MAMAMama's Creations, Inc.
Is the business good?
The checks split: earnings fully cash-backed (2.6×), but margins compressing.
Operating profit is fully backed by cash. Conversion is improving vs a year ago.
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 9% = 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 MAMA?
Mama's Creations, Inc. earns 26% 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% · 17 points above what the capital costs: growth creates value
- Operating margin
- 4.5%
Operating margin · Packaged Foods median 7.6% · 12 months to Q2 2027
- Cash conversion
- 2.60×
Cash conversion · 1.77× a year ago · operating cash flow covers the operating profit after tax
- Share count, year on year
- +14%
Share count, year on year · shareholders own a smaller slice than a year ago
| Year | Operating margin |
|---|---|
| FY2021 | 8.5% |
| FY2022 | 0.18% |
| FY2023 | 3.0% |
| FY2024 | 8.6% |
| FY2025 | 4.0% |
| FY2026 | 4.1% |
Details›
- Gross margin12 months to Q2 2027
- 24%
- Operating margin12 months to Q2 2027
- 4.5%
- Net margin12 months to Q2 2027
- 3.5%
- Free cash flow margin
- 8.3%
- R&D as % of revenue
- 0.16%
- Revenue, trailing twelve months
- $209M
- Free cash flow, trailing twelve months
- $17M
- Net income, trailing twelve months
- $7.4M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 26%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion is operating cash flow over operating profit after tax.