TECKTeck Resources Limited
Is the business good?
The checks split: nothing decisive, though earnings fully cash-backed (1.0×).
Operating profit is fully backed by cash.
Margins have held roughly steady, a stable cost structure.
A balanced mix of margins, efficiency, and leverage. ROE 6% = 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 TECK?
Teck Resources Limited earns 7.3% 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% · 1.7 points below what the capital costs: growth destroys value
- Operating margin
- 21%
Operating margin · Other Industrial Metals & Mining median 8.9% · fiscal year to FY2025
- Cash conversion
- 1.02×
Cash conversion · operating cash flow covers the operating profit after tax
- Share count, year on year
- −4.8%
Share count, year on year · bought back, each share owns more of the company
| Year | Operating margin |
|---|---|
| FY2020 | −10% |
| FY2021 | 39% |
| FY2022 | 40% |
| FY2023 | 3.4% |
| FY2024 | −0.10% |
| FY2025 | 21% |
Details›
- Gross marginfiscal year to FY2025
- 25%
- Operating marginfiscal year to FY2025
- 21%
- Net marginfiscal year to FY2025
- 13%
- Free cash flow margin
- −3.3%
- R&D as % of revenue
- 0.33%
- Revenue, trailing twelve months
- $10.8B
- Free cash flow, trailing twelve months
- −$359M
- Net income, trailing twelve months
- $1.40B
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 7.3%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion is operating cash flow over operating profit after tax.
Other Industrial Metals & Mining
Ranks #5 of 24 by RyuScore