Investors Can Find Comfort In FutureFuel's (NYSE:FF) Earnings Quality
Investors Can Find Comfort In FutureFuel's (NYSE:FF) Earnings Quality
The market was pleased with the recent earnings report from FutureFuel Corp. (NYSE:FF), despite the profit numbers being soft. Our analysis suggests that investors may have noticed some promising signs beyond the statutory profit figures.
儘管利潤數字不太理想,但FutureFuel公司(紐交所:FF)最近的盈利報告仍受到市場的歡迎。我們的分析表明投資者可能注意到了法定利潤數字以外的一些有前途的跡象。
![big](https://usnewsfile.moomoo.com/public/MM-PersistNewsContentImage/7781/20240821/0-72aed744a252e562174d941de82fd947-0-6ebd9999d40b73b6cc551925c629139b.png/big)
Examining Cashflow Against FutureFuel's Earnings
對比FutureFuel公司的現金流和盈利
Many investors haven't heard of the accrual ratio from cashflow, but it is actually a useful measure of how well a company's profit is backed up by free cash flow (FCF) during a given period. The accrual ratio subtracts the FCF from the profit for a given period, and divides the result by the average operating assets of the company over that time. The ratio shows us how much a company's profit exceeds its FCF.
許多投資者沒有聽說過現金流量的計提比率,但它實際上是衡量一個公司在給定期間的自由現金流(FCF)支持其利潤能力的有用指標。計提比率從該期間的利潤中減去FCF,並將結果除以公司在該時間內的平均營運資產。該比率告訴我們一個公司的利潤超過了其自由現金流的多少。
As a result, a negative accrual ratio is a positive for the company, and a positive accrual ratio is a negative. While having an accrual ratio above zero is of little concern, we do think it's worth noting when a company has a relatively high accrual ratio. To quote a 2014 paper by Lewellen and Resutek, "firms with higher accruals tend to be less profitable in the future".
因此,負的應計比率對公司來說是積極的,而正的應計比率則是消極的。雖然應計比率高於零並不值得擔心,但當公司有相對較高的應計比率時,我們認爲這值得注意。引用Lewellen和Resutek 2014年的一篇論文:「應計比率較高的公司未來往往利潤較低」。
For the year to June 2024, FutureFuel had an accrual ratio of -0.27. That implies it has very good cash conversion, and that its earnings in the last year actually significantly understate its free cash flow. In fact, it had free cash flow of US$70m in the last year, which was a lot more than its statutory profit of US$40.1m. FutureFuel shareholders are no doubt pleased that free cash flow improved over the last twelve months. However, that's not all there is to consider. The accrual ratio is reflecting the impact of unusual items on statutory profit, at least in part.
對於2024年6月的整個財政年度,FutureFuel的預計比率爲-0.27。這意味着它有非常好的現金轉換能力,上一年度的盈利實際上明顯低估了其自由現金流。事實上,在過去的一年中,它的自由現金流爲7000萬美元,比其法定盈利的4010萬美元要多得多。FutureFuel的股東無疑很高興自由現金流在過去的十二個月中有所改善。不過,還有其他方面需要考慮。預計比率反映了非法定利潤的非常規項目的影響,至少部分反映了這一點。
Note: we always recommend investors check balance sheet strength. Click here to be taken to our balance sheet analysis of FutureFuel.
注意:我們始終建議投資者查看資產負債表的強度。單擊此處轉到我們對FutureFuel的資產負債表分析。
How Do Unusual Items Influence Profit?
非常規項目如何影響利潤?
Surprisingly, given FutureFuel's accrual ratio implied strong cash conversion, its paper profit was actually boosted by US$3.6m in unusual items. While it's always nice to have higher profit, a large contribution from unusual items sometimes dampens our enthusiasm. We ran the numbers on most publicly listed companies worldwide, and it's very common for unusual items to be once-off in nature. Which is hardly surprising, given the name. If FutureFuel doesn't see that contribution repeat, then all else being equal we'd expect its profit to drop over the current year.
令人驚訝的是,儘管FutureFuel的預計比率表明其現金轉換能力強,但其紙面利潤實際上由於非常規項目增加了360萬美元。儘管具有更高的利潤總是不錯的,但非常規項目的大量貢獻有時會抑制我們的熱情。我們分析了全球大多數上市公司的數據,發現非常規項目往往是一次性的。這並不奇怪,因爲其名稱。如果FutureFuel沒有看到這種貢獻重複,其他因素相等,我們預計其今年的利潤將下降。
Our Take On FutureFuel's Profit Performance
我們對未來燃料的盈利表現的看法
In conclusion, FutureFuel's accrual ratio suggests its statutory earnings are of good quality, but on the other hand the profits were boosted by unusual items. Considering all the aforementioned, we'd venture that FutureFuel's profit result is a pretty good guide to its true profitability, albeit a bit on the conservative side. So if you'd like to dive deeper into this stock, it's crucial to consider any risks it's facing. Every company has risks, and we've spotted 2 warning signs for FutureFuel (of which 1 is potentially serious!) you should know about.
總之,FutureFuel的預計比率表明其法定利潤質量較高,但另一方面,利潤卻因非常規項目而增加。考慮到以上所有因素,我們認爲FutureFuel的利潤結果是其真正盈利能力的很好指引,儘管有點保守。因此,如果您想更深入地研究這支股票,必須考慮其所面臨的任何風險。每個公司都存在風險,我們已經發現了FutureFuel的2個警告信號(其中1個有可能很嚴重!),您應該知道這些。
Our examination of FutureFuel has focussed on certain factors that can make its earnings look better than they are. But there are plenty of other ways to inform your opinion of a company. For example, many people consider a high return on equity as an indication of favorable business economics, while others like to 'follow the money' and search out stocks that insiders are buying. So you may wish to see this free collection of companies boasting high return on equity, or this list of stocks with high insider ownership.
我們對FutureFuel的檢查側重於某些因素,這些因素可以使其盈利看起來比實際情況要好。但是,還有很多其他方法可以了解公司的情況。例如,許多人認爲高股本回報是良好的商業經濟的指標,而其他人則喜歡「跟隨資金」並尋找股票內部人員正在購買的股票。因此,您可能希望查看此免費的公司集合,這些公司擁有高回報的股本,或者這份持有高內部所有權的股票清單。
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
對本文有任何反饋?對內容有任何疑慮?請直接與我們聯繫。或者,發送電子郵件至editorial-team@simplywallst.com。
這篇文章是Simply Wall St的一般性文章。我們根據歷史數據和分析師預測提供評論,只使用公正的方法論,我們的文章並不意味着提供任何金融建議。文章不構成買賣任何股票的建議,也不考慮您的目標或您的財務狀況。我們的目標是帶給您基本數據驅動的長期關注分析。請注意,我們的分析可能不考慮最新的價格敏感公司公告或定性材料。Simply Wall St沒有任何股票頭寸。