vvincii we show the working

← Progressive

The business behind the dividend

MeasurePGRMedianFormula
Return on equity37.3%11.7%Net income ÷ shareholders’ equity
Return on capital employedOperating income ÷ (equity + total debt)
Owner earnings$11.27bn$632.00mNet income + depreciation & amortisation − capital expenditure
Free cash flow$17.20bn$746.10mOperating cash flow − capital expenditure
Operating margin16.2%15.0%Operating income ÷ revenue
Net margin12.9%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 equity37.3%33.1%19.2%4.5%18.4%33.5%29.0%24.2%17.1%13.0%19.2%
Operating margin16.2%14.2%7.9%1.9%8.8%16.8%13.2%13.2%
Net margin12.9%11.3%6.3%1.5%7.0%13.4%10.2%8.2%5.9%4.4%7.0%

How it compares in banks & insurers

Among the 48 banks & insurers companies here measured on GAAP earnings, Progressive pays out less than 3 of them. The median for that group is 34.0%, against this company’s 72.3%.

Closest on GAAP earnings

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