Adobe Systems Incorporated (ADBE)
Profitability ratios
Return on sales
| Feb 28, 2025 | Nov 30, 2024 | Nov 29, 2024 | Aug 31, 2024 | Aug 30, 2024 | May 31, 2024 | Mar 1, 2024 | Feb 29, 2024 | Dec 1, 2023 | Nov 30, 2023 | Sep 1, 2023 | Aug 31, 2023 | Jun 2, 2023 | May 31, 2023 | Mar 3, 2023 | Feb 28, 2023 | Dec 2, 2022 | Nov 30, 2022 | Sep 2, 2022 | Aug 31, 2022 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 89.22% | 89.38% | 89.12% | 89.03% | 88.54% | 87.95% | 87.83% | 87.70% | 87.78% | 87.96% | 88.13% | 88.05% | 87.96% | 87.80% | 87.63% | 87.60% | 87.56% | 87.63% | 87.70% | 87.77% |
| Operating profit margin | 36.13% | 35.85% | 36.01% | 31.80% | 31.74% | 31.09% | 30.79% | 35.15% | 34.61% | 34.42% | 34.22% | 34.06% | 33.89% | 33.78% | 33.67% | 33.52% | 33.37% | 33.76% | 34.16% | 35.05% |
| Pretax margin | 36.74% | 36.62% | 36.84% | 32.77% | 28.03% | 27.38% | 27.14% | 31.37% | 35.73% | 35.35% | 34.96% | 34.63% | 34.29% | 34.12% | 33.93% | 33.56% | 33.19% | 33.31% | 33.43% | 34.25% |
| Net profit margin | 30.72% | 30.57% | 30.48% | 26.10% | 21.33% | 20.73% | 20.56% | 24.74% | 29.04% | 28.43% | 27.80% | 27.32% | 26.84% | 26.62% | 26.39% | 26.11% | 25.81% | 26.02% | 26.24% | 27.24% |
Adobe Systems Incorporated has shown a consistent improvement in its profitability ratios over the years.
1. Gross Profit Margin: The company has maintained a high and increasing gross profit margin, reaching 89.22% by February 2025. This indicates that Adobe is effectively managing its production costs and generating more revenue from its core operations.
2. Operating Profit Margin: Adobe's operating profit margin fluctuated but generally showed a positive trend, with a peak of 36.13% in February 2025. This suggests that the company is efficiently controlling its operating expenses and maximizing its operational efficiency.
3. Pre-tax Margin: The pre-tax margin also demonstrated an increasing trend, reaching 36.74% by February 2025. This signifies that Adobe is effectively managing its tax obligations and generating higher earnings before taxes.
4. Net Profit Margin: Adobe's net profit margin has generally improved over time, reaching 30.72% by February 2025. This indicates that the company is effectively managing its overall expenses, including taxes and interest payments, to generate higher profits for its shareholders.
Overall, Adobe Systems Incorporated's profitability ratios reveal a positive trajectory with consistent improvement, reflecting its strong financial performance and efficient management of resources.
Return on investment
| Feb 28, 2025 | Nov 30, 2024 | Nov 29, 2024 | Aug 31, 2024 | Aug 30, 2024 | May 31, 2024 | Mar 1, 2024 | Feb 29, 2024 | Dec 1, 2023 | Nov 30, 2023 | Sep 1, 2023 | Aug 31, 2023 | Jun 2, 2023 | May 31, 2023 | Mar 3, 2023 | Feb 28, 2023 | Dec 2, 2022 | Nov 30, 2022 | Sep 2, 2022 | Aug 31, 2022 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 26.94% | 26.13% | 25.89% | 22.72% | 22.43% | 21.47% | 21.91% | 24.66% | 23.10% | 22.70% | 22.83% | 22.45% | 23.06% | 22.63% | 23.18% | 22.80% | 22.01% | 22.09% | 22.53% | 22.89% |
| Return on assets (ROA) | 22.90% | 22.28% | 21.91% | 18.64% | 15.08% | 14.32% | 14.63% | 17.35% | 19.38% | 18.75% | 18.55% | 18.01% | 18.26% | 17.84% | 18.17% | 17.76% | 17.02% | 17.03% | 17.30% | 17.79% |
| Return on total capital | 63.65% | 57.31% | 56.20% | 47.89% | 46.61% | 44.62% | 42.52% | 47.54% | 43.66% | 42.69% | 43.69% | 42.80% | 44.26% | 43.38% | 44.11% | 43.08% | 41.14% | 40.97% | 40.15% | 40.76% |
| Return on equity (ROE) | 52.39% | 47.74% | 46.96% | 38.23% | 30.92% | 28.94% | 27.21% | 32.27% | 34.94% | 33.81% | 34.20% | 33.22% | 34.26% | 33.46% | 34.11% | 33.33% | 32.91% | 32.92% | 32.20% | 33.10% |
By analyzing the profitability ratios of Adobe Systems Incorporated, it is evident that the company has shown consistent and strong performance over the years.
1. Operating Return on Assets (Operating ROA): Adobe's Operating ROA has been relatively stable within the range of 22% to 24%, indicating that the company is generating a healthy return from its operating activities in relation to its total assets.
2. Return on Assets (ROA): The ROA has also demonstrated a positive trend, ranging from 14% to 23%. This shows that Adobe is effectively utilizing its assets to generate profits for the business.
3. Return on Total Capital: The Return on Total Capital has consistently increased, reaching as high as 64%. This suggests that Adobe is efficiently using both debt and equity to generate returns for its capital providers.
4. Return on Equity (ROE): The ROE has been impressive, with a range between 27% and 52%. This indicates that Adobe is delivering strong returns to its shareholders in comparison to the equity invested in the company.
Overall, Adobe Systems Incorporated's profitability ratios reflect a well-performing and efficient company that is able to generate profits from its assets and capital structure.
See also:
Adobe Systems Incorporated Profitability Ratios (Quarterly Data)