CMBTCmb.Tech NV
Is the business good?
The checks split: elite returns on assets, but thin cash backing (0.5×).
Operating profit outpaces operating cash flow, watch accruals and working capital. Conversion is worsening vs a year ago.
Margins have held roughly steady, a stable cost structure.
High-quality, exceptional returns on the assets themselves, not leverage. ROE 73% = 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 CMBT?
Cmb.Tech NV earns 30% 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% · 21 points above what the capital costs: growth creates value
- Operating margin
- 107%
Operating margin · Oil & Gas Midstream median 30% · fiscal year to FY2024
- Cash conversion
- 0.46×
Cash conversion · 0.87× a year ago · the operating profit has not turned into cash yet
- Share count, year on year
- −2.9%
Share count, year on year · bought back, each share owns more of the company
| Year | Operating margin |
|---|---|
| FY2019 | 21% |
| FY2020 | 44% |
| FY2021 | −67% |
| FY2022 | 34% |
| FY2023 | 79% |
| FY2024 | 107% |
Details›
- Gross marginfiscal year to FY2024
- 100%
- Operating marginfiscal year to FY2024
- 107%
- Net marginfiscal year to FY2024
- 93%
- R&D as % of revenue
- 1.1%
- Revenue, trailing twelve months
- $940M
- Net income, trailing twelve months
- $871M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 30%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion is operating cash flow over operating profit after tax.
Oil & Gas Midstream
Ranks #7 of 22 by RyuScore