MGEEMGE Energy, Inc.
Is the business good?
A genuinely good business: earnings fully cash-backed (1.8×) and margins widening.
Operating profit is fully backed by cash. Conversion is worsening vs a year ago.
Profits are tracking sales roughly one-for-one, limited operating leverage either way.
Margin-driven, fat margins on slower asset turns. ROE 10% = 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 MGEE?
MGE Energy, Inc. earns 5.9% 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% · 3.1 points below what the capital costs: growth destroys value
- Operating margin
- 22%
Operating margin · Utilities - Regulated Electric median 22% · 12 months to Q1 2026
- Cash conversion
- 1.78×
Cash conversion · 2.03× a year ago · operating cash flow covers the operating profit after tax
- Share count, year on year
- +0.22%
Share count, year on year · flat: no meaningful dilution
| Year | Operating margin |
|---|---|
| FY2020 | 20% |
| FY2021 | 19% |
| FY2022 | 19% |
| FY2023 | 21% |
| FY2024 | 22% |
| FY2025 | 23% |
Details›
- Operating margin12 months to Q1 2026
- 22%
- Net margin12 months to Q1 2026
- 19%
- Free cash flow margin
- −17%
- Revenue, trailing twelve months
- $767M
- Free cash flow, trailing twelve months
- −$131M
- Net income, trailing twelve months
- $143M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 5.9%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion is operating cash flow over operating profit after tax.