Synopsys Inc (SNPS)

Profitability ratios

Return on sales

Oct 31, 2024 Jul 31, 2024 Apr 30, 2024 Jan 31, 2024 Oct 31, 2023 Jul 31, 2023 Apr 30, 2023 Jan 31, 2023 Oct 31, 2022 Jul 31, 2022 Apr 30, 2022 Jan 31, 2022 Oct 31, 2021 Jul 31, 2021 Apr 30, 2021 Jan 31, 2021 Oct 31, 2020 Jul 31, 2020 Apr 30, 2020 Jan 31, 2020
Gross profit margin 79.33% 79.89% 78.11% 76.59% 76.20% 75.75% 76.96% 78.91% 79.07% 79.48% 80.05% 79.78% 79.50% 79.11% 78.93% 78.81% 78.44% 78.56% 78.04% 77.69%
Operating profit margin 21.75% 23.80% 22.98% 22.55% 21.89% 19.28% 18.90% 20.70% 22.87% 22.93% 23.18% 20.72% 17.48% 18.17% 18.81% 17.82% 16.83% 15.77% 13.85% 13.64%
Pretax margin 37.65% 25.61% 24.92% 24.46% 22.48% 20.18% 19.48% 20.81% 22.07% 22.36% 22.72% 21.24% 19.19% 19.62% 20.66% 18.76% 17.34% 16.47% 13.95% 14.76%
Net profit margin 36.12% 24.06% 23.05% 22.96% 21.05% 18.71% 17.41% 18.22% 19.38% 20.86% 21.19% 20.18% 18.02% 18.48% 20.27% 18.91% 18.03% 17.88% 13.96% 14.31%

Synopsys Inc's profitability ratios have shown a generally positive trend over the past two years. The gross profit margin has remained consistently high, ranging from 76.20% to 79.89%, indicating efficient cost management and strong pricing power.

The operating profit margin has also shown improvement, with a range of 18.90% to 23.80% over the same period. This indicates effective operational efficiency and cost control measures implemented by the company.

The pretax margin has increased from 19.19% to 37.65% over the past two years, indicating an improvement in the company's ability to generate profit before accounting for taxes. This suggests effective management of operating expenses and potentially favorable tax strategies.

The net profit margin has shown a similar positive trend, ranging from 17.41% to 36.12%. This indicates the company's ability to generate profits after all expenses, including taxes, showcasing strong overall profitability.

Overall, Synopsys Inc's profitability ratios demonstrate consistent and improving financial performance, reflecting effective cost management, operational efficiency, and strong profitability.


Return on investment

Oct 31, 2024 Jul 31, 2024 Apr 30, 2024 Jan 31, 2024 Oct 31, 2023 Jul 31, 2023 Apr 30, 2023 Jan 31, 2023 Oct 31, 2022 Jul 31, 2022 Apr 30, 2022 Jan 31, 2022 Oct 31, 2021 Jul 31, 2021 Apr 30, 2021 Jan 31, 2021 Oct 31, 2020 Jul 31, 2020 Apr 30, 2020 Jan 31, 2020
Operating return on assets (Operating ROA) 10.42% 12.73% 12.92% 13.09% 12.38% 10.74% 10.21% 11.20% 12.34% 12.17% 11.98% 10.49% 8.40% 8.73% 8.98% 8.50% 7.72% 7.23% 6.43% 6.39%
Return on assets (ROA) 17.31% 12.86% 12.96% 13.33% 11.90% 10.42% 9.40% 9.85% 10.45% 11.07% 10.95% 10.21% 8.66% 8.88% 9.69% 9.02% 8.27% 8.19% 6.48% 6.70%
Return on total capital 16.35% 20.38% 21.46% 22.45% 21.32% 18.68% 17.63% 19.05% 20.29% 19.72% 19.40% 17.74% 15.23% 15.51% 16.16% 14.69% 12.86% 12.41% 10.96% 11.86%
Return on equity (ROE) 25.17% 19.44% 19.94% 21.10% 20.01% 17.36% 15.79% 16.72% 17.85% 18.42% 18.13% 16.87% 14.31% 14.63% 15.88% 14.80% 13.54% 13.66% 11.10% 11.64%

Synopsys Inc has demonstrated strong profitability over the analyzed periods, as indicated by its profitability ratios.

- Operating return on assets (Operating ROA) has shown a generally upward trend from 6.39% in Jan 2020 to 12.92% in Apr 2024, indicating that the company is efficiently generating operating income relative to its total assets.

- Return on assets (ROA) has also shown an overall positive trend, increasing from 6.48% in Jan 2020 to 17.31% in Oct 2024, reflecting the company's ability to generate profits from its assets.

- Return on total capital has exhibited a consistent growth pattern, rising from 10.96% in Jan 2020 to 22.45% in Apr 2024, suggesting that Synopsys Inc is effectively utilizing its total capital to generate returns for its stakeholders.

- Return on equity (ROE) has shown a similar positive trajectory, increasing from 11.10% in Jan 2020 to 25.17% in Oct 2024, indicating that the company is delivering strong returns to its equity shareholders.

Overall, the profitability ratios of Synopsys Inc reflect a well-managed financial performance, with consistent improvement in efficiency and profitability over the analyzed periods.


See also:

Synopsys Inc Profitability Ratios (Quarterly Data)