showing the working

← Sylvamo

The business behind the dividend

MeasureSLVMMedianFormula
Return on equity13.7%10.6%Net income ÷ shareholders’ equity
Return on capital employed14.3%10.0%Operating income ÷ (equity + total debt)
Owner earnings$87.00m$120.90mNet income + depreciation & amortisation − capital expenditure
Free cash flow$44.00m$155.08mOperating cash flow − capital expenditure
Operating margin7.5%14.3%Operating income ÷ revenue
Net margin3.9%10.1%Net income ÷ revenue
Debt to equity0.81x0.73xTotal debt ÷ shareholders’ equity
Interest cover5.12x4.22xOperating income ÷ interest expense
Current ratio1.50x1.55xCurrent assets ÷ current liabilities
Long-term debt to working capital2.12x1.88xLong-term debt ÷ (current assets − current liabilities)
Cash conversion2.03x1.66xOperating cash flow ÷ net income
Accruals-4.9%-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.

Measure2025202420232022202120202019Median
Return on equity13.7%35.7%28.1%17.4%181.9%8.0%15.0%17.4%
Return on capital employed14.3%27.4%23.7%32.3%21.1%4.5%21.1%
Operating margin7.5%12.0%11.9%15.2%11.6%4.0%12.5%11.9%
Net margin3.9%8.0%6.8%3.3%11.7%7.1%9.4%7.1%
Debt to equity0.81x0.95x1.06x1.52x7.56x0.01x0.95x
Current ratio1.50x1.56x1.72x1.71x1.46x2.28x1.56x
Cash conversion2.03x1.55x1.99x3.71x1.66x2.11x1.39x1.99x

How it compares in materials

Among the 79 materials companies here measured on free cash flow, Sylvamo pays out less than 5 of them. The median for that group is 34.3%, against this company’s 165.9%.

Closest on free cash flow

Same sector and same denominator, so the figures are comparable. All 107 in materials →