MKC MCCORMICK & CO INC

Overview and Growth

MCCORMICK & CO INC generated $6.84B of revenue in fiscal 2025, with net income of $789.40M and an operating cash inflow of $962.20M. Revenue of $6.84B sets the scale for evaluating how effectively sales translated into profit and cash during the year. The top line expanded 1.7% from $6.72B in fiscal 2024, increasing the company’s operating scale. Diluted earnings per share were $2.93, translating the period’s attributable earnings into the amount reported for each diluted share. The per-share result recorded a 0.3% increase from fiscal 2024 diluted EPS of $2.92. Revenue equaled 0.52x of total assets, indicating how much reported top-line activity the company produced relative to its period-end asset base.

Profitability

After reported cost of revenue, the company retained $2.59B as gross profit before recognizing operating expenses and other items. The gross-profit relationship equaled 37.9% of revenue, quantifying the portion retained before operating expenses were recognized. The reported operating result was $1.07B, capturing profitability after direct costs and the operating expenses reflected in the statements. The operating result equaled 15.7% of revenue, placing the absolute operating-income figure in the context of the company’s sales base. After all reported below-operating-line items, the company recorded net income of $789.40M for the fiscal year. Net margin was 11.5%, meaning that this portion of revenue remained as net income after all recognized expenses. The reported income-tax provision was $195.80M, the amount recognized between pretax income and the final net-income result. The relationship between net income and period-end equity was 13.7%, indicating the profitability achieved on book capital. Net income represented 6.0% of period-end assets, placing the company’s bottom-line result against the total resource base employed.

Liquidity and Capital Structure

The company held $13.20B of assets against $7.43B of liabilities and $5.77B of equity, revealing how the asset base was financed. At period end, current assets of $2.14B compared with current liabilities of $3.06B, defining the company’s short-term resource position. Current assets covered only 0.7x of current liabilities, so current liabilities exceeded current assets at period end. The company held $95.90M in cash and equivalents, a narrower liquidity measure than total current assets. Measured only with cash and equivalents, coverage of current liabilities was 3.1%, excluding receivables and other current assets. The company carried $3.61B of total debt at period end, which frames its leverage and debt-service burden. The debt-to-equity relationship was 0.63x, showing how much debt the company carried for each unit of book equity. Debt represented 27.4% of total assets, placing borrowing in the context of the company’s full resource base. Liabilities represented 56.3% of total assets, quantifying the liability-funded share of the company’s resource base. Measured against total assets, cash and equivalents represented 0.7%, a balance-sheet composition measure rather than a liquidity forecast. The asset base changed 1.0% from $13.07B in fiscal 2024, leaving current total assets higher year over year.

Cash Flow and Earnings Quality

The company reported $962.20M of operating cash flow, a cash inflow that shows the cash generated by operations. The operating-cash-flow-to-net-income relationship was 1.22x, comparing cash generated by operations with the bottom-line earnings result. Capital expenditures used $221.80M, identifying the reported investment outflow deducted from operating cash flow in the free-cash-flow calculation. Capital spending absorbed 23.1% of operating cash flow, quantifying the share of cash from operations directed to investment. Free cash flow came to $740.40M, leaving a positive amount after capital expenditures. Relative to revenue, free cash flow equaled 10.8%, showing how much sales converted into cash after investment. The free-cash-flow-to-assets relationship was 5.6%, comparing post-investment cash with the balance-sheet asset base.

Based on the annual report for the fiscal year ending Nov 30, 2025. Analysis generated Oct 21, 2026.