VSECVSE Corporation
Is the business good?
The checks split: nothing decisive, though thin cash backing (0.3×).
Operating profit outpaces operating cash flow, watch accruals and working capital. Conversion is worsening vs a year ago.
Profits are tracking sales roughly one-for-one, limited operating leverage either way.
A balanced mix of margins, efficiency, and leverage. ROE 2% = margin × turnover × leverage.
Unless marked, from derived.
Against the whole market›
Percentile against every name Ryufin tracks. Higher is better; the tick marks the middle of the market. Context, not one of the checks above.
Where this answer is blind. The F-score rewards improvement, so an already-elite company can score mid-pack.
How good a business is VSEC?
VSE Corporation earns 2.6% on the capital it employs against a 9.0% cost of capital, so growth costs more than it returns.
Return on invested capital · cost of capital 9.0% · 6.4 points below what the capital costs: growth destroys value
- Operating margin
- 9.2%
Operating margin · Aerospace & Defense median 9.6% · 12 months to Q2 2026
- Cash conversion
- 0.29×
Cash conversion · 0.43× a year ago · the operating profit has not turned into cash yet
- Share count, year on year
- +51%
Share count, year on year · shareholders own a smaller slice than a year ago
| Year | Operating margin |
|---|---|
| FY2020 | 2.1% |
| FY2021 | −0.56% |
| FY2022 | 8.0% |
| FY2023 | 9.2% |
| FY2024 | 7.5% |
| FY2025 | 8.1% |
Details›
- Operating margin12 months to Q2 2026
- 9.2%
- Net margin12 months to Q2 2026
- 5.5%
- Free cash flow margin
- −0.08%
- Revenue, trailing twelve months
- $1.36B
- Free cash flow, trailing twelve months
- −$1.1M
- Net income, trailing twelve months
- $75M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 2.6%
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 VSEC and who it buys from, as the companies report it.
- Customer 120%
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; VSEC’s own figures are from its FY2025 10-K. Smaller customers and suppliers go unreported.
Aerospace & Defense
Ranks #24 of 35 by RyuScore