Profitability Summary

We take all the information about a company's profitability (such as its margins, capital efficiency, free cash flow generating ability, and more) and consolidate it into one single number - the profitability score. The higher the profitability score, the more profitable the company is.

Past Growth

Analyzing past growth in Revenue, Operating Income, and Net Income allows investors to assess the company's profitability and operational efficiency. Consistent improvement in these metrics typically signals long-term strength and stability.

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Margins

Profit margins represent what percentage of sales has turned into profits. Simply put, the percentage figure indicates how many cents of profit the company has generated for each dollar of sale.

Profit margins help investors assess if a company's management is generating enough profit from its sales and whether operating costs and overhead costs are being contained.

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Earnings Waterfall
Sodexo SA

Revenue
24.2B EUR
Cost of Revenue
-21.3B EUR
Gross Profit
2.9B EUR
Operating Expenses
-1.8B EUR
Operating Income
1.1B EUR
Other Expenses
-397m EUR
Net Income
676m EUR

Margins Comparison
Sodexo SA Competitors

Country Company Market Cap Gross
Margin
Operating
Margin
Net
Margin
FR
Sodexo SA
PAR:SW
8.3B EUR
12%
4%
3%
US
McDonald's Corp
NYSE:MCD
219.8B USD
57%
46%
32%
US
Starbucks Corp
NASDAQ:SBUX
101.8B USD
25%
12%
9%
US
Chipotle Mexican Grill Inc
NYSE:CMG
70.9B USD
31%
17%
14%
UK
Compass Group PLC
LSE:CPG
43.9B GBP
0%
6%
3%
US
Yum! Brands Inc
NYSE:YUM
40.3B USD
47%
32%
18%
CA
Restaurant Brands International Inc
NYSE:QSR
32.4B USD
56%
26%
11%
CN
MIXUE Group
HKEX:2097
232.1B HKD
32%
23%
18%
IN
Eternal Ltd
NSE:ETERNAL
2.3T INR
73%
-1%
3%
US
Darden Restaurants Inc
NYSE:DRI
25.5B USD
22%
12%
9%
CN
Yum China Holdings Inc
NYSE:YUMC
16.2B USD
42%
11%
8%

Return on Capital

Return on capital ratios give a sense of how well a company is using its capital (equity, assets, capital employed, etc.) to generate profits (operating income, net income, etc.). In simple words, these ratios show how much income is generated for each dollar of capital invested.

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Return on Capital Comparison
Sodexo SA Competitors

Country Company Market Cap ROE ROA ROCE ROIC
FR
Sodexo SA
PAR:SW
8.3B EUR
16%
4%
10%
6%
US
McDonald's Corp
NYSE:MCD
219.8B USD
-189%
15%
24%
18%
US
Starbucks Corp
NASDAQ:SBUX
101.8B USD
-39%
10%
21%
13%
US
Chipotle Mexican Grill Inc
NYSE:CMG
70.9B USD
46%
18%
26%
21%
UK
Compass Group PLC
LSE:CPG
43.9B GBP
22%
6%
19%
10%
US
Yum! Brands Inc
NYSE:YUM
40.3B USD
-18%
22%
48%
39%
CA
Restaurant Brands International Inc
NYSE:QSR
32.4B USD
31%
4%
11%
8%
CN
MIXUE Group
HKEX:2097
232.1B HKD
32%
24%
41%
55%
IN
Eternal Ltd
NSE:ETERNAL
2.3T INR
2%
2%
-1%
-1%
US
Darden Restaurants Inc
NYSE:DRI
25.5B USD
50%
9%
14%
11%
CN
Yum China Holdings Inc
NYSE:YUMC
16.2B USD
16%
8%
14%
12%

Free Cash Flow

Free cash flow (FCF) is the money a company has left over after paying its operating expenses and capital expenditures. The more free cash flow a company has, the more it can allocate to dividends, paying down debt, and growth opportunities.

If a company has a decreasing free cash flow, that is not necessarily bad if the company is investing in its growth.

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