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RMTHF · OTC · United States · Services-Prepackaged Software
In shortMAGIC SOFTWARE ENTERPRISES LTD is profitable, generates cash and holds more cash than debt, with revenue growing (+3.3% last year).
Financial health
Solid
Built from five areas over the last five annual reports. Tap an area to see the figures behind it.
| Operating marginShare of each sale left after running the business, before interest and tax. | – | n/a |
|---|---|---|
| Net marginShare of each sale left as profit after every cost, interest and tax. | 6.7% | 47/100 |
| Return on equityProfit earned on the money shareholders put in. Above 15% is strong. | 13.6% | 68/100 |
| Return on invested capitalProfit earned on all the capital used (equity and debt). Above 10% usually means a real competitive edge. | – | n/a |
Weight in the score: 25%
| Current ratioShort-term assets divided by short-term debts. Below 1 can mean tight cash. | 1.62× | 68/100 |
|---|---|---|
| Debt / equityDebt compared with the shareholders' stake. Above 2 is heavily indebted. | 0.21× | 99/100 |
| Net debt / EBITDAYears of operating profit needed to repay net debt. Below 2 is comfortable. | Net cash | 100/100 |
| Interest coverageHow many times operating profit covers interest. Below 2 is risky. | – | n/a |
| Altman Z''Bankruptcy-risk model. Above 2.6 safe, below 1.1 distress. | – | n/a |
Weight in the score: 25%
| Free cash flow marginCash left from each sale after investments. The money that can pay dividends or reduce debt. | 13.3% | 73/100 |
|---|---|---|
| Free cash flow / net incomeHow much accounting profit turns into real cash. Near 1 or above is healthy. | 1.99× | 100/100 |
| Years with positive free cash flow (last 5) | 5 of 5 | 100/100 |
Weight in the score: 20%
| Profitable years (last 5) | 5 of 5 | 100/100 |
|---|---|---|
| Years of revenue decline (last 5) | 1 of 3 | 44/100 |
| Revenue growth volatility | 11.9% | 67/100 |
| Operating margin volatility | – | n/a |
Weight in the score: 20%
| Revenue growth, 3-year average | 4.8% | 43/100 |
|---|---|---|
| EPS growth, 3-year average | 7.1% | 61/100 |
Weight in the score: 10%
Fiscal year 2024 · change vs prior year
Annual figures as reported. Hover a bar or point for the exact value.
5 older years available with the 10-year history. Essential plan, from €8.25/month →
The last 5 fiscal years from the company's annual reports.
USD millions; negative values in parentheses.
| Fiscal year | FY20 | FY21 | FY22 | FY23 | FY24 |
|---|---|---|---|---|---|
| Revenue | – | 480 | 567 | 535 | 553 |
| Cost of revenue | 262 | 347 | 411 | 382 | 395 |
| Gross profit | 110 | 133 | 155 | 153 | 158 |
| Research & development | 8.8 | 9 | 10 | 10 | 13 |
| Selling, general & admin | – | 7 | 8.2 | 8 | – |
| Operating income | 41 | 51 | – | – | – |
| Interest expense | – | 3.8 | 5 | 9.2 | 9.1 |
| Pre-tax income | 37 | 45 | 57 | 52 | 55 |
| Income tax | 7.3 | 10 | 11 | 9.9 | 11 |
| Net income | 25 | 29 | 40 | 37 | 37 |
| Diluted EPS | $0.49 | $0.61 | $0.82 | $0.75 | $0.75 |
| Diluted shares (millions) | 49 | 49 | 49 | 49 | 49 |
5 older years available with the 10-year history. Essential plan, from €8.25/month →
Not computed: a required balance-sheet item is missing.
5/9
Nine yes-or-no tests on profitability, debt, liquidity and efficiency versus the prior year. 7 to 9 is strong, 0 to 3 is weak.
All figures: SEC EDGAR. Ratios and scores are computed by Scorvest (see how it works). Information only, not investment advice. How it works
Latest annual report: Dec 31, 2024 · Data updated May 15, 2025