showing the working

← S&P Global

The business behind the dividend

MeasureSPGIMedianFormula
Return on equity14.4%10.6%Net income ÷ shareholders’ equity
Return on capital employed14.7%10.0%Operating income ÷ (equity + total debt)
Owner earnings$5.46bn$120.90mNet income + depreciation & amortisation − capital expenditure
Free cash flow$5.46bn$155.08mOperating cash flow − capital expenditure
Operating margin42.2%14.3%Operating income ÷ revenue
Net margin29.2%10.1%Net income ÷ revenue
Debt to equity0.42x0.73xTotal debt ÷ shareholders’ equity
Interest cover22.57x4.22xOperating income ÷ interest expense
Current ratio0.82x1.55xCurrent assets ÷ current liabilities
Long-term debt to working capitalLong-term debt ÷ (current assets − current liabilities)
Cash conversion1.26x1.66xOperating cash flow ÷ net income
Accruals-1.9%-3.1%(Net income − operating cash flow) ÷ total assets

Not computed here: Long-term debt to working capital — 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 equity14.4%11.6%7.7%8.9%148.8%459.5%443.2%311.8%211.0%324.0%148.8%
Return on capital employed14.7%12.5%8.8%10.4%68.7%78.3%72.9%65.0%60.4%79.3%60.4%
Operating margin42.2%39.3%32.2%44.2%50.9%48.6%48.2%44.6%42.6%59.0%44.2%
Net margin29.2%27.1%21.0%29.0%36.4%31.4%31.7%31.3%24.7%37.2%29.2%
Debt to equity0.42x0.34x0.34x0.30x2.02x8.07x8.24x5.83x5.03x5.48x2.02x
Current ratio0.82x0.85x0.84x0.94x2.31x1.67x1.52x1.36x1.35x1.41x1.35x
Cash conversion1.26x1.48x1.41x0.80x1.19x1.53x1.31x1.05x1.35x0.74x1.26x

How it compares in consumer discretionary

Among the 169 consumer discretionary companies here measured on free cash flow, S&P Global pays out less than 120 of them. The median for that group is 33.1%, against this company’s 21.4%.

Closest on free cash flow

Same sector and same denominator, so the figures are comparable. All 197 in consumer discretionary →