Analysis of Profitability Ratios
Profitability ratios measure the company ability to generate profitable sales from its resources (assets).
Profitability Ratios (Summary)
Palo Alto Networks Inc., profitability ratios
Based on: 10-K (reporting date: 2025-07-31), 10-K (reporting date: 2024-07-31), 10-K (reporting date: 2023-07-31), 10-K (reporting date: 2022-07-31), 10-K (reporting date: 2021-07-31), 10-K (reporting date: 2020-07-31).
- Gross Profit Margin
- The gross profit margin demonstrated relative stability with minor fluctuations, starting at 70.68% in 2020 and slightly decreasing to 68.76% in 2022. From 2023 onwards, there was a notable increase, reaching a peak of 74.35% in 2024, followed by a small decline to 73.41% in 2025. This suggests improved cost management or pricing power in the latter years.
- Operating Profit Margin
- Operating profit margin experienced a significant turnaround over the period. Initially negative from 2020 through 2022, with margins of -5.25%, -7.15%, and -3.43% respectively, it shifted to positive territory in 2023 at 5.62%. This positive trend continued with improvements to 8.52% in 2024 and 13.48% in 2025, indicating enhanced operational efficiency and possibly better expense control or revenue growth.
- Net Profit Margin
- The net profit margin trajectory mirrored that of the operating margin but with greater volatility. Starting with negative values, including a low of -11.72% in 2021, it improved markedly in 2023 to a positive 6.38%. A sharp increase occurred in 2024, reaching 32.11%, followed by a decline to 12.3% in 2025. The spike in 2024 indicates an exceptional year, potentially driven by one-off gains or improved profit sources, while the drop in 2025 suggests normalization.
- Return on Equity (ROE)
- Return on equity showed significant volatility and initially deep negative returns, worsening from -24.23% in 2020 to -127.14% in 2022. A strong recovery then took place, turning positive at 25.15% in 2023 and peaking at 49.86% in 2024, before moderating to 14.49% in 2025. This pattern reflects substantial changes in profitability relative to shareholder equity, possibly influenced by fluctuations in net income or equity base adjustments.
- Return on Assets (ROA)
- Return on assets remained negative during the first three years, with the lowest point at -4.87% in 2021. From 2023, ROA turned positive, climbing to 3.03%, then sharply increasing to 12.89% in 2024, before dropping to 4.81% in 2025. This progression indicates improving utilization efficiency of company assets to generate profits, consistent with improved margins and profitability metrics.
Return on Sales
Return on Investment
Gross Profit Margin
Palo Alto Networks Inc., gross profit margin calculation, comparison to benchmarks
| Jul 31, 2025 | Jul 31, 2024 | Jul 31, 2023 | Jul 31, 2022 | Jul 31, 2021 | Jul 31, 2020 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||
| Gross profit | 6,769,900) | 5,968,300) | 4,983,000) | 3,782,800) | 2,981,200) | 2,408,900) | |
| Revenue | 9,221,500) | 8,027,500) | 6,892,700) | 5,501,500) | 4,256,100) | 3,408,400) | |
| Profitability Ratio | |||||||
| Gross profit margin1 | 73.41% | 74.35% | 72.29% | 68.76% | 70.05% | 70.68% | |
| Benchmarks | |||||||
| Gross Profit Margin, Competitors2 | |||||||
| Accenture PLC | — | 32.61% | 32.34% | 31.99% | 32.38% | 31.53% | |
| Adobe Inc. | — | 89.04% | 87.87% | 87.70% | 88.18% | 86.62% | |
| Cadence Design Systems Inc. | — | 86.05% | 89.36% | 89.57% | 89.73% | 88.61% | |
| CrowdStrike Holdings Inc. | 74.92% | 75.27% | 73.17% | 73.60% | 73.75% | 70.58% | |
| Datadog Inc. | — | 80.79% | 80.74% | 79.30% | 77.23% | 78.43% | |
| Fair Isaac Corp. | — | 79.73% | 79.45% | 78.06% | 74.75% | 72.10% | |
| International Business Machines Corp. | — | 56.65% | 55.45% | 54.00% | 54.90% | 48.32% | |
| Intuit Inc. | 79.57% | 78.72% | 78.13% | 81.09% | 82.53% | 82.05% | |
| Microsoft Corp. | 68.82% | 69.76% | 68.92% | 68.40% | 68.93% | 67.78% | |
| Oracle Corp. | 70.51% | 71.41% | 72.85% | 79.08% | 80.59% | 79.68% | |
| Palantir Technologies Inc. | — | 80.25% | 80.62% | 78.56% | 77.99% | 67.74% | |
| Salesforce Inc. | 77.19% | 75.50% | 73.34% | 73.48% | 74.41% | 75.23% | |
| ServiceNow Inc. | — | 79.18% | 78.59% | 78.29% | 77.05% | 78.16% | |
| Synopsys Inc. | — | 79.68% | 79.08% | 79.07% | 79.50% | 78.44% | |
| Workday Inc. | 75.50% | 75.60% | 72.41% | 72.21% | 72.25% | 70.63% | |
Based on: 10-K (reporting date: 2025-07-31), 10-K (reporting date: 2024-07-31), 10-K (reporting date: 2023-07-31), 10-K (reporting date: 2022-07-31), 10-K (reporting date: 2021-07-31), 10-K (reporting date: 2020-07-31).
1 2025 Calculation
Gross profit margin = 100 × Gross profit ÷ Revenue
= 100 × 6,769,900 ÷ 9,221,500 = 73.41%
2 Click competitor name to see calculations.
- Revenue Trends
- Revenue has exhibited a consistent upward trajectory over the analyzed periods. Starting at approximately 3.41 billion US dollars in July 2020, revenue increased each year, reaching around 9.22 billion US dollars by July 2025. This represents a near tripling of revenue within five years, indicating robust sales growth.
- Gross Profit Analysis
- Gross profit values have also increased steadily, from 2.41 billion US dollars in July 2020 to nearly 6.77 billion US dollars in July 2025. The growth in gross profit closely aligns with the revenue expansion, highlighting effective cost management or pricing strategies that have preserved or enhanced profitability at the gross level.
- Gross Profit Margin Examination
- The gross profit margin has generally maintained a strong position, fluctuating within a narrow range while trending slightly upward over time. Beginning at approximately 70.7% in July 2020, the margin decreased marginally in the subsequent years to a low of about 68.8% in July 2022, followed by an increase to a peak of roughly 74.4% in July 2024, before a modest decline to 73.4% in July 2025. This indicates improvements in the company’s ability to retain profit from revenue after accounting for the cost of goods sold, especially in the latter periods.
- Overall Insights
- The combination of steadily increasing revenue and gross profit together with a generally stable or improving gross profit margin suggests strong operational performance. The rising profitability margins imply potential enhancements in production efficiency, cost controls, or the company's pricing power in the marketplace. The data reflects sustained growth with effective financial management at the gross profit level.
Operating Profit Margin
Palo Alto Networks Inc., operating profit margin calculation, comparison to benchmarks
| Jul 31, 2025 | Jul 31, 2024 | Jul 31, 2023 | Jul 31, 2022 | Jul 31, 2021 | Jul 31, 2020 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||
| Operating income (loss) | 1,242,900) | 683,900) | 387,300) | (188,800) | (304,100) | (179,000) | |
| Revenue | 9,221,500) | 8,027,500) | 6,892,700) | 5,501,500) | 4,256,100) | 3,408,400) | |
| Profitability Ratio | |||||||
| Operating profit margin1 | 13.48% | 8.52% | 5.62% | -3.43% | -7.15% | -5.25% | |
| Benchmarks | |||||||
| Operating Profit Margin, Competitors2 | |||||||
| Accenture PLC | — | 14.79% | 13.74% | 15.21% | 15.08% | 14.69% | |
| Adobe Inc. | — | 31.35% | 34.26% | 34.64% | 36.76% | 32.93% | |
| Cadence Design Systems Inc. | — | 29.10% | 30.59% | 30.15% | 26.07% | 24.06% | |
| CrowdStrike Holdings Inc. | -3.05% | -0.07% | -8.48% | -9.82% | -10.58% | -30.34% | |
| Datadog Inc. | — | 2.02% | -1.57% | -3.50% | -1.86% | -2.28% | |
| Fair Isaac Corp. | — | 42.71% | 42.47% | 39.38% | 38.40% | 22.86% | |
| International Business Machines Corp. | — | 14.95% | 15.17% | 13.50% | 11.97% | 9.22% | |
| Intuit Inc. | 26.14% | 22.29% | 21.86% | 20.20% | 25.95% | 28.34% | |
| Microsoft Corp. | 45.62% | 44.64% | 41.77% | 42.06% | 41.59% | 37.03% | |
| Oracle Corp. | 30.80% | 28.99% | 26.21% | 25.74% | 37.58% | 35.57% | |
| Palantir Technologies Inc. | — | 10.83% | 5.39% | -8.46% | -26.66% | -107.41% | |
| Salesforce Inc. | 19.01% | 14.38% | 3.29% | 2.07% | 2.14% | 1.74% | |
| ServiceNow Inc. | — | 12.42% | 8.49% | 4.90% | 4.36% | 4.40% | |
| Synopsys Inc. | — | 22.13% | 21.72% | 22.87% | 17.48% | 16.83% | |
| Workday Inc. | 4.91% | 2.52% | -3.57% | -2.27% | -5.76% | -13.85% | |
| Operating Profit Margin, Sector | |||||||
| Software & Services | — | 30.27% | 27.30% | 27.29% | 28.13% | 24.12% | |
| Operating Profit Margin, Industry | |||||||
| Information Technology | — | 26.58% | 24.45% | 26.39% | 26.70% | 22.67% | |
Based on: 10-K (reporting date: 2025-07-31), 10-K (reporting date: 2024-07-31), 10-K (reporting date: 2023-07-31), 10-K (reporting date: 2022-07-31), 10-K (reporting date: 2021-07-31), 10-K (reporting date: 2020-07-31).
1 2025 Calculation
Operating profit margin = 100 × Operating income (loss) ÷ Revenue
= 100 × 1,242,900 ÷ 9,221,500 = 13.48%
2 Click competitor name to see calculations.
- Revenue Trend
- The revenue demonstrated a consistent and significant upward trajectory over the periods analyzed. Starting from approximately 3.41 billion USD in 2020, it increased annually, reaching over 9.22 billion USD by 2025. This reflects a robust growth trend and expanding business scale.
- Operating Income (Loss) Trend
- Operating income exhibited a volatile pattern initially, with losses deepening from -179 million USD in 2020 to -304.1 million USD in 2021, followed by a reduction in the loss to -188.8 million USD in 2022. Starting 2023, the company shifted to positive operating income, achieving 387.3 million USD, which further escalated to 1.24 billion USD by 2025. This indicates a strong turnaround in operating profitability.
- Operating Profit Margin Trend
- The operating profit margin corresponded closely with the operating income developments. Initially negative, declining from -5.25% in 2020 to -7.15% in 2021 before improving to -3.43% in 2022. From 2023 onwards, the margin turned positive, progressively increasing from 5.62% to 13.48% in 2025. This suggests improving cost management efficiencies and better conversion of revenues into profits over the periods.
- Overall Insights
- The data indicates a company transitioning from a loss-making stage in earlier years towards sustainable profitability. The consistent revenue growth combined with improving operating income and margin suggests successful scaling of operations and enhanced operational efficiency. The marked improvement beginning in 2023 may reflect strategic changes or market conditions favoring improved financial performance.
Net Profit Margin
Palo Alto Networks Inc., net profit margin calculation, comparison to benchmarks
| Jul 31, 2025 | Jul 31, 2024 | Jul 31, 2023 | Jul 31, 2022 | Jul 31, 2021 | Jul 31, 2020 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||
| Net income (loss) | 1,133,900) | 2,577,600) | 439,700) | (267,000) | (498,900) | (267,000) | |
| Revenue | 9,221,500) | 8,027,500) | 6,892,700) | 5,501,500) | 4,256,100) | 3,408,400) | |
| Profitability Ratio | |||||||
| Net profit margin1 | 12.30% | 32.11% | 6.38% | -4.85% | -11.72% | -7.83% | |
| Benchmarks | |||||||
| Net Profit Margin, Competitors2 | |||||||
| Accenture PLC | — | 11.19% | 10.72% | 11.17% | 11.69% | 11.52% | |
| Adobe Inc. | — | 25.85% | 27.97% | 27.01% | 30.55% | 40.88% | |
| Cadence Design Systems Inc. | — | 22.74% | 25.46% | 23.84% | 23.29% | 22.02% | |
| CrowdStrike Holdings Inc. | -0.49% | 2.92% | -8.18% | -16.18% | -10.59% | -29.45% | |
| Datadog Inc. | — | 6.85% | 2.28% | -2.99% | -2.02% | -4.07% | |
| Fair Isaac Corp. | — | 29.86% | 28.37% | 27.12% | 29.78% | 18.26% | |
| International Business Machines Corp. | — | 9.60% | 12.13% | 2.71% | 10.01% | 7.59% | |
| Intuit Inc. | 20.55% | 18.19% | 16.59% | 16.23% | 21.41% | 23.78% | |
| Microsoft Corp. | 36.15% | 35.96% | 34.15% | 36.69% | 36.45% | 30.96% | |
| Oracle Corp. | 21.68% | 19.76% | 17.02% | 15.83% | 33.96% | 25.94% | |
| Palantir Technologies Inc. | — | 16.13% | 9.43% | -19.61% | -33.75% | -106.75% | |
| Salesforce Inc. | 16.35% | 11.87% | 0.66% | 5.45% | 19.16% | 0.74% | |
| ServiceNow Inc. | — | 12.97% | 19.30% | 4.49% | 3.90% | 2.62% | |
| Synopsys Inc. | — | 36.94% | 21.05% | 19.38% | 18.02% | 18.03% | |
| Workday Inc. | 6.23% | 19.02% | -5.90% | 0.57% | -6.54% | -13.25% | |
| Net Profit Margin, Sector | |||||||
| Software & Services | — | 24.65% | 21.87% | 21.62% | 25.23% | 20.01% | |
| Net Profit Margin, Industry | |||||||
| Information Technology | — | 20.61% | 20.36% | 22.42% | 23.60% | 19.65% | |
Based on: 10-K (reporting date: 2025-07-31), 10-K (reporting date: 2024-07-31), 10-K (reporting date: 2023-07-31), 10-K (reporting date: 2022-07-31), 10-K (reporting date: 2021-07-31), 10-K (reporting date: 2020-07-31).
1 2025 Calculation
Net profit margin = 100 × Net income (loss) ÷ Revenue
= 100 × 1,133,900 ÷ 9,221,500 = 12.30%
2 Click competitor name to see calculations.
The financial data reveals notable fluctuations and growth in key performance metrics over the analyzed periods.
- Revenue
- Revenue demonstrates a consistent upward trend from 3,408,400 thousand US dollars in 2020 to 9,221,500 thousand US dollars projected for 2025. This steady increase indicates robust sales growth and expansion of operations over the evaluated timeframe.
- Net Income (Loss)
- Net income exhibits significant volatility. Initially, the company recorded substantial losses in 2020, 2021, and 2022, with figures of -267,000 thousand US dollars, -498,900 thousand US dollars, and -267,000 thousand US dollars, respectively. A marked turnaround occurs in 2023, where net income becomes positive at 439,700 thousand US dollars, followed by a strong increase projected in 2024 to 2,577,600 thousand US dollars. However, this is expected to decline to 1,133,900 thousand US dollars in 2025 while remaining profitable. This pattern suggests initial financial challenges, followed by recovery and profitability growth, albeit with some reduction anticipated in the final period.
- Net Profit Margin
- Reflecting the changes in profitability, the net profit margin moves from negative values in the initial years (-7.83% in 2020, -11.72% in 2021, and -4.85% in 2022) to positive margins from 2023 onward. The margin reaches a peak of 32.11% in 2024, indicating a highly efficient and profitable period, before declining to 12.3% in 2025. Despite this decrease, the margin remains positive and significantly improved compared to earlier years.
Overall, the data indicates a transition from operating losses to strong profitability, supported by robust revenue growth. The considerable improvement in net profit margin in the later periods highlights enhanced operational efficiency or favorable cost management. The downward adjustment in projected profitability in 2025 suggests a cautious outlook or anticipated cost pressures following the peak profitability year.
Return on Equity (ROE)
Palo Alto Networks Inc., ROE calculation, comparison to benchmarks
| Jul 31, 2025 | Jul 31, 2024 | Jul 31, 2023 | Jul 31, 2022 | Jul 31, 2021 | Jul 31, 2020 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||
| Net income (loss) | 1,133,900) | 2,577,600) | 439,700) | (267,000) | (498,900) | (267,000) | |
| Stockholders’ equity | 7,824,400) | 5,169,700) | 1,748,400) | 210,000) | 634,500) | 1,101,800) | |
| Profitability Ratio | |||||||
| ROE1 | 14.49% | 49.86% | 25.15% | -127.14% | -78.63% | -24.23% | |
| Benchmarks | |||||||
| ROE, Competitors2 | |||||||
| Accenture PLC | — | 25.68% | 26.75% | 31.11% | 30.25% | 30.05% | |
| Adobe Inc. | — | 39.42% | 32.86% | 33.85% | 32.59% | 39.66% | |
| Cadence Design Systems Inc. | — | 22.58% | 30.58% | 30.93% | 25.39% | 23.69% | |
| CrowdStrike Holdings Inc. | -0.59% | 3.88% | -12.52% | -22.89% | -10.64% | -19.10% | |
| Datadog Inc. | — | 6.77% | 2.40% | -3.56% | -1.99% | -2.56% | |
| Fair Isaac Corp. | — | — | — | — | — | 71.41% | |
| International Business Machines Corp. | — | 22.06% | 33.29% | 7.47% | 30.38% | 27.14% | |
| Intuit Inc. | 19.63% | 16.07% | 13.81% | 12.57% | 20.89% | 35.76% | |
| Microsoft Corp. | 29.65% | 32.83% | 35.09% | 43.68% | 43.15% | 37.43% | |
| Oracle Corp. | 60.84% | 120.26% | 792.45% | — | 262.43% | 83.94% | |
| Palantir Technologies Inc. | — | 9.24% | 6.04% | -14.57% | -22.71% | -76.61% | |
| Salesforce Inc. | 10.13% | 6.93% | 0.36% | 2.48% | 9.81% | 0.37% | |
| ServiceNow Inc. | — | 14.83% | 22.69% | 6.46% | 6.22% | 4.18% | |
| Synopsys Inc. | — | 25.17% | 20.01% | 17.85% | 14.31% | 13.54% | |
| Workday Inc. | 5.82% | 17.09% | -6.57% | 0.65% | -8.62% | -19.33% | |
| ROE, Sector | |||||||
| Software & Services | — | 28.58% | 28.49% | 31.05% | 36.19% | 30.24% | |
| ROE, Industry | |||||||
| Information Technology | — | 29.31% | 31.93% | 39.07% | 42.41% | 35.69% | |
Based on: 10-K (reporting date: 2025-07-31), 10-K (reporting date: 2024-07-31), 10-K (reporting date: 2023-07-31), 10-K (reporting date: 2022-07-31), 10-K (reporting date: 2021-07-31), 10-K (reporting date: 2020-07-31).
1 2025 Calculation
ROE = 100 × Net income (loss) ÷ Stockholders’ equity
= 100 × 1,133,900 ÷ 7,824,400 = 14.49%
2 Click competitor name to see calculations.
- Net Income (Loss)
- The net income exhibited significant volatility over the observed periods. Initially, the company reported substantial losses, with values of -267,000 thousand USD in 2020 and a worsening loss of -498,900 thousand USD in 2021. In 2022, the net loss returned to the 2020 level of -267,000 thousand USD. However, a positive turnaround occurred in 2023 with net income rising to 439,700 thousand USD, followed by a substantial increase in 2024 reaching 2,577,600 thousand USD. In 2025, net income declined but remained positive at 1,133,900 thousand USD.
- Stockholders’ Equity
- Stockholders' equity fluctuated significantly across the periods. The equity decreased sharply from 1,101,800 thousand USD in 2020 to 210,000 thousand USD in 2022, reflecting considerable erosion in shareholder value. However, starting in 2023, equity reversed this trend with a steady increase, reaching 1,748,400 thousand USD, then rising sharply to 5,169,700 thousand USD in 2024 and further to 7,824,400 thousand USD in 2025. This trend indicates improved financial stability and increased capital base over the latter periods.
- Return on Equity (ROE)
- The ROE indicator demonstrated substantial variability and initial negative performance. From 2020 through 2022, the company experienced strongly negative ROE values, intensifying from -24.23% in 2020 to -127.14% in 2022, reflecting inefficiencies and losses relative to shareholder equity. A notable positive shift occurred in 2023, when ROE turned positive at 25.15%, surging to 49.86% in 2024, indicating strong profitability relative to equity. In 2025, ROE decreased to 14.49%, still positive, suggesting a reduction in profitability efficiency but maintaining a profitable position.
- Summary
- Overall, the data reveals a company transitioning from significant losses and declining equity to markedly improved profitability and enhanced equity base. The initial periods were characterized by financial distress and negative returns on equity. However, from 2023 onwards, there was a positive inflection with growing net income, expanding equity, and strong returns on equity, despite some reduction in ROE in the final year. These trends suggest successful operational or strategic changes leading to improved financial health and shareholder value creation in recent years.
Return on Assets (ROA)
Palo Alto Networks Inc., ROA calculation, comparison to benchmarks
| Jul 31, 2025 | Jul 31, 2024 | Jul 31, 2023 | Jul 31, 2022 | Jul 31, 2021 | Jul 31, 2020 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||
| Net income (loss) | 1,133,900) | 2,577,600) | 439,700) | (267,000) | (498,900) | (267,000) | |
| Total assets | 23,576,200) | 19,990,900) | 14,501,100) | 12,253,600) | 10,241,600) | 9,065,400) | |
| Profitability Ratio | |||||||
| ROA1 | 4.81% | 12.89% | 3.03% | -2.18% | -4.87% | -2.95% | |
| Benchmarks | |||||||
| ROA, Competitors2 | |||||||
| Accenture PLC | — | 12.99% | 13.41% | 14.55% | 13.68% | 13.78% | |
| Adobe Inc. | — | 18.39% | 18.23% | 17.51% | 17.70% | 21.66% | |
| Cadence Design Systems Inc. | — | 11.76% | 18.36% | 16.53% | 15.87% | 14.95% | |
| CrowdStrike Holdings Inc. | -0.22% | 1.34% | -3.65% | -6.49% | -3.39% | -10.09% | |
| Datadog Inc. | — | 3.18% | 1.23% | -1.67% | -0.87% | -1.30% | |
| Fair Isaac Corp. | — | 29.85% | 27.26% | 25.90% | 25.01% | 14.72% | |
| International Business Machines Corp. | — | 4.39% | 5.55% | 1.29% | 4.35% | 3.58% | |
| Intuit Inc. | 10.47% | 9.22% | 8.58% | 7.45% | 13.29% | 16.70% | |
| Microsoft Corp. | 16.45% | 17.21% | 17.56% | 19.94% | 18.36% | 14.70% | |
| Oracle Corp. | 7.39% | 7.42% | 6.33% | 6.15% | 10.48% | 8.78% | |
| Palantir Technologies Inc. | — | 7.29% | 4.64% | -10.80% | -16.02% | -43.35% | |
| Salesforce Inc. | 6.02% | 4.14% | 0.21% | 1.52% | 6.14% | 0.23% | |
| ServiceNow Inc. | — | 6.99% | 9.96% | 2.44% | 2.13% | 1.36% | |
| Synopsys Inc. | — | 17.31% | 11.90% | 10.45% | 8.66% | 8.27% | |
| Workday Inc. | 2.93% | 8.39% | -2.72% | 0.28% | -3.24% | -7.05% | |
| ROA, Sector | |||||||
| Software & Services | — | 12.14% | 11.17% | 11.37% | 12.26% | 9.65% | |
| ROA, Industry | |||||||
| Information Technology | — | 11.93% | 12.50% | 14.55% | 14.65% | 11.44% | |
Based on: 10-K (reporting date: 2025-07-31), 10-K (reporting date: 2024-07-31), 10-K (reporting date: 2023-07-31), 10-K (reporting date: 2022-07-31), 10-K (reporting date: 2021-07-31), 10-K (reporting date: 2020-07-31).
1 2025 Calculation
ROA = 100 × Net income (loss) ÷ Total assets
= 100 × 1,133,900 ÷ 23,576,200 = 4.81%
2 Click competitor name to see calculations.
- Net Income (Loss)
- The net income experienced a significant fluctuation over the analyzed period. It showed a substantial loss in the years ending July 31, 2020, 2021, and 2022, with the peak loss recorded in 2021. Starting from 2023, the company reported a profit, which sharply increased in 2024 before declining in 2025, yet remaining positive. This indicates a turnaround in the company’s profitability beginning in 2023.
- Total Assets
- Total assets showed consistent growth throughout the period, increasing each year. The rise accelerated noticeably in the most recent years, with a marked jump between 2023 and 2024 and a further increase in 2025. This suggests an expansion strategy or investment in asset base over time.
- Return on Assets (ROA)
- The Return on Assets metric mirrored the net income trends, starting with negative returns from 2020 to 2022, reaching its lowest point in 2021. In 2023 the return turned positive and peaked significantly in 2024, reflecting high profitability relative to the asset base. In 2025, although ROA declined from the peak, it remained positive and above earlier years. This pattern indicates improved operational efficiency and asset utilization from 2023 onward.