Bio-Techne Corp (TECH)
Profitability ratios
Return on sales
| Jun 30, 2025 | Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | |
|---|---|---|---|---|---|
| Gross profit margin | 64.80% | 66.41% | 67.72% | 68.42% | 67.97% |
| Operating profit margin | 19.91% | 17.83% | 26.30% | 26.83% | 16.06% |
| Pretax margin | 8.07% | 16.02% | 29.79% | 27.26% | 15.92% |
| Net profit margin | 6.02% | 14.50% | 25.10% | 24.61% | 15.08% |
The profitability analysis of Bio-Techne Corp over the fiscal years ending June 30, 2021 to June 30, 2025, reveals notable trends in key financial margins.
The gross profit margin has experienced a slight decline, starting at 67.97% in 2021, rising marginally to 68.42% in 2022, then decreasing to 67.72% in 2023. Subsequently, it decreased more substantially to 66.41% in 2024 and further to 64.80% in 2025. This downward trend suggests a gradual compression in gross profitability, potentially due to increasing cost of goods sold or pricing pressures.
The operating profit margin demonstrated significant volatility, beginning at 16.06% in 2021, then sharply increasing to 26.83% in 2022, and remaining relatively stable at 26.30% in 2023. However, it experienced a considerable decline in 2024 to 17.83%, followed by a slight recovery to 19.91% in 2025. The initial increase indicates improved operational efficiency or higher pricing power, while the subsequent drop in 2024 signals a reduction in operating leverage or increased operating expenses, with partial recovery in the following year.
The pretax margin followed a similar pattern, rising from 15.92% in 2021 to peak at 29.79% in 2023, before dropping sharply to 16.02% in 2024 and further decreasing to 8.07% in 2025. The decline in pretax margin reflects increased expenses or operational challenges impacting pre-tax profitability.
The net profit margin closely mirrors pretax trend, starting at 15.08% in 2021, ascending to 24.61% in 2022 and slightly higher at 25.10% in 2023. However, it declined markedly in 2024 to 14.50% and sharply further to 6.02% in 2025, indicating a significant erosion in net profitability and possible impacts from increased tax expenses, interest, or other non-operational costs.
Overall, while Bio-Techne Corp experienced strong profitability in 2022 and 2023, these margins deteriorated notably in the subsequent years, highlighting challenges in maintaining margins amid potential cost pressures or market dynamics.
Return on investment
| Jun 30, 2025 | Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 9.49% | 7.64% | 11.33% | 12.92% | 6.61% |
| Return on assets (ROA) | 2.87% | 6.22% | 10.81% | 11.86% | 6.20% |
| Return on total capital | 0.00% | 9.60% | 17.97% | 18.76% | 10.87% |
| Return on equity (ROE) | 3.83% | 8.13% | 14.51% | 15.99% | 8.94% |
The financial data for Bio-Techne Corp reveals notable trends in profitability ratios over the specified periods. The operating return on assets (Operating ROA) demonstrates a significant increase from 6.61% on June 30, 2021, to a peak of 12.92% on June 30, 2022, indicating improved operational efficiency and asset utilization during that year. Subsequently, there is a decline to 11.33% in 2023, followed by further decreases to 7.64% in 2024 and 9.49% in 2025, reflecting some volatility and potential challenges in maintaining elevated operating profitability.
The return on assets (ROA) exhibits a similar pattern, rising from 6.20% in 2021 to 11.86% in 2022, the highest within the period analyzed, then declining to 10.81% in 2023. The downward trend continues markedly in 2024 with a drop to 6.22%, culminating in a significant reduction to 2.87% by 2025, implying decreasing effectiveness in generating net income from total assets over time.
The return on total capital shows a strong growth from 10.87% in 2021 to 18.76% in 2022, indicative of enhanced profitability relative to the capital employed. However, this ratio declines markedly in subsequent years, reaching 17.97% in 2023, then falling sharply to 9.60% in 2024, and ultimately reaching zero in 2025, which suggests an erosion of profitability or possible changes in capital structure or accounting treatments.
Similarly, the return on equity (ROE) follows an upward trend from 8.94% in 2021 to 15.99% in 2022, reflecting increased efficiency in generating profits for shareholders. This ratio then decreases to 14.51% in 2023, further declining to 8.13% in 2024, and dropping to 3.83% in 2025. These figures indicate a consistent downward trend in shareholder profitability, potentially due to shrinking net incomes relative to equity or alterations in financial leverage.
Overall, the profitability ratios for Bio-Techne Corp suggest a period of robust performance peaking around 2022, followed by a notable decline in subsequent years. This pattern may point to operational challenges, market conditions, or strategic shifts impacting profitability and return metrics.