The business behind the dividend
| Measure | LAZ | Median | Formula |
|---|---|---|---|
| Return on equity | 27.1% | 11.7% | Net income ÷ shareholders’ equity |
| Return on capital employed | 12.8% | 10.1% | Operating income ÷ (equity + total debt) |
| Owner earnings | $239.07m | $632.00m | Net income + depreciation & amortisation − capital expenditure |
| Free cash flow | $487.38m | $746.10m | Operating cash flow − capital expenditure |
| Operating margin | 10.3% | 15.0% | Operating income ÷ revenue |
| Net margin | 7.4% | 10.2% | Net income ÷ revenue |
| Debt to equity | 1.93x | 0.79x | Total debt ÷ shareholders’ equity |
| Interest cover | — | — | Operating income ÷ interest expense |
| Current ratio | — | — | Current assets ÷ current liabilities |
| Long-term debt to working capital | — | — | Long-term debt ÷ (current assets − current liabilities) |
| Cash conversion | — | — | Operating cash flow ÷ net income |
Not computed here: Cash conversion, Current ratio, Interest cover — 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 | 27.1% | 44.0% | -17.8% | 64.2% | 54.1% | 44.1% | 47.0% | 57.5% | 21.1% | 31.4% | 44.0% |
| Return on capital employed | 12.8% | 16.6% | -3.8% | 23.0% | 27.2% | 19.4% | 17.2% | 29.0% | 34.5% | 21.3% | 19.4% |
| Operating margin | 10.3% | 12.3% | -3.1% | 18.1% | 22.1% | 19.0% | 14.7% | 23.6% | 30.6% | 21.7% | 18.1% |
| Net margin | 7.4% | 8.9% | -2.9% | 12.5% | 16.1% | 15.2% | 10.7% | 18.3% | 9.4% | 16.3% | 10.7% |
| Debt to equity | 1.93x | 2.65x | 3.99x | 3.03x | 1.73x | 1.85x | 2.75x | 1.56x | 0.99x | 0.96x | 1.85x |
How it compares in financial services
Among the 25 financial services companies here measured on free cash flow, Lazard pays out less than 8 of them. The median for that group is 19.5%, against this company’s 38.3%.
Closest on free cash flow
- Willis Towers Watson (WTW) 23.2%
- Intercontinental Exchange (ICE) 25.8%
- Marsh & Mclennan Companies (MMC) 34.0%
- Blue OWL Capital (OWL) 45.6%
Same sector and same denominator, so the figures are comparable. All 31 in financial services →