RTO
Rentokil Initial plc (RTO)
Last Price$23.01.3%
Market Cap$11.6B
LTM Rule of 40 (EBIT margin)
82.3%
5Y avg
25.5%
Specialty Business Services industry median
6.0%
Stock quality & Intrinsic value
7/10
1.8% undervalued

Rentokil Initial plc Rule of 40 (EBIT margin)

Annual
Quarterly
LTM
Industry median
Company stand-alone
RTO
Industrials
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Dec'04Dec'05Dec'06Dec'07Dec'08Dec'09Dec'10Dec'11Dec'12Dec'13Dec'14Dec'15Dec'16Dec'17Dec'18Dec'19Dec'20Dec'21Dec'22Dec'23
Rule of 40 (EBIT margin)
0.0%
0.7%
9.4%
29.2%
12.8%
9.7%
1.1%
1.5%
5.8%
(1.2%)
(12.8%)
13.4%
35.1%
24.3%
13.9%
17.8%
15.0%
18.3%
39.1%
56.4%
RTO
Key metrics and insights to make informed decisions.
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Rentokil Initial plc (RTO) Rule of 40 (EBIT margin) comparison analysis

RTO key stats

USD
GBP
Millions
Billions
Annual
Quarterly
Trailing
Key stats
Income statement
Balance sheet
Cash Flow Statement
Valuation
Ratios
Per share
Per employee
Dividends & Yields
Dec'04Dec'05Dec'06Dec'07Dec'08Dec'09Dec'10Dec'11Dec'12Dec'13Dec'14Dec'15Dec'16Dec'17Dec'18Dec'19Dec'20Dec'21Dec'22Dec'23
% growth
3,998.5
0.0%
3,431.4
(14.2%)
3,396.1
(1.0%)
4,410.5
29.9%
4,465.1
1.2%
3,963.7
(11.2%)
3,859.3
(2.6%)
4,079.7
5.7%
4,035.8
(1.1%)
3,642.0
(9.8%)
2,867.7
(21.3%)
2,688.3
(6.3%)
2,939.8
9.4%
3,107.7
5.7%
3,299.9
6.2%
3,416.0
3.5%
3,581.1
4.8%
4,062.4
13.4%
4,594.8
13.1%
6,683.7
45.5%
Cost of Goods Sold (COGS)0.00.00.00.00.00.00.00.00.0433.8490.1474.1510.0611.8686.32,679.32,742.73,079.33,386.11,152.7
% margin
3,998.5
100.0%
3,431.4
100.0%
3,396.1
100.0%
4,410.5
100.0%
4,465.1
100.0%
3,963.7
100.0%
3,859.3
100.0%
4,079.7
100.0%
4,035.8
100.0%
3,208.2
88.1%
2,377.7
82.9%
2,214.2
82.4%
2,429.9
82.7%
2,495.9
80.3%
2,613.5
79.2%
736.8
21.6%
838.3
23.4%
983.0
24.2%
1,208.7
26.3%
5,531.0
82.8%
Operating Expenses3,464.02,899.83,035.14,017.24,281.13,761.83,601.53,859.43,804.73,373.92,036.81,911.92,094.41,522.72,705.2411.7451.9479.4592.64,753.8
Research & Development Expenses (R&D)5.35.55.23.43.12.72.93.20.02.82.60.00.00.00.00.00.06.96.20.0
Selling, General & Administrative Expenses (SG&A)0.00.00.00.00.00.00.00.00.05.21,541.41,475.91,623.91,712.91,820.6411.7451.9479.4592.63,568.8
565.5
14.1%
491.6
14.3%
395.2
11.6%
424.2
9.6%
152.1
3.4%
186.8
4.7%
95.1
2.5%
(16.4)
(0.4%)
231.1
5.7%
268.1
7.4%
355.5
12.4%
331.3
12.3%
348.9
11.9%
406.4
13.1%
377.9
11.5%
325.1
9.5%
386.4
10.8%
503.6
12.4%
616.1
13.4%
777.2
11.6%
Interest Income113.5108.525.434.069.518.36.59.5114.824.672.059.352.753.860.65.23.01.16.231.1
Interest Expense211.7211.7130.4174.1166.923.012.28.8173.9110.690.858.552.244.847.548.851.745.891.5235.0
Pre-tax Income470.5395.7304.7284.242.2101.822.4(81.0)131.1191.9268.9243.0282.7919.3(152.3)412.7284.4436.0355.1613.0
% effective tax rate
127.9
27.2%
108.1
27.3%
61.4
20.1%
60.7
21.3%
11.9
28.1%
25.2
24.8%
53.8
240.0%
26.6
(32.9%)
46.0
35.1%
49.1
25.6%
61.1
22.7%
53.0
21.8%
55.2
19.5%
39.4
4.3%
21.1
(13.8%)
69.8
16.9%
55.8
19.6%
85.1
19.5%
79.2
22.3%
139.3
22.7%
% margin
349.0
8.7%
585.2
17.1%
451.6
13.3%
1,313.7
29.8%
34.8
0.8%
74.6
1.9%
(36.2)
(0.9%)
(111.8)
(2.7%)
81.5
2.0%
58.7
1.6%
207.7
7.2%
190.0
7.1%
227.1
7.7%
879.6
28.3%
(131.2)
(4.0%)
362.3
10.6%
238.8
6.7%
361.7
8.9%
287.0
6.2%
473.8
7.1%
EPS0.971.621.253.640.100.20(0.02)(0.06)0.220.160.110.100.120.48(0.07)0.190.130.190.150.19
Diluted EPS0.971.621.253.640.100.20(0.02)(0.06)0.220.160.110.100.120.48(0.07)0.190.130.190.150.19
% margin
934.5
23.4%
839.8
24.5%
736.3
21.7%
845.5
19.2%
657.4
14.7%
619.1
15.6%
667.8
17.3%
737.8
18.1%
622.6
15.4%
649.0
17.8%
676.1
23.6%
624.6
23.2%
663.1
22.6%
648.2
20.9%
199.9
6.1%
741.1
21.7%
745.9
20.8%
902.2
22.2%
948.9
20.7%
1,438.7
21.5%

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FAQ

1) What is Rentokil Initial plc's Rule of 40 (EBIT margin)?

As of today, Microsoft Corp's last 12-month Rule of 40 (EBIT margin) is 82.3%, based on the financial report for Jun 30, 2024 (Q2’2024). The average annual Rule of 40 (EBIT margin) for Rentokil Initial plc have been 37.5% over the past three years, and 26.8% over the past five years.

2) Is Rentokil Initial plc's Rule of 40 (EBIT margin) Good?

As of today, Rentokil Initial plc's Rule of 40 (EBIT margin) is 82.3%, which is higher than industry median of 6.0%. It indicates that Rentokil Initial plc's Rule of 40 (EBIT margin) is Good.

3) How does Rentokil Initial plc's Rule of 40 (EBIT margin) compare to its peers?

As of today, Rentokil Initial plc's Rule of 40 (EBIT margin) is 82.3%, which is higher than peer median of 23.4%. The list of peers includes FA, TRI, RBA, CTAS, GPN, CBZ, MMS, UNF, ABM, ARMK.