ROADConstruction Partners, 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 13% = 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 ROAD?
Construction Partners, Inc. earns 8.6% 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% · 0.39 points below what the capital costs: growth destroys value
- Operating margin
- 8.6%
Operating margin · Engineering & Construction median 7.5% · 12 months to Q3 2026
- Cash conversion
- 1.57×
Cash conversion · 2.16× a year ago · operating cash flow covers the operating profit after tax
- Share count, year on year
- +1.1%
Share count, year on year · shareholders own a smaller slice than a year ago
| Year | Operating margin |
|---|---|
| FY2020 | 7.0% |
| FY2021 | 3.3% |
| FY2022 | 2.7% |
| FY2023 | 5.2% |
| FY2024 | 6.1% |
| FY2025 | 8.0% |
Details›
- Gross margin12 months to Q3 2026
- 16%
- Operating margin12 months to Q3 2026
- 8.6%
- Net margin12 months to Q3 2026
- 4.1%
- Free cash flow margin
- 5.1%
- Revenue, trailing twelve months
- $3.48B
- Free cash flow, trailing twelve months
- $176M
- Net income, trailing twelve months
- $143M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 8.6%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion is operating cash flow over operating profit after tax.
Engineering & Construction
Ranks #17 of 25 by RyuScore