vvincii we show the working

← Westlake

The business behind the dividend

MeasureWLKMedianFormula
Return on equity-17.2%11.7%Net income ÷ shareholders’ equity
Return on capital employed-11.0%10.1%Operating income ÷ (equity + total debt)
Owner earnings$-1.32bn$632.00mNet income + depreciation & amortisation − capital expenditure
Free cash flow$-530.00m$746.10mOperating cash flow − capital expenditure
Operating margin-14.1%15.0%Operating income ÷ revenue
Net margin-13.5%10.2%Net income ÷ revenue
Debt to equity0.64x0.79xTotal debt ÷ shareholders’ equity
Interest cover-9.23x4.43xOperating income ÷ interest expense
Current ratio2.24x1.25xCurrent assets ÷ current liabilities
Long-term debt to working capital1.48x2.30xLong-term debt ÷ (current assets − current liabilities)
Cash conversionOperating cash flow ÷ net income

Not computed here: Cash conversion — 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 equity-17.2%5.7%4.7%22.6%25.3%5.5%7.2%17.8%26.8%11.3%7.2%
Return on capital employed-11.0%5.8%4.8%20.6%21.3%4.5%7.0%17.1%14.1%8.1%7.0%
Operating margin-14.1%7.2%5.8%19.3%23.8%5.7%8.1%16.3%15.2%11.5%8.1%
Net margin-13.5%5.0%3.8%14.2%17.1%4.4%5.2%11.5%16.2%7.9%5.2%
Debt to equity0.64x0.43x0.48x0.49x0.65x0.59x0.59x0.48x0.79x1.04x0.59x
Current ratio2.24x2.80x2.37x2.60x2.25x2.56x2.21x2.40x1.76x2.04x2.25x
Cash conversion2.18x4.88x1.51x1.19x3.93x3.09x1.41x1.17x2.17x2.17x