Is Reckitt Benckiser (RKT) Halal?

LSE Consumer Defensive United Kingdom $33.3B
✓ HALAL
Confidence: 95/100
Reckitt Benckiser (RKT) is Halal under 3 of 5 Shariah screening standards, including AAOIFI Standard 21. With a debt ratio of just 24.1% against the AAOIFI threshold of 30%, Reckitt Benckiser comfortably passes the key financial ratio tests. The company operates in the Consumer Defensive sector (Household & Personal Products), which is not a prohibited industry under Islamic finance principles.

Shariah Screening — 5 Standards

Based on financial data from December 2024

Standard Debt Ratio Cash Ratio Receivables Income Status
AAOIFI 24.1%
/ 30%
2.1%
/ 30%
4.9%
/ 30%
0.37%
/ 5%
✓ HALAL
DJIM 24.1%
/ 33%
2.1%
/ 33%
4.9%
/ 33%
0.37%
/ 5%
✓ HALAL
MSCI 34.2%
/ 33%
3.0%
/ 33%
6.9%
/ 33%
0.37%
/ 5%
✗ NOT HALAL
S&P 24.1%
/ 33%
2.1%
/ 33%
4.9%
/ 33%
0.37%
/ 5%
✓ HALAL
FTSE 34.2%
/ 33%
3.0%
/ 33%
6.9%
/ 50%
0.37%
/ 5%
✗ NOT HALAL

Financial Highlights

P/E Ratio
10.6
Forward: 13.9
EPS
$4.89
Dividend Yield
418.0%
Payout: 43.9%
P/B Ratio
430.3
EV/EBITDA
10.6
EV: $39.9B
Revenue
$14.2B
Beta
0.1
Low volatility
Current Ratio
0.8

Profitability

Gross Margin 60.8%
Operating Margin 26.7%
Net Margin 22.4%
Return on Equity (ROE) 44.2%
Return on Assets (ROA) 8.5%

Cash Flow & Balance Sheet

Operating Cash Flow$2.7B
Free Cash Flow$2.2B
Total Debt$8.7B
Debt-to-Equity109.6
Current Ratio0.8
Total Assets$25.3B

Price & Trading

Last CloseGBp 5,074.00
50-Day MAGBp 5,982.30
200-Day MAGBp 5,926.99
Avg Volume2.1M
Beta0.1
52-Week Range
GBp 4,769.79
GBp 6,522.92

About Reckitt Benckiser (RKT)

CEO
Mr. Kristoffer Loe Licht
Employees
36,200
Sector
Consumer Defensive
Industry
Household & Personal Products
Country
United Kingdom
Exchange
LSE
Market Cap
$33.3B
Currency
GBp

Reckitt Benckiser Group plc manufactures and sells health, hygiene, and nutrition products in the United Kingdom and internationally. The company offers germ protection under Dettol name; intimate wellness under Durex and KY brand names; over the counter under the Biofreeze, Gaviscon, Mucinex, Nurofen, Delsym, Cepacol, and Strepsils names. It also provides personal care products under Clearasil and Veet brand names; vitamins, minerals, and supplements under MegaRed, Airborne, Digestive-Advantage, Movefree, and neuriva names; stain removal under Vanish brand name; and disinfectant products under the Finish, Harpic, and Lysol brands. In addition, the company offers nutritious complementary foods and milk formulas for infant and young children under the Enfamil and Nutramigen brands. Reckitt Benckiser Group plc was founded in 1819 and is headquartered in Slough, the United Kingdom.

Purification Calculator

As a halal stock with 0.37% impermissible income, you need to purify your dividends.

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Frequently Asked Questions

Is Reckitt Benckiser (RKT) halal to invest in?

Based on our screening using AAOIFI Standard 21 (the strictest methodology), Reckitt Benckiser is Halal. The company passes all financial ratio thresholds for debt, cash, receivables, and impermissible income. We screen against all 5 major standards: AAOIFI, DJIM, MSCI, S&P, and FTSE.

What is Reckitt Benckiser's debt ratio?

Reckitt Benckiser's debt ratio is 24.1% under the AAOIFI standard (which uses market capitalization as the denominator). The AAOIFI threshold is 30%. Under MSCI and FTSE (which use total assets as the denominator), the debt ratio is 34.2%.

Does Reckitt Benckiser require dividend purification?

Yes, Reckitt Benckiser has an impermissible income ratio of 0.37%, which means 0.37% of any dividends received should be donated to charity as purification. This is because a small portion of the company's revenue comes from non-Shariah-compliant sources.

What are Reckitt Benckiser's key financial metrics?

Reckitt Benckiser has a market capitalization of $33.3B, trailing P/E ratio of 10.6, and revenue of $14.2B. The company maintains a gross margin of 60.8% and a net margin of 22.4%. Return on equity stands at 44.2%.

How often is the screening data updated?

Our screening data is updated regularly using the latest available financial statements and market data. Stock prices and market caps are refreshed frequently, while financial statements are updated quarterly when companies report earnings.

Disclaimer: HalalStockGuide.com provides Shariah compliance screening for educational and informational purposes only. This is not a fatwa, financial advice, or a recommendation to buy or sell any security. Screening results are based on publicly available financial data and established methodologies. Always consult a qualified Islamic scholar and a licensed financial advisor before making investment decisions.