Guidewire Software Inc (GWRE)
Return on assets (ROA)
| Jul 31, 2024 | Jul 31, 2023 | Jul 31, 2022 | Jul 31, 2021 | Jul 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | -6,103 | -111,855 | -180,431 | -66,507 | -27,198 |
| Total assets | US$ in thousands | 2,226,290 | 2,027,890 | 2,266,900 | 2,321,840 | 2,364,850 |
| ROA | -0.27% | -5.52% | -7.96% | -2.86% | -1.15% |
July 31, 2024 calculation
ROA = Net income ÷ Total assets
= $-6,103K ÷ $2,226,290K
= -0.27%
The return on assets (ROA) of Guidewire Software Inc has experienced fluctuations over the past five years, ranging from -7.96% to -0.27%. The negative values indicate that the company is generating lower profits relative to its total assets.
The ROA of -7.96% in July 31, 2022, reflects a significant decline in profitability, possibly due to operational inefficiencies or challenges faced by the company during that period.
Despite the negative trend, the ROA improved slightly to -5.52% in July 31, 2023, suggesting some level of recovery or adjustments made by the company to enhance its asset utilization.
By July 31, 2024, the ROA further increased to -0.27%, indicating a potential turnaround in the company's profitability as it approached breakeven levels.
Overall, the fluctuating ROA figures for Guidewire Software Inc depict a mixed performance in utilizing its assets to generate profits, indicating a need for continued strategic efforts to improve overall financial efficiency.
Peer comparison
Jul 31, 2024