Tyler Technologies Inc (TYL)
Profitability ratios
Return on sales
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Gross profit margin | 43.77% | 44.66% | 43.03% | 45.23% | 48.58% |
| Operating profit margin | 14.01% | 11.33% | 11.76% | 11.52% | 15.49% |
| Pretax margin | 14.42% | 10.28% | 10.30% | 10.13% | 15.68% |
| Net profit margin | 12.30% | 8.61% | 9.02% | 10.29% | 17.45% |
Tyler Technologies Inc's profitability ratios have shown some fluctuations over the past five years.
- The Gross Profit Margin has decreased from 48.58% in 2020 to 43.77% in 2024, indicating a decline in the company's ability to generate profits after accounting for the cost of goods sold.
- The Operating Profit Margin declined from 15.49% in 2020 to 11.76% in 2022, before increasing to 14.01% in 2024. This suggests that the company's operational efficiency improved in 2024 compared to the previous two years.
- The Pretax Margin decreased from 15.68% in 2020 to 10.28% in 2023, before rebounding to 14.42% in 2024. This indicates that the company's profitability before taxes has shown volatility but recovered in the most recent year.
- The Net Profit Margin has also fluctuated, decreasing from 17.45% in 2020 to 8.61% in 2023, before increasing to 12.30% in 2024. This trend suggests that Tyler Technologies has experienced challenges in maintaining its bottom-line profitability, but has made some improvements in the latest year.
Overall, while there have been fluctuations in profitability ratios, Tyler Technologies Inc has managed to make some improvements in certain margins over the past five years. It is important for the company to continue monitoring and managing its profitability effectively to ensure long-term financial sustainability.
Return on investment
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 5.78% | 4.67% | 4.57% | 3.82% | 6.63% |
| Return on assets (ROA) | 5.08% | 3.55% | 3.50% | 3.41% | 7.47% |
| Return on total capital | 7.51% | 6.18% | 5.98% | 4.97% | 8.71% |
| Return on equity (ROE) | 7.76% | 5.65% | 6.26% | 6.95% | 9.81% |
Tyler Technologies Inc's profitability ratios have shown some fluctuations over the past five years.
1. Operating Return on Assets (Operating ROA):
- The Operating ROA decreased from 6.63% in 2020 to 3.82% in 2021, indicating a decline in the company's ability to generate profits from its assets. However, there was a slight improvement in the subsequent years, with the ratio reaching 5.78% by the end of 2024.
2. Return on Assets (ROA):
- The ROA also experienced a decline from 7.47% in 2020 to 3.41% in 2021. This suggests a decrease in the company's efficiency in generating profits relative to its total assets. However, there was an improvement in the following years, with the ratio reaching 5.08% by the end of 2024.
3. Return on Total Capital:
- The Return on Total Capital decreased from 8.71% in 2020 to 4.97% in 2021, indicating a decrease in the company's ability to generate returns relative to its total capital employed. However, there was a positive trend in the subsequent years, with the ratio increasing to 7.51% by the end of 2024.
4. Return on Equity (ROE):
- The ROE decreased from 9.81% in 2020 to 6.95% in 2021 and continued to decline to 5.65% by the end of 2023. However, there was a slight improvement in 2024, with the ratio reaching 7.76%.
Overall, the profitability ratios of Tyler Technologies Inc have shown mixed performance, with some ratios improving towards the end of the period. It is important for the company to continue monitoring and improving its profitability metrics to ensure sustainable growth and shareholder value.