ENICEnel Chile S.A.
Is the business good?
The checks split: nothing decisive, though earnings fully cash-backed (4.9×).
Operating profit is fully backed by cash. Conversion is improving vs a year ago.
Margins have held roughly steady, a stable cost structure.
A balanced mix of margins, efficiency, and leverage. ROE 3% = 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 ENIC?
Enel Chile S.A. earns 6.5% on the capital it employs against a 9.0% cost of capital, so growth costs more than it returns.
Return on invested capital · cost of capital 9.0% · 2.5 points below what the capital costs: growth destroys value
- Operating margin
- 9.6%
Operating margin · Utilities - Regulated Electric median 22% · fiscal year to FY2024
- Cash conversion
- 4.85×
Cash conversion · 1.23× a year ago · operating cash flow covers the operating profit after tax
- Gross margin
- 28%
Gross margin
| Year | Operating margin |
|---|---|
| FY2019 | 20% |
| FY2020 | −1.3% |
| FY2021 | 9.2% |
| FY2022 | 21% |
| FY2023 | 18% |
| FY2024 | 9.6% |
Details›
- Gross marginfiscal year to FY2024
- 28%
- Operating marginfiscal year to FY2024
- 9.6%
- Net marginfiscal year to FY2024
- 3.7%
- Free cash flow margin
- 22%
- Revenue, trailing twelve months
- $3.90T
- Free cash flow, trailing twelve months
- $846.9B
- Net income, trailing twelve months
- $145.1B
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 6.5%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion is operating cash flow over operating profit after tax.