Common-Size Income Statement
Quarterly Data
Based on: 10-Q (reporting date: 2025-04-27), 10-K (reporting date: 2025-01-26), 10-Q (reporting date: 2024-10-27), 10-Q (reporting date: 2024-07-28), 10-Q (reporting date: 2024-04-28), 10-K (reporting date: 2024-01-28), 10-Q (reporting date: 2023-10-29), 10-Q (reporting date: 2023-07-30), 10-Q (reporting date: 2023-04-30), 10-K (reporting date: 2023-01-29), 10-Q (reporting date: 2022-10-30), 10-Q (reporting date: 2022-07-31), 10-Q (reporting date: 2022-05-01), 10-K (reporting date: 2022-01-30), 10-Q (reporting date: 2021-10-31), 10-Q (reporting date: 2021-08-01), 10-Q (reporting date: 2021-05-02), 10-K (reporting date: 2021-01-31), 10-Q (reporting date: 2020-10-25), 10-Q (reporting date: 2020-07-26), 10-Q (reporting date: 2020-04-26), 10-K (reporting date: 2020-01-26), 10-Q (reporting date: 2019-10-27), 10-Q (reporting date: 2019-07-28), 10-Q (reporting date: 2019-04-28).
- Gross Profit Margin Trend
- The gross profit margin consistently remained strong, fluctuating mostly between approximately 58% and 66% from 2019 through mid-2022. A notable dip occurred between April and October 2022, dropping as low as 43.48%. Following this decline, the margin recovered sharply into 2023, reaching a high of about 78.35% in April 2024, before moderating to 60.52% in April 2025. This pattern indicates periods of cost pressure but overall strong profitability in core operations.
- Cost of Revenue Behavior
- Cost of revenue as a percentage of revenue generally declined over the period, contributing to the rising gross profit margin. Starting near 41.62% in early 2019, it dropped below 30% in some quarters of 2023 and early 2024, showing improved efficiency or favorable cost management. However, there were irregular spikes, particularly in mid-2022 and early 2025, when cost of revenue surged back to levels near or above 40%, temporarily reducing profitability margins.
- Operating Expenses Evolution
- Operating expenses (comprising R&D and SG&A) showed a downward trajectory as a percentage of revenue starting from around 42.25% in early 2019. Research and development expenses decreased significantly from over 30% to under 10% by 2025, indicating substantial efficiency gains or strategic cost reductions. Sales, general & administrative expenses similarly declined from roughly 11.89% to approximately 2.36%, reflecting tighter operational control. Despite occasional increases, the overall reduction in operating expenses supported improving operating margins.
- Operating Income Development
- Operating income margins improved markedly, starting at 16.13% in early 2019 and reaching over 64% in mid-2024. This upward trend was generally consistent, with minor setbacks corresponding with increased costs or operating expenses seen in mid-2022. The high operating income margins indicate strong operating leverage and effective expense management over time.
- Interest Income and Expense Dynamics
- Interest income was relatively low and stable, mostly below 2%, with minor fluctuations. Interest expense, although present, steadily declined as a percentage of revenue from approximately 0.59% to less than 0.2%, highlighting an improvement in debt servicing costs or lower borrowings relative to revenue growth.
- Other Income and Expense
- Other income (expense) figures showed volatility, alternating between positive and negative values across quarters. There was no clear upward or downward trend, indicating these items had less predictable impact on overall profitability.
- Income Before Tax and Net Income Trends
- Income before income tax steadily increased from around 17.52% in early 2019 to a peak exceeding 66% by mid-2024, reflecting the combined effect of strong gross margin improvement and disciplined expense control. Net income followed a similar trajectory, rising from approximately 17.75% to over 57% in the same timeframe. Notably, net income margins also experienced fluctuations correlating with tax expense variations and operating cost changes. A decline in net income margin is observed in early 2025, corresponding with increased cost of revenue and income tax expenses.
- Income Tax Expense Pattern
- Income tax expense showed inconsistency, with some quarters exhibiting tax benefits (positive values) and others showing increasing tax burden, reaching nearly -9.21% of revenue in early 2024. The variability influenced net income margins, occasionally dampening the gains from operational improvements.