Message Font: Serif | Sans-Serif
 
No. of Recommendations: 0
Operating earnings are always greater than net earnings.

That's not necessarily always the case.



True. I should have written: "Operating earnings are almost always greater than net earnings."

Other than the example you cite (Sirius) after randomly reviewing the 10-year financials of 30 to 40 companies I only found one example where a company's net earnings exceeded operating earnings in any given year, and then only by a few cents. So really, a needle in a haystack.

I'm not sure how a discussion about how Air Products covers its dividend took a detour to UPS and a one-time pension liability… ? UPS's dividend is (still) more than adequately covered by its free cash-flow, unlike Air Products & Chemicals'.

kelbon
Print the post  

Announcements

When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.