QUADQuad/Graphics, Inc.
Is the business good?
The checks split: earnings fully cash-backed (1.3×) and margins widening, but returns that lean on debt.
Operating profit is fully backed by cash. Conversion is worsening vs a year ago.
Operating margin has widened over the past few years, the business is getting more profitable per dollar of sales.
Leverage-amplified, a high assets-to-equity ratio does much of the work. ROE 22% = margin × turnover × leverage.
Unless marked, from derived.
Where this answer is blind. The F-score rewards improvement, so an already-elite company can score mid-pack.
How good a business is QUAD?
Quad/Graphics, Inc. earns 15% on the capital it employs against a 9.0% cost of capital, so the business is worth more the bigger it gets.
Return on invested capital · cost of capital 9.0% · 5.7 points above what the capital costs: growth creates value
- Operating margin
- 4.0%
Operating margin · Specialty Business Services median 6.8% · 12 months to Q2 2026
- Cash conversion
- 1.27×
Cash conversion · 3.15× a year ago · operating cash flow covers the operating profit after tax
- Share count, year on year
- +5.0%
Share count, year on year · shareholders own a smaller slice than a year ago
| Year | Operating margin |
|---|---|
| FY2020 | −1.6% |
| FY2021 | 3.1% |
| FY2022 | 1.7% |
| FY2023 | 0.87% |
| FY2024 | 0.72% |
| FY2025 | 4.0% |
Details›
- Gross margin12 months to Q2 2026
- 22%
- Operating margin12 months to Q2 2026
- 4.0%
- Net margin12 months to Q2 2026
- 1.3%
- Free cash flow margin
- 2.1%
- Revenue, trailing twelve months
- $2.38B
- Free cash flow, trailing twelve months
- $50M
- Net income, trailing twelve months
- $31M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 15%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion is operating cash flow over operating profit after tax.
Customers and suppliers
Who buys from QUAD and who it buys from, as the companies report it.
- 10 largest clients21%
Combined share of revenue · FY2025 10-K
None disclosed.
A company has to disclose every customer behind 10% or more of its revenue. Each share comes from the latest annual report of the company that states it and shows on both companies’ pages; QUAD’s own figures are from its FY2025 10-K. Smaller customers and suppliers go unreported.
Specialty Business Services
Ranks #6 of 21 by RyuScore