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GlaxoSmithkline Consumer Healthcare Ltd. Key Financial Ratios

NSE:GSKCONS | FOOD AND FOOD PROCESSING

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Profitability Margins

2-year trend showing gross, operating, and net profit margins

FY 2018 - FY 2019

GlaxoSmithkline Consumer Healthcare Ltd.'s net profit margin of 20.6% in FY2019 reflects excellent profitability, with operating margin at 22.6% and gross margin at 70.0%.

Understanding Profitability Margins

In FY 2019, GlaxoSmithkline Consumer Healthcare Ltd. posted a gross margin of 70.0%, an operating margin of 22.6%, a net margin of 20.6%. Gross Margin = (Revenue - COGS) / Revenue; Operating Margin = EBIT / Revenue; Net Margin = Net Income / Revenue. Typical healthy ranges: Gross 20-40%, Operating 10-20%, Net 5-10%+. Consistent or improving margins indicate strong competitive positioning.

Company Performance

2-year trend showing revenue, gross profit, and net profit

FY 2018 - FY 2019

GlaxoSmithkline Consumer Healthcare Ltd.'s revenue grew 9.3% to 47.82B and net profit grew 40.4% to 9.83B YoY in FY2019, indicating moderate business momentum.

Understanding Company Performance

In FY 2019, GlaxoSmithkline Consumer Healthcare Ltd.'s revenue grew by 9.3% year-over-year. Revenue is total income from operations. Gross Profit is revenue minus cost of goods. Net Profit is the bottom line after all expenses. Consistent growth across all three signals a healthy, expanding business.

Return on Equity (ROE)

2-year trend showing shareholder returns

FY 2018 - FY 2019

GlaxoSmithkline Consumer Healthcare Ltd.'s ROE of 24.0% in FY2019 indicates excellent capital efficiency.

Understanding Return on Equity (ROE)

In FY 2019, GlaxoSmithkline Consumer Healthcare Ltd. reported an ROE of 24.0%. ROE = (Net Income / Shareholders' Equity) x 100. Measures how efficiently the company turns equity into profit. Above 15% is generally strong; above 25% is excellent. Very high ROE may signal high leverage — check alongside debt levels.

Net Income vs Free Cash Flow

2-year trend comparing profitability with cash generation

FY 2018 - FY 2019

GlaxoSmithkline Consumer Healthcare Ltd.'s FCF/NI ratio of 0.65x in FY2019 indicates FCF trailing profits — heavy capex or working capital needs may be a factor.

Understanding Net Income vs Free Cash Flow

In FY 2019, GlaxoSmithkline Consumer Healthcare Ltd.'s free cash flow trailed net income. Free Cash Flow = Operating Cash Flow - Capital Expenditure. When FCF exceeds net income, it suggests high-quality, cash-backed earnings. Persistent gaps may indicate aggressive accounting or heavy capex needs.

Net Income vs Operating Cash Flow

2-year trend comparing profitability with cash from operations

FY 2018 - FY 2019

GlaxoSmithkline Consumer Healthcare Ltd.'s OCF/NI ratio of 0.68x in FY2019 indicates cash conversion lagging profits — possible working capital challenges.

Understanding Net Income vs Operating Cash Flow

In FY 2019, GlaxoSmithkline Consumer Healthcare Ltd.'s operating cash flow trailed net income. Operating Cash Flow is the actual cash from core operations. OCF exceeding net income signals strong cash collection. OCF trailing net income may indicate aggressive revenue recognition or working capital issues.

Leverage Ratios

Measure a company's financial leverage, liquidity, and ability to meet financial obligations.

Current Ratio Analysis

2-year trend showing short-term liquidity position

FY 2018 - FY 2019

GlaxoSmithkline Consumer Healthcare Ltd.'s current ratio of 2.90x in FY2019 indicates healthy short-term liquidity.

Understanding Current Ratio

In FY 2019, GlaxoSmithkline Consumer Healthcare Ltd. reported a current ratio of 2.90. Current Ratio = Current Assets / Current Liabilities. Measures short-term liquidity. A ratio of 1.5-3.0 is generally healthy; below 1.0 signals liquidity risk; above 3.0 may indicate underutilized assets.

Interest Coverage Ratio Analysis

2-year trend showing ability to service debt

FY 2018 - FY 2019

GlaxoSmithkline Consumer Healthcare Ltd.'s interest coverage ratio of 1,387.5x in FY2019 indicates comfortable debt servicing capacity.

Understanding Interest Coverage Ratio

In FY 2019, GlaxoSmithkline Consumer Healthcare Ltd. reported an interest coverage ratio of 1,387.5x. Interest Coverage = EBIT / Interest Expense. Shows how many times operating profit covers interest payments. Above 5x is comfortable; below 1.5x signals potential difficulty servicing debt.

Debt-to-Equity Ratio Analysis

2-year trend showing financial leverage and capital structure

FY 2018 - FY 2019

Understanding Debt-to-Equity Ratio

Debt-to-Equity = Total Debt / Total Equity. Below 1.0 is conservative; 1.0-2.0 is moderate; above 2.0 indicates higher financial risk. Capital-intensive industries naturally carry higher ratios.

Total Debt Analysis

2-year trend showing total debt with year-over-year changes

FY 2018 - FY 2019

Understanding Total Debt

Total Debt includes short-term debt, long-term loans, debentures, and capital leases. YoY changes (shown as percentages) reveal whether the company is leveraging up or deleveraging.

Shares Outstanding

Year-over-year change in diluted shares outstanding

GlaxoSmithkline Consumer Healthcare Ltd.'s diluted shares remained virtually unchanged in FY2019.

Over 2 years (FY2018–FY2019), diluted shares remained essentially unchanged at 42.06M.

Understanding Shares Outstanding

In FY 2019, GlaxoSmithkline Consumer Healthcare Ltd.'s diluted shares remained flat by 0.0% year-over-year. Diluted Shares accounts for stock options, warrants, and convertibles. Positive YoY change means dilution (red); negative means buybacks (green). Consistent dilution above 5% annually is a red flag.

Data from audited consolidated filings. For educational purposes only — not investment advice. Last update: FY 2019