CLBCore Laboratories Inc.
Is the business good?
The checks split: nothing decisive, though margins compressing.
Operating profit is mostly backed by cash. Conversion is worsening vs a year ago.
Operating margin has narrowed over the past few years, profitability per dollar of sales is eroding.
A balanced mix of margins, efficiency, and leverage. ROE 11% = margin × turnover × leverage.
Unless marked, from derived.
Where this answer is blind. The F-score rewards improvement, so an already-elite company can score mid-pack.
How good a business is CLB?
Core Laboratories Inc. earns 10% on the capital it employs against a 9.0% cost of capital, so the business is worth more the bigger it gets.
Return on invested capital · cost of capital 9.0% · 1.4 points above what the capital costs: growth creates value
- Operating margin
- 9.2%
Operating margin · Oil & Gas Equipment & Services median 10% · 12 months to Q2 2026
- Cash conversion
- 0.88×
Cash conversion · 1.43× a year ago · most of the operating profit arrived as cash, working capital took the rest
- Share count, year on year
- −1.0%
Share count, year on year · bought back, each share owns more of the company
| Year | Operating margin |
|---|---|
| FY2021 | 9.6% |
| FY2022 | 8.5% |
| FY2023 | 11% |
| FY2024 | 11% |
| FY2025 | 11% |
Details›
- Gross margin12 months to Q2 2026
- 20%
- Operating margin12 months to Q2 2026
- 9.2%
- Net margin12 months to Q2 2026
- 4.7%
- Free cash flow margin
- 2.9%
- Revenue, trailing twelve months
- $519M
- Free cash flow, trailing twelve months
- $15M
- Net income, trailing twelve months
- $24M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 10%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion is operating cash flow over operating profit after tax.