NetApp Inc (NTAP)
Profitability ratios
Return on sales
| Apr 26, 2024 | Apr 28, 2023 | Apr 29, 2022 | Apr 30, 2021 | Apr 24, 2020 | |
|---|---|---|---|---|---|
| Gross profit margin | 71.45% | 66.86% | 67.57% | 67.28% | 67.63% |
| Operating profit margin | 19.57% | 16.17% | 18.53% | 18.18% | 17.64% |
| Pretax margin | 20.36% | 16.93% | 17.53% | 16.97% | 17.62% |
| Net profit margin | 15.89% | 20.24% | 15.00% | 12.87% | 15.29% |
NetApp Inc has shown strong and consistent profitability performance over the past five years based on the provided data on profitability ratios.
The gross profit margin has generally been high, ranging from 66.86% to 71.45%, indicating that the company has been effectively managing its production costs and generating a healthy margin on its products. This suggests that NetApp has a strong pricing strategy and efficient cost control measures in place.
The operating profit margin has also shown a positive trend, increasing from 16.17% to 19.57% over the same period. This indicates that NetApp has been able to effectively manage its operating expenses and maintain a healthy margin after accounting for all operational costs.
The pretax margin has been relatively stable, fluctuating between 16.93% and 20.36%. This shows that NetApp has been able to efficiently manage its income tax expenses and generate consistent profitability before tax implications.
Lastly, the net profit margin, which represents the bottom line profitability after all expenses, has shown mixed results over the years. While there was a decline in 2021, the margins have generally been healthy, ranging from 12.87% to 20.24%. This indicates that NetApp has been able to generate strong profits relative to its revenue, after accounting for all expenses including taxes and interest payments.
Overall, based on these profitability ratios, NetApp Inc has demonstrated a strong ability to generate profits, manage costs effectively, and maintain a healthy margin on its products and services.
Return on investment
| Apr 26, 2024 | Apr 28, 2023 | Apr 29, 2022 | Apr 30, 2021 | Apr 24, 2020 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 12.28% | 10.37% | 11.54% | 11.01% | 12.56% |
| Return on assets (ROA) | 9.97% | 12.98% | 9.35% | 7.80% | 10.89% |
| Return on total capital | 42.29% | 31.93% | 36.23% | 31.23% | 71.97% |
| Return on equity (ROE) | 86.04% | 109.92% | 111.81% | 106.57% | 338.43% |
NetApp Inc's profitability ratios have shown some fluctuations over the past five years.
Operating return on assets (Operating ROA) has been relatively stable, ranging from 10.37% to 12.56%, with the latest figure standing at 12.28% as of April 26, 2024. This ratio indicates how efficiently the company is generating profits from its assets solely related to its main operations.
Return on assets (ROA) has shown more variability, with figures ranging from 7.80% to 12.98% over the same period. The latest ROA figure of 9.97% as of April 26, 2024, suggests that the company is generating less profit relative to its total assets compared to the highs observed in previous years.
Return on total capital has also fluctuated, ranging from 31.23% to 71.97% over the past five years. The latest figure of 42.29% as of April 26, 2024, indicates the company's ability to generate profits from both its equity and debt capital.
Return on equity (ROE) has shown significant variations, ranging from 86.04% to 338.43%. The latest ROE figure of 86.04% as of April 26, 2024, is lower than the peak seen in the past but still reflects a strong ability to generate profit for shareholders based on their equity investments in the company.
Overall, NetApp Inc's profitability ratios demonstrate a mix of stability and variability, with some ratios showing a consistent performance over the years while others experiencing fluctuations. It is important for investors and stakeholders to closely monitor these ratios to assess the company's overall financial health and performance.