Federal Signal (FSS) Financials
A multiple compares the market's price with a filed figure; it says what the market pays, not how the business is doing. The market capitalization is the vendor's as of Oct 28, 2026; every other figure is from the SEC filings on this page. Not financial advice.
Newest figures come from the 10-Q for Q2 FY2026, filed Jul 30, 2026. Each column of the statement tables below links to the filing it was taken from, and every filing is listed on the FSS SEC filings page.
Federal Signal Corp. (FSS) reported $2.4B in revenue over the twelve months to Jun 30, 2026, up 24.0% from the prior twelve months. This page shows its income statement, balance sheet, cash flow statement, and key financial ratios. View 15 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).
Federal Signal is turning growth into wider operating margins and stronger cash conversion, while its FY2025 balance sheet carries materially more leverage.
The earnings improvement is increasingly cash-backed: FY2025 operating cash flow was$255M against net income of$247M . In FY2022, those figures were$71.8M and$120M , respectively, showing that the earlier profit base converted less cleanly into cash.
Revenue grew
Assets expanded
Financial Health Signals
Scored against operating companies for FY2025. Each of the six dimensions is a percentile rank within that peer group, and the overall is the average of the dimensions that can be computed. A high score means strong standing among peers, not absolute cross-industry strength. How this score is calculated →
Health score ≠ stock price. This rates the quality of Federal Signal Corp.'s business: profitability, growth, balance sheet strength. It doesn't tell you whether the stock is a good buy at today's price. Not financial advice. Use it alongside valuation analysis and your own research.
Federal Signal Corp. has an operating margin of 15.6%, meaning the company retains $16 of operating profit per $100 of revenue. This strong profitability earns a score of 78/100, reflecting efficient cost management and pricing power. This is up from 15.1% the prior year.
Federal Signal Corp.'s revenue surged 17.1% year-over-year to $2.2B, reflecting rapid business expansion. This strong growth earns a score of 70/100.
Federal Signal Corp. has a moderate D/E ratio of 0.41. This balance of debt and equity financing earns a leverage score of 43/100.
With a current ratio of 3.02, Federal Signal Corp. holds $3.02 in current assets for every $1 of short-term obligations. This comfortable liquidity earns a score of 78/100.
Federal Signal Corp. converts 10.4% of revenue into free cash flow ($227.1M). This strong cash generation earns a score of 66/100.
Federal Signal Corp. earns a strong 17.8% return on equity (ROE), meaning it generates $18 of profit for every $100 of shareholders' equity. This efficient capital use earns a returns score of 83/100. This is down from 18.2% the prior year.
Federal Signal Corp. scores 6.55, well above the 2.99 safe threshold. The largest contribution to the score comes from a market capitalization of $6.9B against total liabilities of $1.0B. This indicates low bankruptcy risk based on profitability, leverage, and asset efficiency.
Distress-screening estimate for non-financial companies. Not computed for banks or insurers, where the Altman model does not apply.
Federal Signal Corp. passes 6 of 9 financial strength tests. 3 of 4 profitability signals pass, 2 of 3 leverage/liquidity signals pass, 1 of 2 operating efficiency signals passes.
For every $1 of reported earnings, Federal Signal Corp. generates $1.03 in operating cash flow ($254.7M OCF vs $246.6M net income). This indicates profits are well-supported by actual cash generation, not accounting adjustments.
Federal Signal Corp. earns $24.18 in operating income for every $1 of interest expense ($340.9M vs $14.1M). This wide margin provides strong safety for debt servicing, even if earnings decline temporarily.
Key Financial Metrics
Earnings & Revenue
Federal Signal Corp. generated $670.2M in revenue in Q2 2026. This represents an increase of 18.7% from the same quarter a year earlier. Against the prior quarter it is up 7.1%.
Federal Signal Corp.'s EBITDA was $142.8M in Q2 2026, measuring earnings before interest, taxes, depreciation, and amortization. This represents an increase of 21.4% from the same quarter a year earlier. Against the prior quarter it is up 15.6%.
Federal Signal Corp. reported $86.1M in net income in Q2 2026. This represents an increase of 20.6% from the same quarter a year earlier. Against the prior quarter it is up 22.3%.
Federal Signal Corp. earned $1.40 per diluted share (EPS) in Q2 2026. This represents an increase of 20.7% from the same quarter a year earlier. Against the prior quarter it is up 22.8%.
Cash & Balance Sheet
Federal Signal Corp. generated $101.0M in free cash flow in Q2 2026, representing cash available after capex. This represents an increase of 92.7% from the same quarter a year earlier. Against the prior quarter it is up 6.8%.
Federal Signal Corp. held $62.8M in cash against $448.2M in long-term debt as of Q2 2026.
Federal Signal Corp. paid $0.15 per share in dividends in Q2 2026. This represents an increase of 7.1% from the same quarter a year earlier. It is unchanged from the prior quarter.
Margins & Returns
Federal Signal Corp.'s gross margin was 30.4% in Q2 2026, indicating the percentage of revenue retained after direct costs. This is up 0.4 percentage points from the same quarter a year earlier. Against the prior quarter it is up 1.7 percentage points.
Federal Signal Corp.'s operating margin was 17.6% in Q2 2026, reflecting core business profitability. This is up 0.3 percentage points from the same quarter a year earlier. Against the prior quarter it is up 1.7 percentage points.
Federal Signal Corp.'s net profit margin was 12.8% in Q2 2026, showing the share of revenue converted to profit. This is up 0.2 percentage points from the same quarter a year earlier. Against the prior quarter it is up 1.6 percentage points.
Federal Signal Corp.'s quarterly ROE was 5.7% in Q2 2026: one quarter's net income over shareholder equity, not annualized. This is up 0.1 percentage points from the same quarter a year earlier. Against the prior quarter it is up 0.8 percentage points.
Capital Allocation
Federal Signal Corp. spent $100K on share buybacks in Q2 2026, returning capital to shareholders by reducing shares outstanding. This represents a decrease of 99.5% from the same quarter a year earlier. The change from the prior quarter is not meaningful, because that quarter’s figure was zero or negative.
Federal Signal Corp. invested $11.9M in capex in Q2 2026, funding long-term assets and infrastructure. This represents an increase of 63.0% from the same quarter a year earlier. Against the prior quarter it is up 77.6%.
Not reported for Q2 2026.
FSS Income Statement
Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type. Each change compares the year with the year before it, and each quarter with the same quarter a year earlier.
| Metric | Q2'2610-Q | Q1'2610-Q | Q4'2510-K | Q3'2510-Q | Q2'2510-Q | Q1'2510-Q | Q4'2410-K | Q3'2410-Q |
|---|---|---|---|---|---|---|---|---|
| Revenue | $670.2M+18.7% | $625.6M+34.9% | $597.1M+26.5% | $555.0M+17.0% | $564.6M+15.1% | $463.8M+9.2% | $472.0M+5.3% | $474.2M+6.2% |
| Cost of Revenue | $466.4M+18.1% | $446.2M+34.0% | $427.8M+26.0% | $393.5M+17.9% | $395.0M+14.0% | $333.0M+7.8% | $339.4M+3.2% | $333.8M+1.6% |
| Gross Profit | $203.8M+20.2% | $179.4M+37.2% | $169.3M+27.7% | $161.5M+15.0% | $169.6M+17.8% | $130.8M+12.8% | $132.6M+11.1% | $140.4M+19.3% |
| SG&A Expenses | $78.3M+17.0% | $72.0M+19.6% | $67.4M+15.4% | $61.4M+2.2% | $66.9M+14.8% | $60.2M+5.2% | $58.4M+7.9% | $60.1M+18.8% |
| Operating Income | $118.2M+21.0% | $99.7M+51.8% | $83.5M+19.1% | $94.0M+23.8% | $97.7M+20.5% | $65.7M+21.0% | $70.1M+11.1% | $75.9M+21.4% |
| EBITDA | $142.8M+21.4% | $123.5M+46.3% | $105.1M+19.8% | $114.3M+23.7% | $117.6M+21.4% | $84.4M+21.1% | $87.7M+11.9% | $92.4M+18.8% |
| Interest Expense | $6.0M+71.4% | $6.9M+130.0% | $4.8M+54.8% | $2.8M-6.7% | $3.5M+9.4% | $3.0M-6.3% | $3.1M-27.9% | $3.0M-41.2% |
| Income Tax | $25.3M+15.0% | $21.8M+38.9% | $17.8M+38.0% | $22.4M+19.8% | $22.0M+31.7% | $15.7Mn/m | $12.9M+6.6% | $18.7M+35.5% |
| Net Income | $86.1M+20.6% | $70.4M+52.1% | $60.8M+21.6% | $68.1M+26.3% | $71.4M+17.4% | $46.3M-10.3% | $50.0M+7.8% | $53.9M+24.5% |
| EPS (Basic) | $1.41+19.5% | $1.16+52.6% | $1.00+22.0% | $1.12+27.3% | $1.18+18.0% | $0.76-10.6% | $0.82+7.9% | $0.88+23.9% |
| EPS (Diluted) | $1.40+20.7% | $1.14+52.0% | $0.99+23.7% | $1.11+27.6% | $1.16+17.2% | $0.75-10.7% | $0.80+6.7% | $0.87+22.5% |
| Diluted Shares (Avg) | 62M+0.3% | 62M-0.5% | N/A | 61M-0.5% | 61M-0.6% | 62M+0.3% | N/A | 62M+0.5% |
Not reported in any period shown, so not listed: R&D Expenses.
FSS Balance Sheet
Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type. Each change compares the year with the year before it, and each quarter with the same quarter a year earlier.
| Metric | Q2'2610-Q | Q1'2610-Q | Q4'2510-K | Q3'2510-Q | Q2'2510-Q | Q1'2510-Q | Q4'2410-K | Q3'2410-Q |
|---|---|---|---|---|---|---|---|---|
| Total Assets | $2.4B+27.3% | $2.5B+30.6% | $2.4B+35.5% | $1.9B+11.8% | $1.9B+13.3% | $1.9B+13.8% | $1.8B+8.9% | $1.7B+4.8% |
| Current Assets | $856.9M+25.3% | $876.8M+31.9% | $853.8M+32.9% | $706.5M+8.8% | $684.1M+11.8% | $664.8M+11.7% | $642.5M+12.7% | $649.2M+7.5% |
| Cash & Equivalents | $62.8M-2.9% | $71.4M+24.2% | $63.7M-30.1% | $54.4M-26.2% | $64.7M+33.1% | $57.5M+17.6% | $91.1M+49.3% | $73.7M+79.8% |
| Short-Term Investments | $0n/m | $0n/m | $0n/m | $0n/m | $0n/m | $0n/m | $0n/m | $0n/m |
| Inventory | $479.8M+34.6% | $477.8M+32.0% | $471.6M+42.5% | $367.3M+9.0% | $356.5M+9.1% | $362.0M+12.2% | $331.0M+9.1% | $337.0M+2.1% |
| Accounts Receivable | $288.8M+21.2% | $310.1M+38.9% | $292.2M+48.8% | $263.6M+19.7% | $238.3M+11.6% | $223.2M+16.6% | $196.4M+5.5% | $220.3M+3.3% |
| Long-Term Investments | $0n/m | $0n/m | $0n/m | $0n/m | $0n/m | $0n/m | $0n/m | $0n/m |
| Goodwill | $636.8M+23.0% | $626.8M+21.9% | $619.8M+29.7% | $521.7M+10.6% | $517.6M+10.2% | $514.0M+9.3% | $477.7M+1.1% | $471.6M-0.4% |
| Total Liabilities | $932.4M+42.6% | $1.0B+50.6% | $1.0B+74.5% | $616.7M+5.6% | $653.8M+10.5% | $677.0M+11.5% | $579.1M-6.4% | $584.2M-16.4% |
| Current Liabilities | $312.9M+19.0% | $308.2M+10.7% | $282.4M+16.8% | $271.2M+18.2% | $263.0M+24.2% | $278.4M+31.9% | $241.8M+23.5% | $229.4M+13.2% |
| Non-Current Liabilities | $619.5M+58.5% | $711.7M+78.5% | $728.2M+115.9% | $345.5M-2.6% | $390.8M+2.8% | $398.6M+0.7% | $337.3M-20.2% | $354.8M-28.5% |
| Long-Term Debt | $448.2M+73.5% | $548.6M+105.5% | $564.6M+176.2% | $201.2M-9.9% | $258.3M+3.8% | $266.9M0.0% | $204.4M-30.5% | $223.3M-38.3% |
| Total Equity | $1.5B+19.4% | $1.4B+19.3% | $1.4B+16.5% | $1.3B+15.0% | $1.3B+14.8% | $1.2B+15.1% | $1.2B+18.4% | $1.1B+20.2% |
| Retained Earnings | $1.5B+20.8% | $1.4B+20.7% | $1.3B+19.3% | $1.3B+19.1% | $1.2B+18.7% | $1.1B+18.8% | $1.1B+20.4% | $1.1B+21.1% |
FSS Cash Flow Statement
Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type. Each change compares the year with the year before it, and each quarter with the same quarter a year earlier.
| Metric | Q2'2610-Q | Q1'2610-Q | Q4'2510-K | Q3'2510-Q | Q2'2510-Q | Q1'2510-Q | Q4'2410-K | Q3'2410-Q |
|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | $112.9M+89.1% | $101.3M+176.0% | $97.2M+7.3% | $61.1M-11.2% | $59.7M+47.0% | $36.7M+17.3% | $90.6M-12.4% | $68.8M+43.3% |
| Depreciation & Amortization | $24.6M+23.6% | $23.8M+27.3% | $21.6M+22.7% | $20.3M+23.0% | $19.9M+25.9% | $18.7M+21.4% | $17.6M+15.0% | $16.5M+7.8% |
| Stock-Based Compensation | N/A | $2.7M+12.5% | N/A | N/A | N/A | $2.4M-45.5% | N/A | N/A |
| Capital Expenditures | $11.9M+63.0% | $6.7M+19.6% | $7.7M-9.4% | $7.0M-11.4% | $7.3M-53.8% | $5.6M-33.3% | $8.5M-4.5% | $7.9M+38.6% |
| Free Cash Flow | $101.0M+92.7% | $94.6M+204.2% | $89.5M+9.0% | $54.1M-11.2% | $52.4M+111.3% | $31.1M+35.8% | $82.1M-13.1% | $60.9M+44.0% |
| Investing Cash Flow | -$10.5Mn/m | -$51.6Mn/m | -$426.6Mn/m | -$7.0Mn/m | -$6.6Mn/m | -$87.7Mn/m | -$48.1Mn/m | -$7.8Mn/m |
| Financing Cash Flow | -$111.2Mn/m | -$41.7M-346.7% | $338.9Mn/m | -$64.6Mn/m | -$46.7Mn/m | $16.9Mn/m | -$23.8Mn/m | -$36.7Mn/m |
| Dividends Paid | $9.1M+7.1% | $9.2M+7.0% | $8.5M+16.4% | $9.2M+26.0% | $8.5M+14.9% | $8.6M+17.8% | $7.3M+19.7% | $7.3M+19.7% |
| Share Buybacks | $100K-99.5% | $0-100.0% | $0-100.0% | $0-100.0% | $21.2Mn/m | $18.5M+18400.0% | $2.2M+83.3% | $4.4M+2.3% |
FSS Financial Ratios
Margins and returns are percentages; the remaining ratios are unitless multiples. Each change compares the year with the year before it, and each quarter with the same quarter a year earlier.
| Metric | Q2'2610-Q | Q1'2610-Q | Q4'2510-K | Q3'2510-Q | Q2'2510-Q | Q1'2510-Q | Q4'2410-K | Q3'2410-Q |
|---|---|---|---|---|---|---|---|---|
| Gross Margin | 30.4%+0.4pp | 28.7%+0.5pp | 28.3%+0.3pp | 29.1%-0.5pp | 30.0%+0.7pp | 28.2%+0.9pp | 28.1%+1.5pp | 29.6%+3.2pp |
| Operating Margin | 17.6%+0.3pp | 15.9%+1.8pp | 14.0%-0.9pp | 16.9%+0.9pp | 17.3%+0.8pp | 14.2%+1.4pp | 14.8%+0.8pp | 16.0%+2.0pp |
| Net Margin | 12.8%+0.2pp | 11.3%+1.3pp | 10.2%-0.4pp | 12.3%+0.9pp | 12.7%+0.3pp | 10.0%-2.2pp | 10.6%+0.2pp | 11.4%+1.7pp |
| Return on Equity | 5.7%+0.1pp | 4.9%+1.1pp | 4.4%+0.2pp | 5.1%+0.5pp | 5.7%+0.1pp | 3.9%-1.1pp | 4.2%-0.4pp | 4.7%+0.2pp |
| Return on Assets | 3.5%-0.2pp | 2.9%+0.4pp | 2.5%-0.3pp | 3.5%+0.4pp | 3.7%+0.1pp | 2.5%-0.7pp | 2.8%0.0pp | 3.1%+0.5pp |
| Current Ratio | 2.74+0.1x | 2.84+0.5x | 3.02+0.4x | 2.61-0.2x | 2.60-0.3x | 2.39-0.4x | 2.66-0.3x | 2.83-0.1x |
| Debt-to-Equity | 0.30+0.1x | 0.38+0.2x | 0.41+0.2x | 0.150.0x | 0.200.0x | 0.220.0x | 0.17-0.1x | 0.19-0.2x |
| Liabilities-to-Equity | 0.62+0.1x | 0.71+0.1x | 0.73+0.2x | 0.470.0x | 0.520.0x | 0.560.0x | 0.49-0.1x | 0.51-0.2x |
| Asset Turnover | 0.270.0x | 0.250.0x | 0.250.0x | 0.290.0x | 0.290.0x | 0.250.0x | 0.270.0x | 0.270.0x |
| FCF Margin | 15.1%+5.8pp | 15.1%+8.4pp | 15.0%-2.4pp | 9.8%-3.1pp | 9.3%+4.2pp | 6.7%+1.3pp | 17.4%-3.7pp | 12.8%+3.4pp |
Similar Companies
Newest fiscal year on record for each company. The health score is the peer-relative Financial Health Score for that year; a dash means no score is published for it.
| Company | Fiscal year | Revenue | Net income | Net margin | Market cap | Health score |
|---|---|---|---|---|---|---|
| Federal Signal Corp. FSS | FY2025 | $2.2B | $246.6M | 11.3% | $6.9B | 70/100 |
| Zurn Elkay Water Solutions Corporation ZWS | FY2025 | $1.7B | $198.0M | 11.7% | $8.2B | 67/100 |
| PureCycle Technologies, Inc. PCT | FY2025 | $8.4M | -$182.6M | N/A | $598.7M | 35/100 |
| Veralto Corporation VLTO | FY2025 | $5.5B | $940.0M | 17.1% | $25.2B | 75/100 |
| CECO ENVIRONMENTAL CORP CECO | FY2025 | $774.4M | $50.1M | 6.5% | $2.9B | 53/100 |
| Energy Recovery, Inc. ERII | FY2025 | $135.0M | $23.0M | 17.0% | $350.2M | 74/100 |
Where Federal Signal Corp. Ranks
Frequently Asked Questions
What is Federal Signal Corp.'s annual revenue?
Federal Signal Corp. (FSS) reported $2.2B in total revenue for fiscal year 2025. This represents a 17.1% change compared to the previous fiscal year. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.
How fast is Federal Signal Corp.'s revenue growing?
Federal Signal Corp. (FSS) revenue grew by 17.1% year-over-year, from $1.9B to $2.2B in fiscal year 2025.
Is Federal Signal Corp. profitable?
Yes, Federal Signal Corp. (FSS) reported a net income of $285.4M over the trailing 12 months to June 30, 2026. In fiscal year 2025 it reported a net income of $246.6M, with a net profit margin of 11.3%.
What is Federal Signal Corp.'s EBITDA?
Federal Signal Corp. (FSS) had EBITDA of $421.4M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization.
How much debt does Federal Signal Corp. have?
As of fiscal year 2025, Federal Signal Corp. (FSS) had $63.7M in cash and equivalents against $564.6M in long-term debt.
What is Federal Signal Corp.'s gross margin?
Federal Signal Corp. (FSS) had a gross margin of 28.9% in fiscal year 2025, indicating the percentage of revenue retained after direct costs of goods sold.
What is Federal Signal Corp.'s operating margin?
Federal Signal Corp. (FSS) had an operating margin of 15.6% in fiscal year 2025, reflecting the profitability of core business operations before interest and taxes.
What is Federal Signal Corp.'s net profit margin?
Federal Signal Corp. (FSS) had a net profit margin of 11.3% in fiscal year 2025, representing the share of revenue converted into profit after all expenses.
Does Federal Signal Corp. pay dividends?
Yes, Federal Signal Corp. (FSS) paid $0.56 per share in dividends during fiscal year 2025.
What is Federal Signal Corp.'s return on equity (ROE)?
Federal Signal Corp. (FSS) has a return on equity of 17.8% for fiscal year 2025, measuring how efficiently the company generates profit from shareholder equity.
What is Federal Signal Corp.'s free cash flow?
Federal Signal Corp. (FSS) generated $227.1M in free cash flow during fiscal year 2025. This represents a 19.1% change compared to the previous fiscal year. Free cash flow represents the cash a company generates after accounting for capital expenditures, and is widely used to assess financial flexibility and shareholder value.
What is Federal Signal Corp.'s operating cash flow?
Federal Signal Corp. (FSS) generated $254.7M in operating cash flow during fiscal year 2025, representing cash generated from core business activities.
What are Federal Signal Corp.'s total assets?
Federal Signal Corp. (FSS) had $2.4B in total assets as of fiscal year 2025, including both current and long-term assets.
What are Federal Signal Corp.'s capital expenditures?
Federal Signal Corp. (FSS) invested $27.6M in capital expenditures during fiscal year 2025, funding long-term assets and infrastructure.
What is Federal Signal Corp.'s current ratio?
Federal Signal Corp. (FSS) had a current ratio of 3.02 as of fiscal year 2025, which is generally considered healthy.
What is Federal Signal Corp.'s debt-to-equity ratio?
Federal Signal Corp. (FSS) had a debt-to-equity ratio of 0.41 as of fiscal year 2025. We compute it as long-term debt divided by total shareholder equity, where long-term debt is the noncurrent part of the company's borrowings, so debt due within the next twelve months is not counted.
What is Federal Signal Corp.'s liabilities-to-equity ratio?
Federal Signal Corp. (FSS) had a liabilities-to-equity ratio of 0.73 as of fiscal year 2025, which is total liabilities divided by total shareholder equity. Total liabilities counts every obligation on the balance sheet (payables, deposits, insurance reserves and deferred taxes as well as borrowings), so this ratio usually runs well above debt-to-equity.
What is Federal Signal Corp.'s return on assets (ROA)?
Federal Signal Corp. (FSS) had a return on assets of 10.3% for fiscal year 2025, measuring how efficiently the company uses its assets to generate profit.
What is Federal Signal Corp.'s P/E ratio?
Federal Signal Corp. (FSS) trades at 24.3x earnings, its market capitalization divided by $285.4M net income, trailing 12 months to June 30, 2026. The market capitalization is $6.9B as of Oct 28, 2026; a multiple compares that price with a filed figure and says nothing about the quality of the business.
What is Federal Signal Corp.'s price-to-sales ratio?
Federal Signal Corp. (FSS) trades at 2.8x sales, its market capitalization divided by $2.4B revenue, trailing 12 months to June 30, 2026. The market capitalization is $6.9B as of Oct 28, 2026; a multiple compares that price with a filed figure and says nothing about the quality of the business.
What is Federal Signal Corp.'s Altman Z-Score?
Federal Signal Corp. (FSS) has an Altman Z-Score of 6.55, placing it in the Safe Zone (low bankruptcy risk). The Z-Score combines five financial ratios (working capital, retained earnings, EBIT, market capitalization, and revenue relative to total assets) to predict the likelihood of bankruptcy. Scores above 2.99 indicate financial safety while scores below 1.81 suggest financial distress. Learn more in our complete guide to financial health indicators.
What is Federal Signal Corp.'s Piotroski F-Score?
Federal Signal Corp. (FSS) has a Piotroski F-Score of 6 out of 9, indicating neutral financial health. The F-Score evaluates nine binary signals across profitability (positive ROA, positive cash flow, improving ROA, earnings quality), leverage (decreasing debt, improving liquidity, no share dilution), and operating efficiency (improving gross margin, improving asset turnover). Scores of 7 to 9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.
Are Federal Signal Corp.'s earnings high quality?
Federal Signal Corp. (FSS) has an earnings quality ratio of 1.03x, considered cash-backed (high quality). This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.
Can Federal Signal Corp. cover its interest payments?
Federal Signal Corp. (FSS) has an interest coverage ratio of 24.18x, meaning it can comfortably cover its interest obligations. This ratio divides operating income by interest expense. Ratios above 5x indicate strong debt-servicing ability, while ratios below 2x suggest the company may face difficulty meeting interest payments if earnings decline. Learn more in our complete guide to financial health indicators.
How financially healthy is Federal Signal Corp.?
Federal Signal Corp. (FSS) scores 70 out of 100 on our Financial Health Score, indicating strong standing within its operating companies peer group. The score is the average of six dimensions (Profitability, Growth, Leverage, Liquidity, Cash Flow, Returns), each ranked as a percentile relative to companies in the same scoring family (banks against banks, REITs against REITs, and so on) rather than across all industries. It rates the quality of the business, not whether the stock is fairly priced, and is not financial advice. Learn more in our complete guide to financial health indicators.