|---|---|---|
| Return on equity | 30.0% | 80.0% | — | 30.0% |
| Return on capital employed | 10.0% | 42.1% | — | 10.0% |
| Debt to equity | 1.72x | 1.04x | — | 1.04x |
| Current ratio | 3.27x | 1.92x | — | 1.92x |
| Cash conversion | 0.03x | 0.78x | 0.74x | 0.74x |