← New Oriental Education & Technology Group
The business behind the dividend
| Measure | EDU | Median | Formula |
|---|---|---|---|
| Return on equity | 10.2% | 11.7% | Net income ÷ shareholders’ equity |
| Return on capital employed | — | — | Operating income ÷ (equity + total debt) |
| Owner earnings | $269.58m | $632.00m | Net income + depreciation & amortisation − capital expenditure |
| Free cash flow | $654.65m | $746.10m | Operating cash flow − capital expenditure |
| Operating margin | 8.7% | 15.0% | Operating income ÷ revenue |
| Net margin | 7.6% | 10.2% | Net income ÷ revenue |
| Debt to equity | — | — | Total debt ÷ shareholders’ equity |
| Interest cover | — | — | Operating income ÷ interest expense |
| Current ratio | 1.58x | 1.25x | Current assets ÷ current liabilities |
| Long-term debt to working capital | — | — | Long-term debt ÷ (current assets − current liabilities) |
| Cash conversion | 2.41x | 1.78x | Operating cash flow ÷ net income |
Not computed here: Debt to equity, Long-term debt to working capital, 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.
| Measure | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | Median |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Return on equity | 10.2% | 8.2% | 4.9% | -32.1% | 6.8% | 15.1% | 10.1% | 14.9% | 16.3% | 16.0% | 10.1% |
| Return on capital employed | — | — | — | — | 2.4% | 14.0% | 12.4% | — | — | — | 12.4% |
| Operating margin | 8.7% | 8.1% | 6.3% | -31.6% | 2.7% | 11.1% | 9.9% | 10.7% | 14.6% | 13.4% | 8.7% |
| Net margin | 7.6% | 7.2% | 5.9% | -38.2% | 7.8% | 11.5% | 7.7% | 12.1% | 15.3% | 15.2% | 7.7% |
| Debt to equity | — | — | — | — | 0.00x | 0.04x | 0.04x | — | — | — | 0.04x |
| Current ratio | 1.58x | 1.80x | 1.96x | 2.62x | 1.89x | 1.52x | 1.73x | 1.68x | 1.93x | 2.04x | 1.80x |
| Cash conversion | 2.41x | 3.63x | 5.48x | — | 3.38x | 1.95x | 3.38x | 2.64x | 2.27x | 2.33x | 2.64x |
How it compares in consumer discretionary
Among the 44 consumer discretionary companies here measured on free cash flow, New Oriental Education & Technology Group pays out less than 38 of them. The median for that group is 37.5%, against this company’s 15.0%.
Closest on free cash flow
- Caseys General Stores (CASY) 11.5%
- RUSH Enterprises Inc \Tx\ (RUSHA) 12.6%
- Walt Disney (DIS) 17.9%
- Tapestry (TPR) 18.0%
Same sector and same denominator, so the figures are comparable. All 48 in consumer discretionary →