KFYKorn Ferry
Is the business good?
A genuinely good business: earnings fully cash-backed (1.4×) and margins widening.
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 14% = margin × turnover × leverage.
Unless marked, from derived.
Against the whole market›
Percentile against every name Ryufin tracks. Higher is better; the tick marks the middle of the market. Context, not one of the checks above.
Where this answer is blind. The F-score rewards improvement, so an already-elite company can score mid-pack.
How good a business is KFY?
Korn Ferry earns 19% 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% · 10 points above what the capital costs: growth creates value
- Operating margin
- 13%
Operating margin · Staffing & Employment Services median 0.87% · 12 months to Q1 2027
- Cash conversion
- 1.45×
Cash conversion · 1.38× a year ago · operating cash flow covers the operating profit after tax
- Share count, year on year
- −1.9%
Share count, year on year · bought back, each share owns more of the company
| Year | Operating margin |
|---|---|
| FY2021 | 8.6% |
| FY2022 | 18% |
| FY2023 | 11% |
| FY2024 | 7.6% |
| FY2025 | 13% |
| FY2026 | 13% |
Details›
- Operating margin12 months to Q1 2027
- 13%
- Net margin12 months to Q1 2027
- 9.4%
- Free cash flow margin
- 11%
- Revenue, trailing twelve months
- $2.99B
- Free cash flow, trailing twelve months
- $319M
- Net income, trailing twelve months
- $280M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 19%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion is operating cash flow over operating profit after tax.
Staffing & Employment Services
Ranks #3 of 9 by RyuScore