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Services-computer programming, data processing, etc. company · E9 · FY ends Dec · Revenue $342M · 35.74% margin · $136M FCF
Margins and capital returns are both well above average: 35.74% operating margin, ROIC at 15.59%. Consistent with durable pricing power, though that alone doesn't make it a buy.
Revenue growth slowed to 0.7%, essentially flat. This is a business that needs a catalyst.
Free cash flow declined 21% versus the prior year, cash generation momentum has weakened.
Profitability & Returns
Revenue (TTM)
$342M
▲ +0.7% YoY
Net Income (TTM)
$148M
▲ +10.4% YoY
Op. Margin
35.74%
ROIC
15.59%
▼ -1.3pp YoY
Cash Flow & Balance Sheet
FCF (TTM)
$136M
▼ -21.2% YoY
Op. Cash Flow (TTM)
$138M
▼ -20.4% YoY
Net Debt
-$667M
Net Cash Position
Cash & Equiv.
$668M
5Y CAGR: +20.4%
5Y CAGR: +16.3%
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