The Toro Company (TTC) 10-Year Financial Performance & Capital Metrics

TTC • • Industrial / General

IndustrialsTools & AccessoriesPower Tools & EquipmentProfessional Tool Systems

AboutThe Toro Company engages in the designing, manufacturing, marketing, and selling professional and residential equipment worldwide. The company's Professional segment offers turf and landscape equipment products, including sports fields and grounds mowing and maintenance equipment, golf course mowing and maintenance equipment, landscape contractor mowing equipment, landscape creation and renovation equipment, and other maintenance equipment; rental, specialty, and underground construction equipment; and snow and ice management equipment, such as snowplows, brush, snow thrower attachment, salt and sand spreaders, and related parts and accessories for light and medium duty trucks, utility task vehicles, skid steers, and front-end loaders. It also provides irrigation and lighting products that consist of sprinkler heads, electric and hydraulic valves, controllers, computer irrigation central control systems, coupling systems, and ag-irrigation drip tape and hose products, as well as professionally installed landscape lighting products offered through distributors and landscape contractors. This segment sells its products primarily through a network of distributors and dealers to professional users engaged in maintaining golf courses, sports fields, municipal properties, agricultural fields, residential and commercial landscapes, and removing snow and ice, as well as directly to government customers, rental companies, and retailers. Its Residential segment provides walk power mowers, zero-turn riding mowers, snow throwers, replacement parts, and home solution products that include grass and hedge trimmers, leaf blowers, blower-vacuums, chainsaws, string trimmers, hoses, and hose-end retail irrigation products. This segment sells its products to homeowners through a network of distributors and dealers; and home centers, hardware retailers, and mass retailers, as well as online. The Toro Company was founded in 1914 and is headquartered in Bloomington, Minnesota.Show more

Revenue $4.58B +0.7%
EBITDA $662M +20.3%
Net Income $419M +27.1%
EPS (Diluted) 4.01 +28.1%
Gross Margin 33.8% -2.4%
EBITDA Margin 14.43% +19.5%
Operating Margin 11.63% +23.0%
Net Margin 9.14% +26.2%
ROE 27.35% +18.8%
ROIC 16.41% +19.8%
Debt/Equity 0.67 -12.8%
Interest Coverage 8.62 +17.4%

Technical Analysis

Key Insights

Based on financial data analysis

✓Strengths

✓Excellent 3Y average ROE of 28.6%
✓Strong Piotroski F-Score: 7/9
✓21 consecutive years of dividend growth
✓High quality earnings: Operating CF exceeds net income
✓Trading near 52-week high
✓Efficient asset utilization: 1.3x turnover

✗Weaknesses

No significant weaknesses identified

Price & Volume

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Growth Metrics

Revenue CAGR

10Y7.75%

5Y7.87%

3Y5%

TTM0.65%

Profit (Net Income) CAGR

10Y9.19%

5Y8.86%

3Y0.73%

TTM-16.61%

EPS CAGR

10Y10.26%

5Y9.65%

3Y1.99%

TTM-13.61%

ROCE

10Y Avg28.54%

5Y Avg22.43%

3Y Avg20.78%

Latest20.11%

Peer Comparison

Professional Tool Systems

Name	Market Cap	Current Price	P/E Ratio	Revenue Growth 1Y	Net Margin	ROE	FCF Yield	Debt/Equity
HLMNHillman Solutions Corp.	1.97B	9.97	110.78	-0.26%	2.44%	3.05%	4.99%	0.67
SWKStanley Black & Decker, Inc.	13.07B	84.40	43.28	-2.63%	2.89%	4.89%	5.76%	0.76
TTCThe Toro Company	8.77B	89.57	22.34	0.67%	7.37%	23.6%	5.32%	0.67
SNASnap-on Incorporated	18.9B	363.45	18.63	0%	19.83%	17.36%	6%	0.24

Profit & Loss

	Oct 2015	Oct 2016	Oct 2017	Oct 2018	Oct 2019	Oct 2020	Oct 2021	Oct 2022	Oct 2023	Oct 2024
Sales/Revenue+	2.39B	2.39B	2.51B	2.62B	3.14B	3.38B	3.96B	4.51B	4.55B	4.58B
Revenue Growth %	0.1%	0%	0.05%	0.05%	0.2%	0.08%	0.17%	0.14%	0.01%	0.01%
Cost of Goods Sold+	1.55B	1.52B	1.58B	1.68B	2.09B	2.19B	2.62B	3.01B	2.98B	3.03B
COGS % of Revenue	0.65%	0.63%	0.63%	0.64%	0.67%	0.65%	0.66%	0.67%	0.65%	0.66%
Gross Profit+	835.93M	874.6M	920.84M	941.01M	1.05B	1.19B	1.34B	1.5B	1.58B	1.55B
Gross Margin %	0.35%	0.37%	0.37%	0.36%	0.33%	0.35%	0.34%	0.33%	0.35%	0.34%
Gross Profit Growth %	0.08%	0.05%	0.05%	0.02%	0.11%	0.14%	0.13%	0.12%	0.05%	-0.02%
Operating Expenses+	536.82M	540.2M	565.73M	567.93M	722.93M	763.42M	820.2M	928.9M	1.15B	1.02B
OpEx % of Revenue	0.22%	0.23%	0.23%	0.22%	0.23%	0.23%	0.21%	0.21%	0.25%	0.22%
Selling, General & Admin	536.82M	540.2M	565.73M	567.93M	722.93M	763.42M	820.2M	928.9M	995.6M	842.5M
SG&A % of Revenue	0.22%	0.23%	0.23%	0.22%	0.23%	0.23%	0.21%	0.21%	0.22%	0.18%
Research & Development	0	0	0	0	0	0	0	0	0	173.1M
R&D % of Revenue	-	-	-	-	-	-	-	-	-	0.04%
Other Operating Expenses	0	0	0	0	0	0	0	0	151.3M	400K
Operating Income+	299.11M	334.4M	355.11M	373.08M	325.03M	426.36M	518.3M	575.7M	430.7M	533.3M
Operating Margin %	0.13%	0.14%	0.14%	0.14%	0.1%	0.13%	0.13%	0.13%	0.09%	0.12%
Operating Income Growth %	0.14%	0.12%	0.06%	0.05%	-0.13%	0.31%	0.22%	0.11%	-0.25%	0.24%
EBITDA+	362.26M	398.49M	420.1M	434.36M	412.73M	521.97M	617.6M	684.5M	549.9M	661.5M
EBITDA Margin %	0.15%	0.17%	0.17%	0.17%	0.13%	0.15%	0.16%	0.15%	0.12%	0.14%
EBITDA Growth %	0.15%	0.1%	0.05%	0.03%	-0.05%	0.26%	0.18%	0.11%	-0.2%	0.2%
D&A (Non-Cash Add-back)	63.14M	64.1M	64.99M	61.28M	87.7M	95.61M	99.3M	108.8M	119.2M	128.2M
EBIT	309.79M	349.8M	372.3M	391.49M	350.97M	440.23M	528.5M	588.2M	459.2M	574.7M
Net Interest Income+	-18.26M	-18.51M	-17.75M	-16.63M	-26.08M	-31.9M	-28.7M	-35.7M	-58.7M	-61.9M
Interest Income	494K	827K	1.36M	2.46M	2.75M	1.25M	0	0	0	0
Interest Expense	18.76M	19.34M	19.11M	19.1M	28.84M	33.16M	28.7M	35.7M	58.7M	61.9M
Other Income/Expense	-8.08M	-3.94M	-1.93M	-688K	-2.9M	-19.29M	-18.5M	-23.2M	-30.2M	-20.5M
Pretax Income+	291.03M	330.46M	353.18M	372.4M	322.13M	407.07M	499.8M	552.5M	400.5M	512.8M
Pretax Margin %	0.12%	0.14%	0.14%	0.14%	0.1%	0.12%	0.13%	0.12%	0.09%	0.11%
Income Tax+	89.44M	99.47M	85.47M	100.46M	48.15M	77.37M	89.94M	109.2M	70.8M	93.9M
Effective Tax Rate %	0.69%	0.7%	0.76%	0.73%	0.85%	0.81%	0.82%	0.8%	0.82%	0.82%
Net Income+	201.59M	230.99M	267.72M	271.94M	273.98M	329.7M	409.9M	443.3M	329.7M	418.9M
Net Margin %	0.08%	0.1%	0.11%	0.1%	0.09%	0.1%	0.1%	0.1%	0.07%	0.09%
Net Income Growth %	0.16%	0.15%	0.16%	0.02%	0.01%	0.2%	0.24%	0.08%	-0.26%	0.27%
Net Income (Continuing)	201.59M	230.99M	267.72M	271.94M	273.98M	329.7M	409.9M	443.3M	329.7M	418.9M
Discontinued Operations	0	0	0	0	0	0	0	0	0	0
Minority Interest	0	0	0	0	0	0	0	0	0	0
EPS (Diluted)+	1.78	2.06	2.41	2.50	2.53	3.03	3.78	4.20	3.13	4.01
EPS Growth %	0.18%	0.16%	0.17%	0.04%	0.01%	0.2%	0.25%	0.11%	-0.25%	0.28%
EPS (Basic)	1.82	2.10	2.47	2.56	2.57	3.06	3.82	4.23	3.16	4.04
Diluted Shares Outstanding	113.51M	111.99M	111.25M	108.66M	108.09M	108.66M	108.47M	105.65M	105.3M	104.4M
Basic Shares Outstanding	111.13M	109.83M	108.31M	106.37M	106.77M	107.66M	107.34M	104.82M	104.4M	103.8M
Dividend Payout Ratio	0.28%	0.29%	0.28%	0.31%	0.35%	0.33%	0.27%	0.28%	0.43%	0.36%

Balance Sheet

	Oct 2015	Oct 2016	Oct 2017	Oct 2018	Oct 2019	Oct 2020	Oct 2021	Oct 2022	Oct 2023	Oct 2024
Total Current Assets+	710.68M	779.01M	859.89M	894.64M	1.12B	1.43B	1.49B	1.68B	1.8B	1.76B
Cash & Short-Term Investments	126.28M	273.56M	310.26M	289.12M	151.83M	479.89M	405.61M	188.25M	193.1M	199.5M
Cash Only	126.28M	273.56M	310.26M	289.12M	151.83M	479.89M	405.61M	188.25M	193.1M	199.5M
Short-Term Investments	0	0	0	0	0	0	0	0	0	0
Accounts Receivable	177.01M	163.26M	183.07M	193.18M	268.77M	261.13M	310.28M	332.7M	407.4M	459.7M
Days Sales Outstanding	27.02	24.91	26.67	26.93	31.26	28.21	28.6	26.9	32.66	36.61
Inventory	334.51M	307.03M	328.99M	358.26M	651.66M	652.43M	738.17M	1.05B	1.09B	1.04B
Days Inventory Outstanding	78.52	73.85	75.79	77.95	113.8	108.79	102.79	127.46	133.43	124.96
Other Current Assets	34.78M	35.16M	37.56M	54.08M	0	0	35.12M	33.09M	110.5M	66.8M
Total Non-Current Assets+	592.98M	608.51M	633.9M	676.35M	1.21B	1.43B	1.45B	1.88B	1.85B	1.82B
Property, Plant & Equipment	225M	222.04M	235.23M	271.46M	437.32M	546.67M	554.72M	647.78M	767M	759.3M
Fixed Asset Turnover	10.63x	10.77x	10.65x	9.65x	7.18x	6.18x	7.14x	6.97x	5.94x	6.04x
Goodwill	195.53M	194.78M	205.03M	225.29M	362.25M	424.07M	421.68M	583.3M	450.8M	450.3M
Intangible Assets	119.01M	108.09M	103.74M	105.65M	352.37M	408.31M	420.04M	585.83M	540.1M	498.7M
Long-Term Investments	-24.87M	-26.37M	-25.82M	-35.7M	-49.46M	19.75M	20.67M	39.35M	50.6M	49.2M
Other Non-Current Assets	24.87M	26.37M	25.82M	35.7M	49.46M	20.32M	24.04M	19.08M	22.8M	15.4M
Total Assets+	1.3B	1.39B	1.49B	1.57B	2.33B	2.85B	2.94B	3.56B	3.64B	3.58B
Asset Turnover	1.83x	1.72x	1.68x	1.67x	1.35x	1.18x	1.35x	1.27x	1.25x	1.28x
Asset Growth %	0.09%	0.06%	0.08%	0.05%	0.48%	0.22%	0.03%	0.21%	0.02%	-0.02%
Total Current Liabilities+	443.73M	463.84M	521.8M	532.63M	756.97M	855.8M	937.02M	1.06B	948.6M	976M
Accounts Payable	152.02M	174.67M	211.75M	256.57M	319.23M	363.95M	503.12M	578.7M	430M	452.7M
Days Payables Outstanding	35.68	42.01	48.78	55.82	55.75	60.69	70.06	70.17	52.75	54.45
Short-Term Debt	23.36M	22.48M	26.26M	0	79.91M	99.87M	0	0	0	10M
Deferred Revenue (Current)	1000K	1000K	1000K	1000K	0	0	0	0	0	0
Other Current Liabilities	72.58M	73.92M	76.42M	76.23M	96.61M	109.61M	118.92M	101.41M	400.4M	58.6M
Current Ratio	1.60x	1.68x	1.65x	1.68x	1.48x	1.67x	1.59x	1.58x	1.90x	1.81x
Quick Ratio	0.85x	1.02x	1.02x	1.01x	0.62x	0.91x	0.80x	0.59x	0.75x	0.74x
Cash Conversion Cycle	69.86	56.75	53.68	49.05	89.31	76.31	61.33	84.18	113.35	107.12
Total Non-Current Liabilities+	397.76M	373.64M	354.9M	369.43M	714M	882.6M	847.99M	1.14B	1.18B	1.05B
Long-Term Debt	354.82M	328.48M	305.63M	312.55M	620.9M	691.25M	691.24M	990.8M	1.03B	911.8M
Capital Lease Obligations	0	0	0	0	0	66.64M	55.75M	63.6M	112.1M	99.1M
Deferred Tax Liabilities	7K	0	1.73M	1.4M	50.58M	70.44M	50.4M	44.27M	400K	500K
Other Non-Current Liabilities	31.57M	30.39M	22.78M	30.58M	42.52M	54.28M	50.6M	41.98M	40.8M	13.9M
Total Liabilities	841.49M	837.48M	876.7M	902.07M	1.47B	1.74B	1.79B	2.2B	2.13B	2.03B
Total Debt+	378.17M	353.91M	331.89M	312.55M	700.81M	873.21M	761.28M	1.07B	1.16B	1.04B
Net Debt	251.9M	80.35M	21.63M	23.43M	548.99M	393.32M	355.67M	881.87M	970M	841.7M
Debt / Equity	0.82x	0.64x	0.54x	0.47x	0.82x	0.78x	0.66x	0.79x	0.77x	0.67x
Debt / EBITDA	1.04x	0.89x	0.79x	0.72x	1.70x	1.67x	1.23x	1.56x	2.12x	1.57x
Net Debt / EBITDA	0.70x	0.20x	0.05x	0.05x	1.33x	0.75x	0.58x	1.29x	1.76x	1.27x
Interest Coverage	15.95x	17.29x	18.58x	19.54x	11.27x	12.86x	18.06x	16.13x	7.34x	8.62x
Total Equity+	462.17M	550.03M	617.09M	668.92M	859.58M	1.11B	1.15B	1.35B	1.51B	1.55B
Equity Growth %	0.13%	0.19%	0.12%	0.08%	0.29%	0.3%	0.03%	0.17%	0.12%	0.03%
Book Value per Share	4.07	4.91	5.55	6.16	7.95	10.26	10.61	12.79	14.35	14.86
Total Shareholders' Equity	462.17M	550.03M	617.09M	668.92M	859.58M	1.11B	1.15B	1.35B	1.51B	1.55B
Common Stock	54.65M	108.43M	106.88M	105.6M	106.74M	107.58M	105.21M	103.97M	103.8M	101.5M
Retained Earnings	437.36M	480.04M	534.33M	587.25M	784.88M	1.04B	1.07B	1.28B	1.44B	1.5B
Treasury Stock	0	0	0	0	0	0	0	0	0	0
Accumulated OCI	-29.84M	-38.44M	-24.12M	-23.94M	-32.05M	-34.26M	-26M	-33.13M	-37M	-46M
Minority Interest	0	0	0	0	0	0	0	0	0	0

Cash Flow

	Oct 2015	Oct 2016	Oct 2017	Oct 2018	Oct 2019	Oct 2020	Oct 2021	Oct 2022	Oct 2023	Oct 2024
Cash from Operations+	249.59M	384.29M	360.75M	364.81M	337.37M	539.37M	555.5M	297.2M	306.8M	569.9M
Operating CF Margin %	0.1%	0.16%	0.14%	0.14%	0.11%	0.16%	0.14%	0.07%	0.07%	0.12%
Operating CF Growth %	0.37%	0.54%	-0.06%	0.01%	-0.08%	0.6%	0.03%	-0.46%	0.03%	0.86%
Net Income	201.59M	230.99M	267.72M	271.94M	273.98M	329.7M	409.9M	443.3M	329.7M	418.9M
Depreciation & Amortization	63.14M	64.1M	64.99M	61.28M	87.7M	95.61M	99.3M	108.8M	119.2M	128.2M
Stock-Based Compensation	10.84M	10.64M	13.52M	12.16M	13.43M	15.41M	21.8M	22.1M	19.4M	23M
Deferred Taxes	200K	10.07M	-6.89M	25.25M	-6.19M	2.27M	-22.9M	-12.3M	-47.9M	-27.9M
Other Non-Cash Items	-4.22M	-204K	-1.71M	-1.41M	44.12M	8.85M	-400K	-18.8M	139.8M	-1.5M
Working Capital Changes	-21.96M	68.69M	23.12M	-4.42M	-75.67M	87.53M	47.8M	-245.9M	-253.4M	29.2M
Change in Receivables	-25.65M	15.79M	-17.7M	-10.37M	-11.04M	15.21M	-52.3M	-19.3M	-71.6M	-53.1M
Change in Inventory	-52.66M	23.19M	-15.61M	-29.77M	-104.83M	20.96M	-98.3M	-285.9M	-26.7M	27.5M
Change in Payables	56.95M	30.61M	59.86M	47.46M	30.46M	39.54M	139.3M	66.3M	-149.9M	24.3M
Cash from Investing+	-254.52M	-48.91M	-83.76M	-127.92M	-772.94M	-216.08M	-128.5M	-548.3M	-157.7M	-59.7M
Capital Expenditures	-56.37M	-50.72M	-58.28M	-90.12M	-92.88M	-78.07M	-104M	-143.5M	-149.5M	-103.5M
CapEx % of Revenue	0.02%	0.02%	0.02%	0.03%	0.03%	0.02%	0.03%	0.03%	0.03%	0.02%
Acquisitions	-	-	-	-	-	-	-	-	-	-
Investments	-	-	-	-	-	-	-	-	-	-
Other Investing	179K	310K	199K	151K	4.67M	216K	-26.2M	-7M	7.5M	3.8M
Cash from Financing+	-181.82M	-182.93M	-245.27M	-252.07M	299.5M	2.35M	-503.7M	42.2M	-147.5M	-505.1M
Debt Issued (Net)	-	-	-	-	-	-	-	-	-	-
Equity Issued (Net)	-	-	-	-	-	-	-	-	-	-
Dividends Paid	-55.55M	-65.89M	-75.76M	-85.03M	-96.13M	-107.7M	-112.4M	-125.7M	-141.9M	-149.5M
Share Repurchases	-	-	-	-	-	-	-	-	-	-
Other Financing	8.2M	18.21M	8.98M	13.15M	26.67M	20.05M	11M	7.9M	14.4M	-100K
Net Change in Cash	-	-	-	-	-	-	-	-	-	-
Free Cash Flow+	193.22M	333.56M	302.47M	274.68M	244.49M	461.31M	451.5M	153.7M	157.3M	466.4M
FCF Margin %	0.08%	0.14%	0.12%	0.1%	0.08%	0.14%	0.11%	0.03%	0.03%	0.1%
FCF Growth %	0.74%	0.73%	-0.09%	-0.09%	-0.11%	0.89%	-0.02%	-0.66%	0.02%	1.97%
FCF per Share	1.70	2.98	2.72	2.53	2.26	4.25	4.16	1.45	1.49	4.47
FCF Conversion (FCF/Net Income)	1.24x	1.66x	1.35x	1.34x	1.23x	1.64x	1.36x	0.67x	0.93x	1.36x
Interest Paid	18.13M	19.88M	19.46M	19.98M	30.17M	34.11M	31.6M	30.5M	61.1M	63M
Taxes Paid	77.04M	82.22M	97.06M	75.81M	54.74M	69.52M	101.8M	120.5M	165.2M	91.7M

Key Ratios

Metric	2015	2016	2017	2018	2019	2020	2021	2022	2023	2024
Return on Equity (ROE)	46.3%	45.64%	45.88%	42.29%	35.85%	33.4%	36.18%	35.42%	23.04%	27.35%
Return on Invested Capital (ROIC)	37.94%	37.31%	41.97%	42.04%	23.21%	21.93%	25.79%	23.09%	13.7%	16.41%
Gross Margin	34.96%	36.56%	36.76%	35.94%	33.4%	35.21%	33.8%	33.33%	34.65%	33.8%
Net Margin	8.43%	9.66%	10.69%	10.38%	8.73%	9.76%	10.35%	9.82%	7.24%	9.14%
Debt / Equity	0.82x	0.64x	0.54x	0.47x	0.82x	0.78x	0.66x	0.79x	0.77x	0.67x
Interest Coverage	15.95x	17.29x	18.58x	19.54x	11.27x	12.86x	18.06x	16.13x	7.34x	8.62x
FCF Conversion	1.24x	1.66x	1.35x	1.34x	1.23x	1.64x	1.36x	0.67x	0.93x	1.36x
Revenue Growth	10.04%	0.05%	4.72%	4.53%	19.84%	7.67%	17.19%	14.02%	0.85%	0.67%

Revenue by Segment

	2015	2016	2017	2018	2019	2020	2021	2022	2023	2024
Equipment Products And Services	-	2B	2.06B	2.21B	2.75B	2.99B	3.52B	4.05B	4.07B	4.13B
Equipment Products And Services Growth	-	-	2.96%	7.27%	24.34%	8.64%	17.86%	15.07%	0.51%	1.60%
Irrigation	-	-	-	-	-	-	441.25M	466.1M	484M	449.6M
Irrigation Growth	-	-	-	-	-	-	-	5.63%	3.84%	-7.11%
Irrigation And Lighting	386.6M	391.02M	444.82M	408.6M	390.15M	393.51M	-	-	-	-
Irrigation And Lighting Growth	-	1.14%	13.76%	-8.14%	-4.52%	0.86%	-	-	-	-
Equipment	2B	-	-	-	-	-	-	-	-	-
Equipment Growth	-	-	-	-	-	-	-	-	-	-

Revenue by Geography

	2015	2016	2017	2018	2019	2020	2021	2022	2023	2024
UNITED STATES	-	-	1.89B	1.98B	2.41B	2.7B	3.13B	3.64B	3.61B	3.66B
UNITED STATES Growth	-	-	-	4.35%	22.15%	11.92%	15.97%	16.08%	-0.83%	1.53%
Non-US	-	-	-	-	724.93M	678.12M	827.63M	879.17M	947.7M	923M
Non-US Growth	-	-	-	-	-	-6.46%	22.05%	6.23%	7.80%	-2.61%
Foreign Countries	610.63M	579.59M	611.93M	643.09M	-	-	-	-	-	-
Foreign Countries Growth	-	-5.08%	5.58%	5.09%	-	-	-	-	-	-
U	1.78B	1.81B	-	-	-	-	-	-	-	-
U Growth	-	1.82%	-	-	-	-	-	-	-	-

Frequently Asked Questions

Valuation & Price

The Toro Company (TTC) has a price-to-earnings (P/E) ratio of 22.3x. This is roughly in line with market averages.

Growth & Financials

The Toro Company (TTC) reported $4.52B in revenue for fiscal year 2024. This represents a 140% increase from $1.88B in 2011.

The Toro Company (TTC) grew revenue by 0.7% over the past year. Growth has been modest.

Yes, The Toro Company (TTC) is profitable, generating $333.0M in net income for fiscal year 2024 (9.1% net margin).

Dividend & Returns

Yes, The Toro Company (TTC) pays a dividend with a yield of 1.60%. This makes it attractive for income-focused investors.

The Toro Company (TTC) has a return on equity (ROE) of 27.4%. This is excellent, indicating efficient use of shareholder capital.

The Toro Company (TTC) generated $492.1M in free cash flow for fiscal year 2024. Positive FCF indicates the company can fund dividends, buybacks, or reinvestment.

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