Sandisk Corp (SNDK)
Profitability ratios
Return on sales
| Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Mar 31, 2016 | Dec 31, 2015 | Sep 30, 2015 | Jun 30, 2015 | Mar 31, 2015 | Dec 31, 2014 | Sep 30, 2014 | Jun 30, 2014 | Mar 31, 2014 | Dec 31, 2013 | Sep 30, 2013 | Jun 30, 2013 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 30.07% | 32.58% | 33.65% | 28.32% | 16.09% | 15.62% | 18.69% | 26.86% | 40.29% | 40.56% | 41.20% | 42.74% | 44.38% | 46.29% | 48.11% | 48.78% | 48.69% | 46.47% | 44.66% | 40.01% |
| Operating profit margin | -18.72% | -16.27% | 10.69% | 4.73% | -6.69% | -8.45% | -6.17% | 1.79% | 12.44% | 11.08% | 12.82% | 15.21% | 19.13% | 24.16% | 26.73% | 27.05% | 27.34% | 25.32% | 23.24% | 19.79% |
| Pretax margin | -20.11% | -17.52% | 9.57% | 3.68% | -7.55% | -8.25% | -7.16% | -0.30% | 9.23% | 6.60% | 9.32% | 12.40% | 17.26% | 22.47% | 25.39% | 26.33% | 26.68% | 24.57% | 22.46% | 18.80% |
| Net profit margin | -22.31% | -20.77% | 6.40% | 0.81% | -10.09% | -11.38% | -9.91% | -2.90% | 7.64% | 6.98% | 7.90% | 9.66% | 12.06% | 15.20% | 17.27% | 17.81% | 18.06% | 16.90% | 15.35% | 12.75% |
The profitability ratios of Sandisk Corp, as depicted in the provided data, reveal notable trends and shifts over the specified periods.
Gross Profit Margin: The company's gross profit margin exhibited a generally upward trajectory from June 30, 2013, reaching a peak of approximately 48.78% in June 2014. This indicates that during this period, Sandisk effectively enhanced its product profitability, possibly through improved production efficiencies or favorable product mix. However, starting after September 2014, a downward trend ensued, with margins declining sharply from approximately 48% to 18.69% by December 2023. Although there was some fluctuation in the subsequent years, the margins remained significantly below their 2014 peak, suggesting increasing cost pressures or competitive challenges impacting the company's gross profitability.
Operating Profit Margin: The operating profit margin demonstrated a strong positive trend in the initial years, peaking at over 27% around March 2014. This reflects robust operational control and profitability before experiencing a steady erosion. Post-2014, a persistent decline was observed, culminating in negative margins from December 2023 through March 2025, indicating that operational costs and expenses were surpassing revenues during these periods. Notably, there was a temporary recovery in September 2024 with a margin of 4.73%, before turning negative again, which might be indicative of cyclical factors or one-off operational challenges.
Pretax Margin: Consistent with operating margins, the pretax margins peaked around March 2014 and then declined significantly thereafter. By the latter periods (2023–2025), the margins turned negative, signaling that the company's pre-tax earnings were insufficient to cover costs or that non-operating expenses adversely impacted profitability. The fluctuations demonstrate worsening profitability efficiency, and the negative pretax margins for the most recent periods highlight heightened financial distress or challenges in managing non-operating items.
Net Profit Margin: The net profit margin followed a similar trend, reaching its highest point (~16.9%) in December 2013. Subsequently, margins declined steadily, turning negative in the latest periods (2023–2025), with a notable dip to -22.31% in June 2025. This trajectory reflects a reduction in net profitability, influenced potentially by increasing costs, declining revenues, or both, culminating in net losses during the latter years.
In summary, Sandisk Corp experienced a period of robust profitability up to 2014, as evidenced by high gross, operating, pretax, and net profit margins. However, from 2014 onward, all margins exhibit a declining trend, with the most recent periods indicating significant declines and losses. This suggests a deterioration in the company's efficiency and profitability, possibly attributable to increased competitive pressures, rising costs, or market challenges faced in the latter years.
Return on investment
| Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Mar 31, 2016 | Dec 31, 2015 | Sep 30, 2015 | Jun 30, 2015 | Mar 31, 2015 | Dec 31, 2014 | Sep 30, 2014 | Jun 30, 2014 | Mar 31, 2014 | Dec 31, 2013 | Sep 30, 2013 | Jun 30, 2013 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | -10.60% | -9.06% | 5.42% | 2.39% | -3.30% | — | — | — | 7.32% | 6.68% | 8.13% | 10.06% | 13.04% | 15.56% | 16.53% | 16.38% | 16.38% | 14.90% | 15.55% | 11.59% |
| Return on assets (ROA) | -12.64% | -11.56% | 3.25% | 0.41% | -4.98% | — | — | — | 4.50% | 4.21% | 5.01% | 6.39% | 8.22% | 9.79% | 10.68% | 10.79% | 10.82% | 9.94% | 10.27% | 7.47% |
| Return on total capital | -15.28% | -15.62% | 4.31% | 1.08% | -6.57% | — | — | -0.07% | 11.87% | 9.42% | 11.54% | 14.32% | 18.70% | 22.37% | 23.79% | 23.44% | 23.39% | 21.76% | 20.35% | 14.41% |
| Return on equity (ROE) | -17.81% | -16.35% | 3.85% | 0.47% | -6.06% | — | — | -1.50% | 8.03% | 6.77% | 8.07% | 10.40% | 13.06% | 15.14% | 16.18% | 15.85% | 15.84% | 14.96% | 13.90% | 9.77% |
The profitability ratios of Sandisk Corp over the specified periods reveal patterns of variation in operational efficiency and overall returns for shareholders.
Beginning with Operating Return on Assets (Operating ROA), the company experienced a notable upward trend from approximately 11.59% on June 30, 2013, reaching a peak of 16.53% on September 30, 2014. This period suggests improved operational efficiency and effective utilization of assets. However, subsequent periods demonstrate a declining trajectory, with Operating ROA decreasing to around 6.68% by December 31, 2015, indicating diminished operational performance. Post-2015, the ratio fluctuates; specifically, as of June 30, 2024, it fell to -3.30%, reflecting a transient period of operational decline, before mildly recovering to 5.42% by December 31, 2024, and then exhibiting negative figures again—-9.06% on March 31, 2025, and -10.60% by June 30, 2025—highlighting challenges in maintaining operational efficiency.
Similarly, the ROA exhibits a trend parallel to Operating ROA but at a generally lower level. It peaked at approximately 10.27% on September 30, 2013, and declined over time, reaching 4.21% on December 31, 2015. The post-2015 data indicate a downward trend, with negative returns starting from June 30, 2024 (-4.98%), followed by brief recovery phases such as 0.41% on September 30, 2024, before receding into negative territory with -11.56% on March 31, 2025, and further declines to -12.64% by June 30, 2025.
The Return on Total Capital (ROTC) follows a pattern of initial growth, peaking at 23.79% on September 30, 2014. Subsequently, this ratio demonstrates a steady decline, dipping to a negative value of -6.57% on June 30, 2024, then gradually recovering to positive figures—1.08% by September 30, 2024, and 4.31% by December 31, 2024. Nonetheless, the later periods again record negative values, notably -15.62% on March 31, 2025, and -15.28% on June 30, 2025, indicating diminishing efficiencies in generating returns from total capital employed.
Return on Equity (ROE) also mirrors the downward trend, with an initial high of 16.18% on September 30, 2014. The figures decline significantly over subsequent periods, with ROE turning negative to -1.50% on September 30, 2023, and further plummeting to -16.35% on March 31, 2025, reaching as low as -17.81% on June 30, 2025. These declines suggest increasing difficulties in generating profits attributable to shareholders' equity.
In aggregate, the data depict a period of strong profitability and operational efficiency during 2013–2014, followed by a sustained decline characterized by increased volatility and negative profitability ratios from mid-2024 onward. The recent negative ratios highlight potential operational or market challenges affecting SanDisk's ability to generate consistent profits and returns for shareholders, signaling areas of concern for financial health and strategic stability.