# McCormick & Company (MKC) Forecast Calculator

Interactive five-year financial forecast and DCF for McCormick & Company. Adjust revenue growth, margins, capex, and WACC to update revenue, free cash flow, and enterprise value.

- Canonical: https://finamodel.com/companies/mccormick/forecast
- Industry: Staples
- Forecast start year: 2026

## Historical data

| Year | Revenue | Free cash flow | EBITDA | Net income |
|---:|---:|---:|---:|---:|
| 2021 | 5347400000 | 773100000 | 1116500000 | 702700000 |
| 2022 | 5601300000 | 816000000 | 1164500000 | 747400000 |
| 2023 | 6317900000 | 550300000 | 1201400000 | 755300000 |
| 2024 | 6350500000 | 389500000 | 1064200000 | 682000000 |
| 2025 | 6662200000 | 973400000 | 1162300000 | 680600000 |

## Frequently asked questions

### How does McCormick & Company generate revenue?

McCormick & Company generates revenue by manufacturing, marketing, and distributing spices, seasoning mixes, condiments, and other flavorful products globally. It operates through two main segments: the Consumer Segment, selling to retail channels, and the Flavor Solutions Segment, supplying food manufacturers and foodservice businesses.

### What are the primary revenue drivers for McCormick & Company's business?

The primary revenue drivers for McCormick & Company include sales from its Consumer Segment to retail channels and its Flavor Solutions Segment to food manufacturers and foodservice businesses. Its global presence across the Americas, EMEA, and APAC, along with its dominant market share in flavour products, also contributes significantly to revenue growth.

### What is McCormick & Company's typical capital expenditure as a percentage of revenue?

McCormick & Company typically allocates 3.5% to 4.5% of its revenue to capital expenditures. This spending is split approximately 60% for maintenance and 40% for growth, focusing on automation, capacity expansion, and ERP system upgrades.

### What is the purpose of the financial model for McCormick & Company?

The financial model for McCormick & Company is designed to project its future cash flows and earnings. This projection helps determine the company's equity valuation and assesses the impact of factors like commodity cost inflation and pricing power on its operating margins.

### Can I download an Excel financial model for McCormick & Company?

Yes, an Excel financial model for McCormick & Company is available for download. This model forecasts the company's financials from FY2026 through FY2030, incorporating key assumptions like revenue growth and operating margins.

### How does McCormick & Company manage its working capital given its supply chain needs?

McCormick & Company manages its working capital tightly, resulting in a low to slightly positive net working capital as a percentage of revenue. Despite this, the company maintains a high Days Inventory Outstanding (80-100 days) to strategically hold agricultural commodities and ensure supply, especially during poor harvest seasons.