CMCLCaledonia Mining Corporation Plc
Is the business good?
The checks split: earnings fully cash-backed (1.8×), but margins compressing.
Operating profit is fully backed by cash.
Positive operating leverage, operating profit is growing faster than sales, so margins widen as the business scales.
A balanced mix of margins, efficiency, and leverage. ROE 4% = 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 CMCL?
Caledonia Mining Corporation Plc earns 16% 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% · 7.1 points above what the capital costs: growth creates value
- Operating margin
- 23%
Operating margin · Gold median 38% · 12 months to Q4 2024
- Cash conversion
- 1.76×
Cash conversion · 1.71× a year ago · operating cash flow covers the operating profit after tax
- Gross margin
- 42%
Gross margin
| Year | Operating margin |
|---|---|
| FY2019 | 49% |
| FY2020 | 36% |
| FY2021 | 30% |
| FY2022 | 21% |
| FY2023 | 7.5% |
| FY2024 | 24% |
Details›
- Gross margin12 months to Q4 2024
- 42%
- Operating margin12 months to Q4 2024
- 23%
- Net margin12 months to Q4 2024
- 9.3%
- Free cash flow margin
- 7.9%
- Revenue, trailing twelve months
- $183M
- Free cash flow, trailing twelve months
- $14M
- Net income, trailing twelve months
- $17M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 16%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion is operating cash flow over operating profit after tax.