Aureus
AExcellent

Procter & Gamble Company (The)(PG)

A

Financial data as of Jun 30, 2025Stable · Consumer Staples

FCF Margin16.7%Free Cash Flow / Revenue
Cash Conversion111.5%Operating CF / Net Income
Free Cash Flow$14.0B
Revenue$84.3B
Net Cash-$25.9BNet debt position
Debt / FCF2.5xManageable debt load
Current Ratio0.70Tight short-term liquidity
YoY FCF Growth-2.4%5 of 5 quarters positive

How This Grade Was Calculated

Base grade from FCF margin, adjusted by financial health factors

BaseA
→
+0.5Healthy FCF margin with manageable debt (16.7%, 2.5x)
→
-0.5Current ratio below 1.0 (0.70) (reduced — strong FCF covers short-term obligations)
→
+0.5Highly consistent quarterly FCF
→
FinalA

Analysis Summary

Strengths

  • Strong FCF margin (16.7%)
  • Excellent cash conversion (112%)
  • Highly consistent quarterly FCF

Concerns

  • Net debt position ($25.9B) — 2.5x FCF, manageable
  • Current ratio below 1.0 — tight short-term liquidity

Financial Breakdown

Key financials compared side by side

Margin Composition

FCF Margin16.7%
Net Margin19.0%
Operating CF Margin21.1%
CapEx Ratio4.5%

Balance Sheet Health

Debt, liquidity, and leverage snapshot

Net Cash-$25.9BNet debt position
Debt / FCF2.5xManageable debt load
Current Ratio0.70Tight liquidity
Debt / Equity0.69Low leverage

Quarterly FCF Trend

-2.4% YoYStable (-2.4%)

Free cash flow per quarter

Sector Comparison — Consumer Staples

FCF Margin ranked against sector peers

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Detailed Metrics

Company NameProcter & Gamble Company (The)
SectorConsumer Staples
Free Cash Flow$14.0B
Revenue$84.3B
Net Income$16.0B
Operating Cash Flow$17.8B
Capital Expenditure$3.8B
FCF Margin16.7%
Cash Conversion Rate111.5%
Net Margin19.0%
Total Debt$35.5B
Total Cash$9.6B
Net Cash-$25.9B
Current Ratio0.70
Debt / Equity0.69
Debt / FCF2.5x
YoY FCF Growth-2.4%
Positive Quarters5 of 5
Trend DirectionStable
Report DateJun 30, 2025
GradeA
Data SourceYahoo Finance

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