CrowdStrike Holdings Inc. (NASDAQ:CRWD)

Gross Profit Margin

The gross profit margin has remained relatively stable over the observed periods, fluctuating modestly between approximately 70.58% and 75.27%. This indicates a consistently strong ability to retain profit from revenue after accounting for the cost of goods sold, with a slight improvement noted in the most recent years.

Operating Profit Margin

The operating profit margin showed significant improvement from a negative margin of -30.34% in 2020 to nearly breakeven levels around -0.07% in 2024. However, this improvement was not sustained as it deteriorated to -3.05% in 2025. The trend suggests efforts were made to control operating costs and improve operational efficiency but recent indications show some challenges.

Net Profit Margin

The net profit margin followed a pattern consistent with operating margin trends but exhibited greater volatility. Starting with a deep negative margin of -29.45% in 2020, there was a notable improvement to positive profitability of 2.92% in 2024, indicating a brief period of net income generation. However, this gain was not maintained, with net margin slipping back to -0.49% in 2025. This reflects fluctuations in overall profitability after all expenses, taxes, and other factors are considered.

Return on Equity (ROE)

ROE shows a similar volatile pattern, starting at a highly negative -19.1% in 2020. Although it improved to a positive 3.88% in 2024, it subsequently declined to -0.59% in 2025. This volatility suggests challenges in generating returns for shareholders consistently, with some annual recovery but poor performance in the most recent year.

Return on Assets (ROA)

ROA mirrors the overall profitability trend with negative returns initially (-10.09% in 2020), marginal improvements observed by 2024 (1.34%), and a slight decline to -0.22% in 2025. This indicates the company has struggled to efficiently utilize its assets to generate profits, though brief positive performance was realized before a recent downturn.

The financial data reveals significant growth and stability in key metrics over the analyzed period. Revenue demonstrated a consistent and substantial upward trajectory, increasing from approximately 481 million USD in early 2020 to nearly 3.95 billion USD by early 2025. This represents a strong growth pattern, indicating effective business expansion and possibly successful market penetration strategies.

Gross profit mirrored the revenue trends closely, rising from about 340 million USD in 2020 to over 2.96 billion USD in 2025. The increase in gross profit aligns with the revenue growth, reflecting the company's ability to scale operations while maintaining profitability in core activities.

The gross profit margin remained relatively stable throughout the periods, fluctuating within a narrow range between approximately 70.6% and 75.3%. The margin slightly improved overall, starting at 70.58% in 2020 and reaching a peak of 75.27% in 2024 before a marginal decline to 74.92% in 2025. The stability and mild improvement in gross profit margin suggest effective cost management related to the production or service delivery, allowing the company to retain a high proportion of revenue as gross profit despite significant growth in total revenue.

Revenue Growth

Showed a robust upward trend, increasing approximately eightfold from 2020 to 2025, indicating strong market expansion and sales performance.

Gross Profit Growth

Increased consistently in line with revenue, suggesting scalable operations and sustained profitability in primary business functions.

Gross Profit Margin Stability

Maintained a high margin ranging between 70.58% and 75.27%, reflecting efficient cost control and stable product or service pricing strategies.

Revenue Analysis

The revenue exhibited a consistent and strong upward trend over the examined period. Starting at approximately $481 million in January 2020, the revenue more than doubled each year, culminating in nearly $3.95 billion by January 2025. This reflects an impressive growth trajectory indicative of expanding business operations and market presence.

Loss from Operations

The operational losses fluctuated significantly during the timeframe. The loss started at about $146 million in January 2020 and improved notably to approximately $92.5 million by January 2021. However, subsequent years saw an increase in losses, peaking around $190 million in January 2023. By January 2024, losses dramatically decreased to roughly $2 million, suggesting an unusual improvement or potential one-time event. The loss then rose again to $120 million in January 2025, indicating a return to higher operational costs or investments impacting profitability.

Operating Profit Margin

The operating profit margin, while consistently negative, showed a general trend of improvement over the analyzed years. Starting at -30.34% in January 2020, it improved notably to around -10.58% and stabilized near -9.82% in the following years. The margin reached its best point at -0.07% by January 2024, closely approaching break-even, before declining again to -3.05% in January 2025. This pattern demonstrates progress in managing operational efficiencies but also underscores ongoing challenges in achieving positive operating profitability.

Overall Insights

The data reveals robust revenue growth aligned with persistent operational losses and negative operating margins, though with signs of margin improvement at certain points in time. The dramatic loss reduction in January 2024 represents a notable anomaly requiring further investigation. Despite progress in managing losses relative to revenue increases, sustained operating profitability remains a key area for improvement.

Revenue

The revenue has shown a consistent and significant upward trend over the observed periods. Starting at approximately $481 million in January 2020, it increased sharply each year, reaching approximately $3.95 billion by January 2025. This represents a robust growth trajectory indicating a strong expansion in sales and market presence.

Net income (loss) attributable to CrowdStrike

Net income figures reveal a pattern of fluctuations with substantial losses in the initial years, starting at a loss of about $142 million in January 2020, followed by a reduced loss of approximately $93 million in January 2021. The loss then deepened significantly to roughly $235 million in January 2022, before improving somewhat to a loss of $183 million in January 2023. A notable positive turnaround is observed in January 2024, with net income reaching a profit of approximately $89 million. However, this gain was not sustained, as losses reoccurred in January 2025 at nearly $19 million.

Net profit margin

The net profit margin aligns with the net income trends, starting with a significantly negative margin of -29.45% in January 2020. There was a marked improvement to -10.59% in January 2021 but it deteriorated again to -16.18% in January 2022. Subsequent years saw improvement in margin performance, with -8.18% in January 2023 and turning positive to 2.92% in January 2024. However, this was followed by a slight margin contraction to -0.49% in January 2025, indicating a return to marginal losses relative to revenue.

Overall Analysis

The company demonstrates strong revenue growth over the years, reflecting expanded business operations or market demand. Despite this growth, profitability has been inconsistent, with significant net losses for most periods except for one year of reported profit. The improving, yet volatile, net profit margins suggest challenges in managing costs or operational efficiency relative to revenue growth. The positive margin observed in January 2024 indicates a potential shift towards profitability, but the subsequent decline in January 2025 highlights ongoing financial volatility. Continuous monitoring and strategic adjustments may be necessary to achieve sustained profitability aligned with the robust revenue increase.

Net Income (Loss) Attributable to CrowdStrike

The net income figures display significant fluctuations over the observed periods. Initially, there is a substantial net loss of $141.8 million in 2020, which improves to a smaller loss of $92.6 million in 2021. However, the loss escalates again in 2022 to $234.8 million before slightly decreasing to a $183.2 million loss in 2023. Notably, in 2024, there is a shift to positive net income of $89.3 million, indicating a period of profitability. Yet, this positive trend reverses in 2025, with a net loss of $19.3 million.

Total Stockholders’ Equity

The stockholders’ equity shows a consistent and strong upward trajectory throughout all periods. Starting at $742.1 million in 2020, it increases steadily each year, reaching $3.28 billion by 2025. This continuous growth suggests ongoing capital accumulation or retained earnings contributing to the company’s financial foundation.

Return on Equity (ROE)

The ROE metric mirrors the volatility observed in net income. It remains negative for most years, from -19.1% in 2020 to a low of -22.9% in 2022. There is a notable improvement in 2024 when ROE turns positive at 3.88%, coinciding with the net income turning profitable. However, this positive return is not sustained, as ROE declines to -0.59% in 2025, reflecting a return to unprofitable performance relative to equity.

Summary of Financial Trends

The data reveals a pattern of operational challenges reflected in recurring net losses for the majority of the periods. Despite these losses, the company has managed to grow its stockholders’ equity substantially, indicating strong capital support or reinvestment strategies. The occasional improvement to positive net income and ROE in 2024 suggests potential operational improvements or one-time gains, though the subsequent return to losses and negative ROE in 2025 highlights ongoing volatility and challenges in achieving sustainable profitability.

Net Income (Loss) Trend

The net income attributable to the company exhibits significant volatility over the observed periods. Starting with a substantial loss of approximately $141.8 million in 2020, the loss decreases notably to around $92.6 million in 2021, indicating some improvement. However, in 2022, the net loss deepens sharply to about $234.8 million. By 2023, the loss lessens again to approximately $183.2 million. Interestingly, the year 2024 shows a positive net income of $89.3 million, marking a substantial turnaround. Yet, this gain is short-lived as the net income swings back to a loss of $19.3 million in 2025, suggesting continued instability in profitability.

Total Assets Growth

The total assets consistently increase throughout the periods analyzed. Beginning at roughly $1.4 billion in 2020, total assets nearly double by 2021 to approximately $2.7 billion. This growth trajectory continues with notable increments each year, reaching about $3.6 billion in 2022, $5.0 billion in 2023, $6.6 billion in 2024, and culminating near $8.7 billion by 2025. This sustained expansion in asset base indicates ongoing investment and potential capacity enhancement in company operations.

Return on Assets (ROA) Analysis

Return on assets remains negative for most periods, reflecting overall unprofitability in relation to asset base. Starting at -10.09% in 2020, ROA improves to -3.39% in 2021, suggesting better asset utilization. The next year, 2022, sees a regression with ROA dropping to -6.49%, which then improves to -3.65% in 2023. In 2024, ROA turns positive at 1.34%, correlating with the positive net income reported that year. However, this gain reverses in 2025 with ROA dropping back slightly below zero at -0.22%, indicating marginal negative returns on assets.

Overall Insights

The company demonstrates substantial asset growth, which could signal expansion or increased investment in growth opportunities. However, profitability remains inconsistent with fluctuating net income results and largely negative ROA, reflecting challenges in converting asset growth into sustained profits. The positive net income and ROA in 2024 highlight a temporary recovery or successful strategic initiatives in that period, but the return to losses and negative ROA in 2025 suggests ongoing operational or market challenges that require attention.