The business behind the dividend
| Measure | KO | Median | Formula |
|---|---|---|---|
| Return on equity | 40.7% | 11.7% | Net income ÷ shareholders’ equity |
| Return on capital employed | 18.5% | 10.1% | Operating income ÷ (equity + total debt) |
| Owner earnings | $12.04bn | $632.00m | Net income + depreciation & amortisation − capital expenditure |
| Free cash flow | $5.30bn | $746.10m | Operating cash flow − capital expenditure |
| Operating margin | 28.7% | 15.0% | Operating income ÷ revenue |
| Net margin | 27.3% | 10.2% | Net income ÷ revenue |
| Debt to equity | 1.31x | 0.79x | Total debt ÷ shareholders’ equity |
| Interest cover | 8.32x | 4.43x | Operating income ÷ interest expense |
| Current ratio | 1.46x | 1.25x | Current assets ÷ current liabilities |
| Long-term debt to working capital | 4.31x | 2.30x | Long-term debt ÷ (current assets − current liabilities) |
| Cash conversion | 0.57x | 1.78x | Operating cash flow ÷ net income |
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 | 40.7% | 42.8% | 41.3% | 39.6% | 42.5% | 40.1% | 47.0% | 37.9% | 7.3% | 28.3% | 40.1% |
| Return on capital employed | 18.5% | 14.9% | 17.8% | 17.9% | 16.5% | 15.0% | 19.9% | 19.3% | 15.0% | 15.4% | 16.5% |
| Operating margin | 28.7% | 21.2% | 24.7% | 25.4% | 26.7% | 27.3% | 27.1% | 26.7% | 21.4% | 20.7% | 25.4% |
| Net margin | 27.3% | 22.6% | 23.4% | 22.2% | 25.3% | 23.5% | 23.9% | 18.8% | 3.4% | 15.6% | 22.6% |
| Debt to equity | 1.31x | 1.70x | 1.45x | 1.53x | 1.72x | 2.10x | 1.67x | 1.79x | 2.02x | 1.44x | 1.67x |
| Current ratio | 1.46x | 1.03x | 1.13x | 1.15x | 1.13x | 1.32x | 0.76x | 0.87x | 1.34x | 1.28x | 1.13x |
| Cash conversion | 0.57x | 0.64x | 1.08x | 1.15x | 1.29x | 1.27x | 1.17x | 1.19x | 5.64x | 1.35x | 1.17x |
How it compares in consumer staples
Among the 38 consumer staples companies here measured on free cash flow, Coca Cola pays out less than 1 of them. The median for that group is 65.1%, against this company’s 165.8%.
Closest on free cash flow
- Kimberly Clark (KMB) 101.3%
- Hormel Foods (HRL) 118.5%
- Sanfilippo John B & Son (JBSS) 130.8%
- National Beverage (FIZZ) 178.5%
Same sector and same denominator, so the figures are comparable. All 43 in consumer staples →