South Bow Corporation Financials
This page shows South Bow Corporation (SOBO) financial statements, including the income statement, balance sheet, cash flow statement, and key financial ratios. View 3 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).
High-margin cash generation stays resilient, but financing costs and working-capital swings shape results more than revenue does.
The unusual pattern is that revenue and gross margin were broadly steady across FY2023-FY2025, but net income did not follow that stability, which means the operating engine itself was not the main source of volatility. The missing link is financing cost: interest expense jumped from$220M to$388M in FY2024, then eased in FY2025, which explains why bottom-line performance moved more than the top line.
FY2025 turned into a cash-conversion year: operating cash flow of
Despite an asset base above
Financial Health Signals
Based on FY2025 annual data, averaged across the last 3 years for performance metrics (most-recent year weighted highest). How this score is calculated →
Health score ≠ stock price. This rates the quality of South Bow Corporation'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.
South Bow Corporation's revenue declined 6.3% year-over-year, from $2.1B to $2.0B. This contraction results in a growth score of 33/100.
South Bow Corporation has a moderate D/E ratio of 3.13. This balance of debt and equity financing earns a leverage score of 38/100.
South Bow Corporation's current ratio of 1.50 is below the typical benchmark, resulting in a score of 26/100. This tight liquidity could limit financial flexibility if cash inflows slow.
South Bow Corporation's ROE of 16.0% shows moderate profitability relative to equity, earning a score of 44/100. This is up from 12.1% the prior year.
South Bow Corporation passes 6 of 9 financial strength tests. All 4 profitability signals pass (positive income, cash flow, and earnings quality), 1 of 3 leverage/liquidity signals pass, 1 of 2 efficiency signals pass.
For every $1 of reported earnings, South Bow Corporation generates $1.66 in operating cash flow ($717.0M OCF vs $433.0M net income). This indicates profits are well-supported by actual cash generation, not accounting adjustments.
Key Financial Metrics
Earnings & Revenue
South Bow Corporation generated $2.0B in revenue in fiscal year 2025. This represents a decrease of 6.3% from the prior year.
South Bow Corporation reported $433.0M in net income in fiscal year 2025. This represents an increase of 37.0% from the prior year.
South Bow Corporation earned $2.07 per diluted share (EPS) in fiscal year 2025. This represents an increase of 36.2% from the prior year.
Cash & Balance Sheet
South Bow Corporation held $549.0M in cash against $0 in long-term debt as of fiscal year 2025.
South Bow Corporation had 208M shares outstanding in fiscal year 2025. This represents an increase of 0.1% from the prior year.
Margins & Returns
South Bow Corporation's gross margin was 84.2% in fiscal year 2025, indicating the percentage of revenue retained after direct costs. This is up 2.0 percentage points from the prior year.
South Bow Corporation's net profit margin was 21.8% in fiscal year 2025, showing the share of revenue converted to profit. This is up 6.9 percentage points from the prior year.
South Bow Corporation's ROE was 16.0% in fiscal year 2025, measuring profit generated per dollar of shareholder equity. This is up 3.9 percentage points from the prior year.
Capital Allocation
SOBO Income Statement
| Metric | Q4'25 | Q4'24 | Q4'23 |
|---|---|---|---|
| Revenue | N/A | N/A | N/A |
| Cost of Revenue | N/A | N/A | N/A |
| Gross Profit | N/A | N/A | N/A |
| R&D Expenses | N/A | N/A | N/A |
| SG&A Expenses | N/A | N/A | N/A |
| Operating Income | N/A | N/A | N/A |
| Interest Expense | N/A | N/A | N/A |
| Income Tax | N/A | N/A | N/A |
| Net Income | N/A | N/A | N/A |
| EPS (Diluted) | N/A | N/A | N/A |
SOBO Balance Sheet
| Metric | Q4'25 | Q4'24 | Q4'23 |
|---|---|---|---|
| Total Assets | $11.2B-1.2% | $11.3B-5.8% | $12.0B |
| Current Assets | $2.0B-8.3% | $2.2B-15.9% | $2.6B |
| Cash & Equivalents | $549.0M+38.3% | $397.0M+51.5% | $262.0M |
| Inventory | $100.0M-51.7% | $207.0M+29.4% | $160.0M |
| Accounts Receivable | $1.1B-7.0% | $1.2B-11.5% | $1.3B |
| Goodwill | N/A | N/A | N/A |
| Total Liabilities | $8.5B-2.7% | $8.7B-5.1% | $9.2B |
| Current Liabilities | $1.3B-23.9% | $1.8B-15.1% | $2.1B |
| Long-Term Debt | N/A | N/A | N/A |
| Total Equity | $2.7B+3.8% | $2.6B-8.1% | $2.8B |
| Retained Earnings | -$32.0M+34.7% | -$49.0M | $0 |
SOBO Cash Flow Statement
| Metric | Q4'25 | Q4'24 | Q4'23 |
|---|---|---|---|
| Operating Cash Flow | N/A | N/A | N/A |
| Capital Expenditures | N/A | N/A | N/A |
| Free Cash Flow | N/A | N/A | N/A |
| Investing Cash Flow | N/A | N/A | N/A |
| Financing Cash Flow | N/A | N/A | N/A |
| Dividends Paid | N/A | N/A | N/A |
| Share Buybacks | N/A | N/A | N/A |
SOBO Financial Ratios
| Metric | Q4'25 | Q4'24 | Q4'23 |
|---|---|---|---|
| Gross Margin | N/A | N/A | N/A |
| Operating Margin | N/A | N/A | N/A |
| Net Margin | N/A | N/A | N/A |
| Return on Equity | N/A | N/A | N/A |
| Return on Assets | N/A | N/A | N/A |
| Current Ratio | 1.50+0.3 | 1.25-0.0 | 1.26 |
| Debt-to-Equity | 3.13-0.2 | 3.34+0.1 | 3.24 |
| FCF Margin | N/A | N/A | N/A |
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Frequently Asked Questions
What is South Bow Corporation's annual revenue?
South Bow Corporation (SOBO) reported $2.0B in total revenue for fiscal year 2025. This represents a -6.3% 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 South Bow Corporation's revenue growing?
South Bow Corporation (SOBO) revenue declined by 6.3% year-over-year, from $2.1B to $2.0B in fiscal year 2025.
Is South Bow Corporation profitable?
Yes, South Bow Corporation (SOBO) reported a net income of $433.0M in fiscal year 2025, with a net profit margin of 21.8%.
What is South Bow Corporation's gross margin?
South Bow Corporation (SOBO) had a gross margin of 84.2% in fiscal year 2025, indicating the percentage of revenue retained after direct costs of goods sold.
What is South Bow Corporation's net profit margin?
South Bow Corporation (SOBO) had a net profit margin of 21.8% in fiscal year 2025, representing the share of revenue converted into profit after all expenses.
What is South Bow Corporation's return on equity (ROE)?
South Bow Corporation (SOBO) has a return on equity of 16.0% for fiscal year 2025, measuring how efficiently the company generates profit from shareholder equity.
What is South Bow Corporation's operating cash flow?
South Bow Corporation (SOBO) generated $717.0M in operating cash flow during fiscal year 2025, representing cash generated from core business activities.
What are South Bow Corporation's total assets?
South Bow Corporation (SOBO) had $11.2B in total assets as of fiscal year 2025, including both current and long-term assets.
What is South Bow Corporation's current ratio?
South Bow Corporation (SOBO) had a current ratio of 1.50 as of fiscal year 2025, which is generally considered healthy.
What is South Bow Corporation's debt-to-equity ratio?
South Bow Corporation (SOBO) had a debt-to-equity ratio of 3.13 as of fiscal year 2025, measuring the company's financial leverage by comparing total debt to shareholder equity.
What is South Bow Corporation's return on assets (ROA)?
South Bow Corporation (SOBO) had a return on assets of 3.9% for fiscal year 2025, measuring how efficiently the company uses its assets to generate profit.
What is South Bow Corporation's Piotroski F-Score?
South Bow Corporation (SOBO) 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 South Bow Corporation's earnings high quality?
South Bow Corporation (SOBO) has an earnings quality ratio of 1.66x, 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.
How financially healthy is South Bow Corporation?
South Bow Corporation (SOBO) scores 55 out of 100 on our Financial Profile, indicating moderate overall financial health. This composite score evaluates six dimensions: profitability (operating margin), revenue growth, leverage (debt-to-equity), liquidity (current ratio), cash flow quality (free cash flow margin), and shareholder returns (return on equity). Each dimension is normalized against standard financial benchmarks. Learn more in our complete guide to financial health indicators.