MLKNMillerKnoll, Inc.
Is the business good?
A genuinely good business: earnings fully cash-backed (1.6×) and margins widening.
Mixed fundamental signals. Nine pass/fail tests of year-over-year health from the filings.
Operating profit is fully backed by cash. Conversion is worsening 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 3% = 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 MLKN?
MillerKnoll, Inc. earns 6.3% 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% · 2.7 points below what the capital costs: growth destroys value
- Operating margin
- 5.2%
Operating margin · Furnishings, Fixtures & Appliances median 7.8% · 12 months to Q1 2027
- Cash conversion
- 1.60×
Cash conversion · 2.82× a year ago · operating cash flow covers the operating profit after tax
- Share count, year on year
- +1.2%
Share count, year on year · shareholders own a smaller slice than a year ago
| Year | Operating margin |
|---|---|
| FY2021 | 9.4% |
| FY2022 | 1.0% |
| FY2023 | 3.0% |
| FY2024 | 4.6% |
| FY2025 | 1.4% |
| FY2026 | 5.2% |
Details›
- Gross margin12 months to Q1 2027
- 40%
- Operating margin12 months to Q1 2027
- 5.2%
- Net margin12 months to Q1 2027
- 2.6%
- Free cash flow margin
- 3.0%
- R&D as % of revenue
- 2.8%
- Revenue, trailing twelve months
- $3.81B
- Free cash flow, trailing twelve months
- $116M
- Net income, trailing twelve months
- $98M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 6.3%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion is operating cash flow over operating profit after tax.
Furnishings, Fixtures & Appliances
Ranks #11 of 13 by RyuScore