Agilysys Inc (AGYS)
Profitability ratios
Return on sales
| Mar 31, 2025 | Mar 31, 2024 | Mar 31, 2023 | Mar 31, 2022 | Mar 31, 2021 | |
|---|---|---|---|---|---|
| Gross profit margin | 62.40% | 60.75% | 61.00% | 62.43% | 65.15% |
| Operating profit margin | 8.20% | 6.63% | 6.50% | 5.58% | -13.29% |
| Pretax margin | 9.30% | 8.71% | 7.96% | 4.00% | -15.46% |
| Net profit margin | 8.43% | 36.30% | 7.36% | 3.98% | -15.31% |
Agilysys Inc's profitability ratios have shown varying trends over the past five years. The gross profit margin has decreased gradually from 65.15% in March 2021 to 62.40% in March 2025. This could indicate potential challenges in managing the cost of goods sold relative to sales.
The operating profit margin, on the other hand, has shown improvement, transitioning from a negative margin of -13.29% in March 2021 to a positive margin of 8.20% in March 2025. This suggests that Agilysys Inc has been able to control its operating expenses more efficiently and generate higher profits from its core operations over the period.
Similarly, the pretax margin has also demonstrated a positive trend, increasing from 4.00% in March 2022 to 9.30% in March 2025. This indicates that the company has been more successful in managing its pre-tax profits relative to its total revenue.
The most notable improvement is observed in the net profit margin, which surged from 3.98% in March 2022 to 36.30% in March 2024, before slightly decreasing to 8.43% in March 2025. This significant increase in net profit margin in 2024 could be attributed to various factors such as effective cost management, revenue growth, or one-time gains.
Overall, while Agilysys Inc experienced some fluctuations in its profitability ratios, particularly in the net profit margin, it has managed to enhance its operational efficiency and profitability over the period under review.
Return on investment
| Mar 31, 2025 | Mar 31, 2024 | Mar 31, 2023 | Mar 31, 2022 | Mar 31, 2021 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 5.20% | 4.50% | 5.30% | 4.24% | -9.60% |
| Return on assets (ROA) | 5.35% | 24.60% | 6.00% | 3.02% | -11.06% |
| Return on total capital | — | 8.75% | 10.89% | 4.91% | -18.37% |
| Return on equity (ROE) | — | 36.45% | 10.07% | 4.88% | -18.21% |
Agilysys Inc's profitability ratios have shown some fluctuations over the past five years. The Operating Return on Assets (Operating ROA) improved from -9.60% in March 2021 to 5.20% in March 2025, indicating an enhancement in the company's ability to generate profits from its assets. Similarly, the Return on Assets (ROA) increased from -11.06% in March 2021 to 5.35% in March 2025, signifying an improvement in the company's overall profitability in relation to its total assets.
The Return on Total Capital has also shown an upward trend, rising from -18.37% in March 2021 to 8.75% in March 2024. This suggests that Agilysys Inc has been more efficient in generating returns from its total invested capital. Additionally, the Return on Equity (ROE) has demonstrated significant growth, surging from -18.21% in March 2021 to 36.45% in March 2024, showcasing a substantial increase in profitability relative to the shareholders' equity.
Overall, the positive trend in Agilysys Inc's profitability ratios indicates an improvement in the company's operational efficiency and profitability over the years, which may be favorable for investors and stakeholders.