Gen Digital Inc. (GEN)
Profitability ratios
Return on sales
| Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 78.07% | 76.77% | 76.85% | 78.20% | 79.51% | 80.72% | 80.75% | 81.38% | 81.73% | 83.23% | 84.41% | 84.77% | 85.41% | 85.25% | 85.57% | 85.59% | 85.81% | 85.56% | 84.79% | 84.27% |
| Operating profit margin | 40.89% | 41.44% | 40.81% | 31.25% | 29.98% | 28.45% | 29.44% | 37.13% | 36.82% | 32.22% | 32.54% | 34.82% | 35.94% | 41.50% | 41.65% | 40.53% | 35.12% | 27.04% | 18.45% | 13.41% |
| Pretax margin | 26.15% | 24.59% | 24.11% | 13.86% | 12.04% | 10.76% | 11.73% | 21.78% | 24.09% | 23.69% | 27.18% | 36.17% | 37.27% | 44.88% | 45.63% | 39.08% | 34.18% | 33.69% | 40.33% | 33.46% |
| Net profit margin | 16.34% | 16.32% | 16.07% | 15.87% | 16.11% | 36.79% | 37.49% | 37.35% | 40.41% | 17.83% | 20.57% | 30.35% | 29.90% | 33.07% | 32.95% | 23.52% | 21.72% | 23.71% | 131.80% | 162.14% |
Gen Digital Inc.'s profitability ratios have shown some fluctuations over the past few years.
1. Gross Profit Margin: The company's gross profit margin has been consistently high, starting at 84.27% in June 2020 and peaking at 85.81% in March 2021. However, there was a gradual decline afterwards to 78.20% in June 2024, followed by a slight increase to 78.07% in March 2025.
2. Operating Profit Margin: Gen Digital Inc.'s operating profit margin started at 13.41% in June 2020 and experienced significant growth, reaching a peak of 41.65% in December 2021. Subsequently, there were fluctuations, with the margin decreasing to 28.45% in December 2023, before rising again to 40.89% in March 2025.
3. Pretax Margin: The pretax margin fluctuated more prominently, with peaks at 45.63% in September 2021 and troughs at 10.76% in December 2023. The trend was generally decreasing over the period, with a slight recovery towards the end.
4. Net Profit Margin: The net profit margin started at a remarkably high 162.14% in June 2020, but then declined significantly, hitting the lowest point at 15.87% in June 2024. There was a slight improvement afterward, with the margin rising to 16.34% in March 2025.
Overall, while the gross profit margin remained relatively stable, the operating, pretax, and net profit margins experienced fluctuations. It is crucial for Gen Digital Inc. to monitor and manage these ratios effectively to ensure sustainable profitability and financial health in the future.
Return on investment
| Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 10.38% | 10.50% | 10.17% | 7.76% | 7.25% | 6.63% | 6.78% | 8.41% | 7.71% | 6.46% | 5.89% | 15.70% | 14.48% | 16.62% | 16.63% | 16.19% | 14.09% | 10.60% | 7.22% | 5.14% |
| Return on assets (ROA) | 4.15% | 4.13% | 4.01% | 3.94% | 3.89% | 8.57% | 8.63% | 8.46% | 8.46% | 3.57% | 3.72% | 13.69% | 12.04% | 13.24% | 13.16% | 9.40% | 8.71% | 9.30% | 51.61% | 62.12% |
| Return on total capital | 52.71% | 72.85% | 74.59% | 60.41% | 51.48% | 45.16% | 45.82% | 55.50% | 53.77% | 74.66% | 54.12% | — | — | — | — | — | — | — | — | — |
| Return on equity (ROE) | 28.34% | 29.52% | 29.55% | 30.86% | 27.95% | 57.69% | 58.66% | 57.17% | 61.32% | 42.29% | 34.81% | — | — | — | — | — | — | — | — | — |
Gen Digital Inc.'s profitability ratios illustrate its ability to generate earnings relative to its assets and shareholder equity.
1. Operating return on assets (Operating ROA) increased steadily from June 30, 2020, to September 30, 2021, indicating the company's operational efficiency and management effectiveness. However, there was a slight decline in the following periods, possibly due to changes in operational strategies or market conditions.
2. Return on assets (ROA) showed variability over the period, with peaks in September 2021 and December 2021. Despite fluctuations, the company maintained positive returns on its assets, which is indicative of its overall profitability.
3. Return on total capital was not available until the third quarter of 2022, showing a significant return of 54.12%. The metric increased noticeably by September 2024, implying that the company efficiently utilizes both debt and equity to generate returns for its capital providers.
4. Return on equity (ROE) data was unavailable until the third quarter of 2022, where it stood at 34.81%. Thereafter, ROE consistently increased until March 31, 2023, suggesting good profitability relative to shareholders' investments. The metric dropped in the subsequent periods but remained above 25%, signaling a decent return on equity.
In conclusion, Gen Digital Inc. demonstrates a solid financial performance with positive profitability ratios, indicating effective management of assets and shareholder funds. The fluctuations observed in some metrics may reflect changing market dynamics or strategic decisions undertaken by the company. Continual monitoring of these ratios can provide insights into the company's financial health and performance sustainability.