showing the working

← Tronox Holdings

The business behind the dividend

MeasureTROXMedianFormula
Return on equity-33.1%10.6%Net income ÷ shareholders’ equity
Return on capital employed-5.5%10.0%Operating income ÷ (equity + total debt)
Owner earnings$-509.00m$120.90mNet income + depreciation & amortisation − capital expenditure
Free cash flow$-281.00m$155.08mOperating cash flow − capital expenditure
Operating margin-8.7%14.3%Operating income ÷ revenue
Net margin-16.2%10.1%Net income ÷ revenue
Debt to equity2.24x0.73xTotal debt ÷ shareholders’ equity
Interest cover-1.37x4.22xOperating income ÷ interest expense
Current ratio2.46x1.55xCurrent assets ÷ current liabilities
Long-term debt to working capital2.33x1.88xLong-term debt ÷ (current assets − current liabilities)
Cash conversionOperating cash flow ÷ net income
Accruals-8.5%-3.1%(Net income − operating cash flow) ÷ total assets

Not computed here: Cash conversion — 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 equity-33.1%-2.7%-16.3%21.1%14.3%57.1%-14.6%-1.0%-34.4%-6.0%-6.0%
Return on capital employed-5.5%4.8%3.9%9.5%12.6%5.5%2.5%5.2%3.6%-1.4%3.9%
Operating margin-8.7%7.1%6.5%13.3%16.2%9.8%3.6%11.0%8.3%-4.0%7.1%
Net margin-16.2%-1.6%-11.1%14.4%8.0%35.1%-4.1%-0.4%-16.8%-4.7%-4.1%
Debt to equity2.24x1.59x1.45x1.06x1.29x1.92x3.99x4.60x3.77x2.88x1.92x
Current ratio2.46x2.47x2.84x2.31x2.49x3.14x2.95x8.48x7.48x4.85x2.84x
Cash conversion1.20x2.59x0.37x1.20x