PLPCPreformed Line Products Company
Is the business good?
The checks split: earnings fully cash-backed (1.4×), but margins compressing.
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.
Negative operating leverage, costs are rising faster than sales, squeezing margins as it grows.
A balanced mix of margins, efficiency, and leverage. ROE 8% = 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 PLPC?
Preformed Line Products Company earns 11% 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% · 2.4 points above what the capital costs: growth creates value
- Operating margin
- 9.0%
Operating margin · Electrical Equipment & Parts median 6.7% · 12 months to Q2 2026
- Cash conversion
- 1.45×
Cash conversion · 1.57× a year ago · operating cash flow covers the operating profit after tax
- Share count, year on year
- −3.3%
Share count, year on year · bought back, each share owns more of the company
| Year | Operating margin |
|---|---|
| FY2020 | 8.6% |
| FY2021 | 9.2% |
| FY2022 | 11% |
| FY2023 | 13% |
| FY2024 | 8.6% |
| FY2025 | 8.2% |
Details›
- Gross margin12 months to Q2 2026
- 31%
- Operating margin12 months to Q2 2026
- 9.0%
- Net margin12 months to Q2 2026
- 5.8%
- Free cash flow margin
- 4.7%
- Revenue, trailing twelve months
- $740M
- Free cash flow, trailing twelve months
- $34M
- Net income, trailing twelve months
- $43M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 11%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion is operating cash flow over operating profit after tax.
Electrical Equipment & Parts
Ranks #3 of 19 by RyuScore