Twin Disc Inc key statistics and ratios

In fiscal 2026, Twin Disc Inc had return on equity of 13.0%, an operating margin of 4.7%, debt equal to 13.6% of equity and a current ratio of 2.35. Each ratio below is calculated from the figures on its income statement, balance sheet and cash flow pages.

Financial ratios

US$ thousands unless shown otherwise. Fiscal years, plus the last twelve months (LTM) when newer.

Twin Disc Inc: financial ratios, annual
Fiscal year	2010Jun 2010	2011Jun 2011	2012Jun 2012	2013Jun 2013	2014Jun 2014	2015Jun 2015	2016Jun 2016	2017Jun 2017	2018Jun 2018	2019Jun 2019	2020Jun 2020	2021Jun 2021	2022Jun 2022	2023Jun 2023	2024Jun 2024	2025Jun 2025	2026Jun 2026
Gross margin	26.6%	34.7%	34.2%	28.1%	29.3%	31.2%	24.4%	28.7%	33.5%	29.6%	22.6%	23.3%	28.3%	26.8%	28.2%	27.6%	26.9%
Operating margin	1.4%	11.2%	12.6%	3.5%	3.4%	5.8%	−14.8%	−5.3%	6.7%	6.1%	−16.3%	−5.6%	4.5%	5.8%	3.9%	3.3%	4.7%
Net margin	0.3%	5.8%	7.5%	1.4%	1.4%	4.2%	−7.9%	−3.7%	4.0%	3.5%	−16.1%	−13.6%	4.3%	3.7%	3.7%	−0.2%	7.1%
Free-cash-flow margin	13.5%	0.6%	0.2%	6.3%	7.0%	3.0%	−0.5%	0.0%	0.1%	−5.8%	−0.6%	0.9%	−5.4%	5.4%	8.5%	2.6%	2.4%
Return on equity	0.7%	15.9%	19.6%	2.8%	2.5%	7.7%	−10.2%	−5.3%	7.2%	6.6%	−24.8%	−22.0%	8.0%	7.5%	7.3%	−0.4%	13.0%
Return on assets	—	5.8%	8.7%	1.3%	1.3%	4.3%	−5.7%	−3.0%	4.2%	4.0%	−13.5%	−10.4%	3.8%	3.7%	3.7%	−0.2%	6.9%
Asset turnover	—	1.00	1.16	0.97	0.96	1.03	0.72	0.79	1.06	1.13	0.84	0.77	0.88	0.98	0.98	0.97	0.97
Current ratio	—	2.32	2.96	2.97	3.16	2.98	3.46	2.91	2.55	2.69	2.61	2.44	2.52	2.19	2.21	2.22	2.35
Debt to equity	0.0%	21.7%	23.7%	19.1%	12.1%	9.9%	7.3%	5.1%	3.4%	23.3%	30.6%	24.6%	27.9%	12.8%	16.7%	16.0%	13.6%
Interest cover (operating income ÷ interest)	1.4x	20.2x	30.4x	7.0x	9.5x	25.6x	n/m	n/m	57.3x	9.6x	n/m	n/m	5.2x	7.1x	8.0x	4.2x	5.8x
Effective tax rate	57.6%	43.4%	39.8%	54.0%	52.2%	28.4%	—	—	33.1%	25.6%	—	—	14.5%	26.2%	26.8%	—	—
R&D as % of revenue	1.0%	0.8%	0.7%	1.1%	1.1%	0.9%	1.1%	0.9%	0.7%	0.8%	0.7%	0.9%	0.6%	0.9%	0.9%	0.8%	0.7%
SG&A as % of revenue	—	—	20.5%	23.8%	25.5%	24.2%	34.3%	31.4%	25.4%	23.6%	25.6%	25.5%	24.7%	22.5%	24.3%	24.2%	22.2%
Capital spending as % of revenue	2.0%	3.9%	3.9%	2.3%	2.7%	3.4%	2.5%	1.9%	2.6%	4.0%	4.3%	2.0%	1.9%	2.9%	3.0%	4.4%	3.6%
Free cash flow ÷ net income	>999%	10.2%	2.7%	460.9%	507.8%	71.7%	—	—	1.9%	−163.4%	—	—	−124.6%	144.3%	227.6%	—	33.9%
Dividends ÷ net income	524.8%	19.0%	14.5%	105.0%	111.4%	36.3%	—	—	—	—	—	—	—	0.0%	15.4%	—	8.4%
Dividends and buybacks ÷ free cash flow	10.2%	186.2%	887.6%	39.9%	21.9%	50.7%	—	—	—	—	—	—	—	0.0%	6.8%	25.9%	24.9%

US$ thousands unless shown otherwise. Fiscal quarters.

Twin Disc Inc: financial ratios, quarterly
Quarter	2025 Q1Sept 2024	2025 Q2Dec 2024	2025 Q3Mar 2025	2025 Q4Jun 2025	2026 Q1Sept 2025	2026 Q2Dec 2025	2026 Q3Mar 2026	2026 Q4Jun 2026
Gross margin	26.5%	24.1%	26.7%	32.3%	28.7%	24.8%	28.1%	26.3%
Operating margin	−0.2%	3.1%	2.4%	2.1%	2.8%	2.3%	1.6%	6.8%
Net margin	−3.8%	1.0%	−1.8%	2.7%	−0.6%	16.5%	3.4%	8.2%
Free-cash-flow margin	−9.2%	6.5%	1.1%	9.0%	−13.7%	1.4%	1.8%	15.0%
Current ratio	2.23	2.11	2.11	2.22	2.08	2.12	2.09	2.35
Debt to equity	18.9%	16.9%	27.3%	16.0%	27.3%	24.1%	24.3%	13.6%
SG&A as % of revenue	26.7%	21.0%	24.3%	25.1%	25.9%	22.9%	22.0%	19.1%

Returns use average equity or assets over the year. Return on equity is left blank when equity is negative or so small that the ratio says nothing (above ±200%); interest cover is left blank above 200 times. Price-based ratios such as P/E are on the valuation page.

Financial health

5 of 6 checks passed · June 30, 2026

What it owns · $401m

Short-term assets $278mLonger-term assets $123m

What it owes, and who funded it · $401m

Short-term liabilities $119mLonger-term liabilities $63mShareholders' equity $220m

Short-term assets cover short-term liabilities $278m of assets due within a year against $119m of liabilities due within a year.
Short-term assets cover long-term liabilities $278m short-term assets against $63m of longer-dated liabilities.
More cash than debt Cash or debt not separately reported. Not assessable.
Debt below 40% of shareholders' equity Debt is 14% of equity.
Debt burden no higher than five years ago Debt to equity moved from 18% to 14% over five years.
A year's operating cash flow covers at least 20% of debt $23m of operating cash flow against $30m of debt.
Operating profit covers interest at least five times over Operating income of $14m against $3m of interest.

From Twin Disc Inc's latest balance sheet as filed. Checks are fixed, documented rules (methodology), counted only where the company reports the figures — a dot means the filing doesn't break the item out. Descriptions of reported data, not advice.

Moat

25 /100

Weak moat

How hard Twin Disc's competitive advantage looks for rivals to wear away, judged from 10 years of its own filings: returns on capital, pricing power, profit durability, cash conversion and discipline.

Returns on capital 0 / 20

Cash operating profit has been a median 1.9% of total assets over 10 years.
Pricing power 9 / 20

Gross margin has been a median 27.9%, moving by 2.9 percentage points (standard deviation) across 10 years.
Durability 0 / 20

Operating margin has been a median 3.7%; its worst year was -16.3%.
Cash conversion 7 / 20

Free cash flow was positive in 7 of 10 years, at a median 0.5% of revenue.
Discipline 9 / 20

The diluted share count rose 9.2% over five years.

AI disruption exposure: Low. In this industry, the business rests on physical assets, regulated networks or products AI itself depends on.

A rules-based reading of reported figures, not a forecast and not investment advice. How the score is built: methodology.

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Figures from Twin Disc Inc's SEC filings (10-K and 10-Q), retrieved October 29, 2026. How we read and check them: methodology and data sources. Not investment advice. Back to Twin Disc Inc.