Telefonaktiebolaget LM Ericsson Class B (1ERICB) Ratios
Telefonaktiebolaget LM Ericsson Class B Ratios
IT:1ERICB's free cash flow for Q3 2026 was $5.62B. For the 2026 fiscal year, IT:1ERICB's free cash flow was decreased by $-847.00M and operating cash flow was $6.47B. See a summary of the company’s cash flow.
| Ratios | Dec 25 | Dec 24 | Dec 23 | Dec 22 | Dec 21 |
|---|---|---|---|---|---|
| Liquidity Ratios | |||||
| Current Ratio | 1.29 | 1.17 | 1.20 | 1.19 | 1.38 |
| Quick Ratio | 1.08 | 0.96 | 0.92 | 0.88 | 1.10 |
| Cash Ratio | 0.40 | 0.33 | 0.27 | 0.26 | 0.43 |
| Solvency Ratio | 0.22 | 0.05 | -0.08 | 0.13 | 0.15 |
| Operating Cash Flow Ratio | 0.30 | 0.35 | 0.06 | 0.21 | 0.31 |
| Short-Term Operating Cash Flow Coverage | 9.31 | 7.54 | 0.41 | 5.16 | 4.07 |
| Net Current Asset Value | $ -25.41B | $ -45.08B | $ -57.75B | $ -42.43B | $ -23.71B |
| Leverage Ratios | |||||
| Debt-to-Assets Ratio | 0.14 | 0.16 | 0.18 | 0.12 | 0.13 |
| Debt-to-Equity Ratio | 0.37 | 0.48 | 0.55 | 0.31 | 0.38 |
| Debt-to-Capital Ratio | 0.27 | 0.33 | 0.36 | 0.24 | 0.27 |
| Long-Term Debt-to-Capital Ratio | 0.21 | 0.25 | 0.23 | 0.17 | 0.17 |
| Financial Leverage Ratio | 2.55 | 3.10 | 3.14 | 2.59 | 2.81 |
| Debt Service Coverage Ratio | 6.17 | 1.44 | -0.60 | 3.80 | 2.83 |
| Interest Coverage Ratio | 10.73 | 1.76 | 0.02 | 15.07 | 18.25 |
| Debt to Market Cap | 0.11 | 0.13 | 0.22 | 0.16 | 0.10 |
| Interest Debt Per Share | 12.99 | 14.73 | 17.36 | 13.22 | 12.88 |
| Net Debt to EBITDA | -0.07 | 0.10 | -1.92 | 0.11 | -0.34 |
| Profitability Margins | |||||
| Gross Profit Margin | 48.14% | 44.12% | 39.64% | 41.72% | 43.37% |
| EBIT Margin | 17.45% | 2.48% | -7.59% | 9.77% | 13.45% |
| EBITDA Margin | 21.21% | 6.52% | -3.78% | 12.92% | 16.51% |
| Operating Profit Margin | 13.82% | 2.52% | 0.03% | 9.97% | 13.68% |
| Pretax Profit Margin | 16.18% | 1.04% | -8.85% | 9.06% | 12.59% |
| Net Profit Margin | 12.01% | 0.01% | -10.04% | 6.90% | 9.77% |
| Continuous Operations Profit Margin | 12.13% | 0.15% | -9.91% | 7.03% | 10.00% |
| Net Income Per EBT | 74.22% | 0.77% | 113.41% | 76.09% | 77.59% |
| EBT Per EBIT | 117.11% | 41.51% | -29148.75% | 90.87% | 92.04% |
| Return on Assets (ROA) | 10.18% | 0.01% | -8.53% | 5.36% | 7.43% |
| Return on Equity (ROE) | 25.95% | 0.02% | -26.80% | 13.89% | 20.86% |
| Return on Capital Employed (ROCE) | 19.44% | 3.89% | 0.04% | 13.28% | 17.79% |
| Return on Invested Capital (ROIC) | 14.12% | 0.53% | 0.04% | 9.90% | 13.11% |
| Return on Tangible Assets | 12.76% | 0.01% | -11.51% | 7.97% | 8.73% |
| Earnings Yield | 9.41% | 0.01% | -12.58% | 9.23% | 6.83% |
| Efficiency Ratios | |||||
| Receivables Turnover | 3.73 | 3.64 | 4.72 | 3.49 | 3.32 |
| Payables Turnover | 4.66 | 4.59 | 5.72 | 4.12 | 3.69 |
| Inventory Turnover | 5.23 | 5.11 | 4.39 | 3.45 | 3.74 |
| Fixed Asset Turnover | 15.24 | 14.55 | 14.22 | 12.28 | 10.79 |
| Asset Turnover | 0.85 | 0.85 | 0.85 | 0.78 | 0.76 |
| Working Capital Turnover Ratio | 8.60 | 10.32 | 9.80 | 7.14 | 5.58 |
| Cash Conversion Cycle | 89.29 | 92.16 | 96.68 | 121.79 | 108.45 |
| Days of Sales Outstanding | 97.87 | 100.20 | 77.32 | 104.70 | 109.89 |
| Days of Inventory Outstanding | 69.74 | 71.48 | 83.13 | 105.74 | 97.56 |
| Days of Payables Outstanding | 78.32 | 79.51 | 63.77 | 88.65 | 99.00 |
| Operating Cycle | 167.61 | 171.67 | 160.45 | 210.44 | 207.45 |
| Cash Flow Ratios | |||||
| Operating Cash Flow Per Share | 9.88 | 13.88 | 2.16 | 9.27 | 11.73 |
| Free Cash Flow Per Share | 9.10 | 12.79 | 0.51 | 7.41 | 10.35 |
| Dividend Paid and CapEx Coverage Ratio | 2.71 | 3.59 | 0.50 | 2.13 | 3.39 |
| Capital Expenditure Coverage Ratio | 12.53 | 12.71 | 1.31 | 4.98 | 8.45 |
| Operating Cash Flow Coverage Ratio | 0.82 | 1.02 | 0.13 | 0.73 | 0.95 |
| Operating Cash Flow to Sales Ratio | 0.14 | 0.19 | 0.03 | 0.11 | 0.17 |
| Free Cash Flow Yield | 10.04% | 14.23% | 0.81% | 12.16% | 10.37% |
| Valuation Ratios | |||||
| Price-to-Earnings (P/E) Ratio | 10.62 | 14980.00 | -7.95 | 10.83 | 14.64 |
| Price-to-Sales (P/S) Ratio | 1.28 | 1.21 | 0.80 | 0.75 | 1.43 |
| Price-to-Book (P/B) Ratio | 2.76 | 3.18 | 2.13 | 1.50 | 3.05 |
| Price-to-Free Cash Flow (P/FCF) Ratio | 9.96 | 7.03 | 123.12 | 8.22 | 9.65 |
| Price-to-Operating Cash Flow Ratio | 9.17 | 6.47 | 29.28 | 6.57 | 8.50 |
| Price-to-Earnings Growth (PEG) Ratio | 0.00 | -149.69 | 0.03 | -0.62 | 0.49 |
| Enterprise Value Multiple | 5.94 | 18.63 | -23.03 | 5.89 | 8.32 |
| Enterprise Value | 298.40B | 301.13B | 229.30B | 206.69B | 319.28B |
| EV to EBITDA | 5.94 | 18.63 | -23.03 | 5.89 | 8.32 |
| EV to Sales | 1.26 | 1.21 | 0.87 | 0.76 | 1.37 |
| EV to Free Cash Flow | 9.84 | 7.07 | 134.33 | 8.38 | 9.27 |
| EV to Operating Cash Flow | 9.05 | 6.51 | 31.95 | 6.70 | 8.17 |
| Tangible Book Value Per Share | 16.16 | 7.31 | 5.14 | 5.61 | 18.49 |
| Shareholders’ Equity Per Share | 32.85 | 28.30 | 29.63 | 40.48 | 32.67 |
| Tax and Other Ratios | |||||
| Effective Tax Rate | 0.25 | 0.86 | -0.12 | 0.22 | 0.21 |
| Revenue Per Share | 70.99 | 74.39 | 79.08 | 81.54 | 69.78 |
| Net Income Per Share | 8.53 | 0.01 | -7.94 | 5.62 | 6.82 |
| Tax Burden | 0.74 | 0.01 | 1.13 | 0.76 | 0.78 |
| Interest Burden | 0.93 | 0.42 | 1.17 | 0.93 | 0.94 |
| Research & Development to Revenue | 0.20 | 0.21 | 0.20 | 0.17 | 0.18 |
| SG&A to Revenue | 0.14 | 0.21 | 0.00 | 0.00 | 0.00 |
| Stock-Based Compensation to Revenue | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Income Quality | 1.16 | 123.69 | -0.27 | 1.61 | 1.70 |
Currency in SEK