vvincii we show the working

← Cincinnati Financial

The business behind the dividend

MeasureCINFMedianFormula
Return on equity15.0%11.7%Net income ÷ shareholders’ equity
Return on capital employedOperating income ÷ (equity + total debt)
Owner earnings$2.41bn$632.00mNet income + depreciation & amortisation − capital expenditure
Free cash flow$3.09bn$746.10mOperating cash flow − capital expenditure
Operating margin23.6%15.0%Operating income ÷ revenue
Net margin18.9%10.2%Net income ÷ revenue
Debt to equityTotal debt ÷ shareholders’ equity
Interest coverOperating income ÷ interest expense
Current ratioCurrent assets ÷ current liabilities
Long-term debt to working capitalLong-term debt ÷ (current assets − current liabilities)
Cash conversionOperating cash flow ÷ net income

Not computed here: Cash conversion, Current ratio, Debt to equity, Long-term debt to working capital, Interest cover, Return on capital employed — why a blank is not a zero.

Ten years of it

The same measures, for every year the filings support. One year is a fact; a row is a business.

Measure2025202420232022202120202019201820172016Median
Return on equity15.0%16.4%15.2%-4.6%23.3%11.3%20.2%3.7%12.7%8.4%12.7%
Operating margin23.6%25.2%22.7%-10.6%38.4%19.9%31.2%23.6%
Net margin18.9%20.2%18.4%-7.4%30.8%16.1%25.2%5.3%18.2%10.8%18.2%

How it compares in banks & insurers

Among the 48 banks & insurers companies here measured on GAAP earnings, Cincinnati Financial pays out less than 35 of them. The median for that group is 34.0%, against this company’s 22.9%.

Closest on GAAP earnings

Same sector and same denominator, so the figures are comparable. All 48 in banks & insurers →