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← Willis Towers Watson

The business behind the dividend

MeasureWTWMedianFormula
Return on equity20.1%11.7%Net income ÷ shareholders’ equity
Return on capital employed15.6%10.1%Operating income ÷ (equity + total debt)
Owner earnings$1.60bn$632.00mNet income + depreciation & amortisation − capital expenditure
Free cash flow$1.55bn$746.10mOperating cash flow − capital expenditure
Operating margin23.5%15.0%Operating income ÷ revenue
Net margin16.9%10.2%Net income ÷ revenue
Debt to equity0.79x0.79xTotal debt ÷ shareholders’ equity
Interest coverOperating income ÷ interest expense
Current ratio1.20x1.25xCurrent assets ÷ current liabilities
Long-term debt to working capital2.01x2.30xLong-term debt ÷ (current assets − current liabilities)
Cash conversionOperating cash flow ÷ net income

Not computed here: Cash conversion, 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.

Measure2025202420232022202120202019201820172016Median
Return on equity20.1%-1.2%11.1%10.1%31.8%9.2%10.2%7.1%5.6%4.2%9.2%
Return on capital employed15.6%4.7%9.3%8.0%12.3%5.2%6.6%5.6%3.5%2.5%5.6%
Operating margin23.5%6.4%14.7%13.5%24.9%10.0%12.7%9.6%6.3%4.4%10.0%
Net margin16.9%-1.0%11.3%11.6%47.8%11.6%12.6%8.3%6.9%5.3%11.3%
Debt to equity0.79x0.67x0.55x0.47x0.35x0.52x0.55x0.46x0.45x0.38x0.47x
Current ratio1.20x1.20x1.06x1.07x1.26x1.05x1.06x1.07x1.07x1.03x1.07x

How it compares in financial services

Among the 25 financial services companies here measured on free cash flow, Willis Towers Watson pays out less than 11 of them. The median for that group is 19.5%, against this company’s 23.2%.

Closest on free cash flow

Same sector and same denominator, so the figures are comparable. All 31 in financial services →