Aureus
DWarning

K(K)

D

Financial data as of Dec 31, 2024Declining

FCF Margin8.9%Free Cash Flow / Revenue
Cash Conversion131.0%Operating CF / Net Income
Free Cash Flow$1.1B
Revenue$12.7B
Net Cash-$5.6BNet debt position
Debt / FCF5.6xElevated debt burden
Current Ratio0.81Tight short-term liquidity
YoY FCF Growth-12.4%4 of 5 quarters positive

How This Grade Was Calculated

Base grade from FCF margin, adjusted by financial health factors

BaseB
→
-0.5Elevated debt-to-FCF ratio (5.6x)
→
-1Current ratio below 1.0 (0.81)
→
-0.5FCF trend declining (-12.4% YoY)
→
-0.5Highly volatile FCF (consistency: 0.93)
→
FinalD

Analysis Summary

Strengths

  • Excellent cash conversion (131%)

Concerns

  • Low FCF margin (8.9%)
  • Heavy debt position ($5.6B)
  • High debt-to-FCF ratio (5.6x)
  • Current ratio below 1.0 — tight short-term liquidity
  • Highly volatile quarterly FCF
  • Significant FCF decline (-12.4% YoY)

Financial Breakdown

Key financials compared side by side

Margin Composition

FCF Margin8.9%
Net Margin10.5%
Operating CF Margin13.8%
CapEx Ratio4.9%

Balance Sheet Health

Debt, liquidity, and leverage snapshot

Net Cash-$5.6BNet debt position
Debt / FCF5.6xElevated debt burden
Current Ratio0.81Tight liquidity
Debt / Equity1.68Moderate leverage

Quarterly FCF Trend

-12.4% YoYDeclining (-12.4%)

Free cash flow per quarter

Detailed Metrics

Company NameK
SectorConsumer Staples
Free Cash Flow$1.1B
Revenue$12.7B
Net Income$1.3B
Operating Cash Flow$1.8B
Capital Expenditure$628.0M
FCF Margin8.9%
Cash Conversion Rate131.0%
Net Margin10.5%
Total Debt$6.3B
Total Cash$694.0M
Net Cash-$5.6B
Current Ratio0.81
Debt / Equity1.68
Debt / FCF5.6x
YoY FCF Growth-12.4%
Positive Quarters4 of 5
Trend DirectionDeclining
Report DateDec 31, 2024
GradeD
Data SourceYahoo Finance