TRI Profitability Analysis: Past Growth, Margins, Return on Capital, Free Cash Flow, and more - Thomson Reuters Corp - Alpha Spread
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Thomson Reuters Corp
NYSE:TRI

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Thomson Reuters Corp
NYSE:TRI
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Price: 168.16 USD 0.08% Market Closed
Market Cap: 76.1B USD
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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

To be successful and remain in business, both growth and profitability are important and necessary. Net Income growth is often seen as a sign of a company's efficiency from an operational standpoint, but is influenced heavily by a company's goals and challenges and should therefore be assessed in conjunction with other metrics like revenue and operating income growth.

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.

Earnings Waterfall
Thomson Reuters Corp

Revenue
7B USD
Cost of Revenue
-311m USD
Gross Profit
6.7B USD
Operating Expenses
-4.8B USD
Operating Income
2B USD
Other Expenses
402m USD
Net Income
2.4B USD

Margins Comparison
Thomson Reuters Corp Competitors

Country Company Market Cap Gross
Margin
Operating
Margin
Net
Margin
CA
Thomson Reuters Corp
NYSE:TRI
75.7B USD
96%
28%
34%
UK
Relx PLC
LSE:REL
67B GBP
65%
30%
20%
IE
Experian PLC
LSE:EXPN
34.8B GBP
83%
24%
17%
UK
IHS Markit Ltd
F:0M3
37.9B EUR
63%
25%
26%
NL
Wolters Kluwer NV
VSE:WKL
37.6B EUR
72%
24%
18%
US
Verisk Analytics Inc
NASDAQ:VRSK
37.8B USD
68%
42%
32%
US
Equifax Inc
NYSE:EFX
37B USD
56%
18%
11%
US
CoStar Group Inc
NASDAQ:CSGP
31.5B USD
79%
3%
8%
CH
SGS SA
SIX:SGSN
18.1B CHF
94%
13%
8%
US
Leidos Holdings Inc
NYSE:LDOS
20.8B USD
16%
10%
3%
US
Booz Allen Hamilton Holding Corp
NYSE:BAH
20.2B USD
54%
10%
6%
Country CA
Market Cap 75.7B USD
Gross Margin
96%
Operating Margin
28%
Net Margin
34%
Country UK
Market Cap 67B GBP
Gross Margin
65%
Operating Margin
30%
Net Margin
20%
Country IE
Market Cap 34.8B GBP
Gross Margin
83%
Operating Margin
24%
Net Margin
17%
Country UK
Market Cap 37.9B EUR
Gross Margin
63%
Operating Margin
25%
Net Margin
26%
Country NL
Market Cap 37.6B EUR
Gross Margin
72%
Operating Margin
24%
Net Margin
18%
Country US
Market Cap 37.8B USD
Gross Margin
68%
Operating Margin
42%
Net Margin
32%
Country US
Market Cap 37B USD
Gross Margin
56%
Operating Margin
18%
Net Margin
11%
Country US
Market Cap 31.5B USD
Gross Margin
79%
Operating Margin
3%
Net Margin
8%
Country CH
Market Cap 18.1B CHF
Gross Margin
94%
Operating Margin
13%
Net Margin
8%
Country US
Market Cap 20.8B USD
Gross Margin
16%
Operating Margin
10%
Net Margin
3%
Country US
Market Cap 20.2B USD
Gross Margin
54%
Operating Margin
10%
Net Margin
6%

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.

Return on Capital Comparison
Thomson Reuters Corp Competitors

Country Company Market Cap ROE ROA ROCE ROIC
CA
Thomson Reuters Corp
NYSE:TRI
75.7B USD
21%
12%
13%
13%
UK
Relx PLC
LSE:REL
67B GBP
58%
13%
30%
19%
IE
Experian PLC
LSE:EXPN
34.8B GBP
28%
11%
20%
15%
UK
IHS Markit Ltd
F:0M3
37.9B EUR
13%
7%
8%
7%
NL
Wolters Kluwer NV
VSE:WKL
37.6B EUR
59%
12%
25%
15%
US
Verisk Analytics Inc
NASDAQ:VRSK
37.8B USD
246%
20%
34%
24%
US
Equifax Inc
NYSE:EFX
37B USD
13%
5%
10%
7%
US
CoStar Group Inc
NASDAQ:CSGP
31.5B USD
3%
2%
1%
1%
CH
SGS SA
SIX:SGSN
18.1B CHF
124%
8%
21%
13%
US
Leidos Holdings Inc
NYSE:LDOS
20.8B USD
10%
3%
16%
9%
US
Booz Allen Hamilton Holding Corp
NYSE:BAH
20.2B USD
58%
9%
22%
13%
Country CA
Market Cap 75.7B USD
ROE
21%
ROA
12%
ROCE
13%
ROIC
13%
Country UK
Market Cap 67B GBP
ROE
58%
ROA
13%
ROCE
30%
ROIC
19%
Country IE
Market Cap 34.8B GBP
ROE
28%
ROA
11%
ROCE
20%
ROIC
15%
Country UK
Market Cap 37.9B EUR
ROE
13%
ROA
7%
ROCE
8%
ROIC
7%
Country NL
Market Cap 37.6B EUR
ROE
59%
ROA
12%
ROCE
25%
ROIC
15%
Country US
Market Cap 37.8B USD
ROE
246%
ROA
20%
ROCE
34%
ROIC
24%
Country US
Market Cap 37B USD
ROE
13%
ROA
5%
ROCE
10%
ROIC
7%
Country US
Market Cap 31.5B USD
ROE
3%
ROA
2%
ROCE
1%
ROIC
1%
Country CH
Market Cap 18.1B CHF
ROE
124%
ROA
8%
ROCE
21%
ROIC
13%
Country US
Market Cap 20.8B USD
ROE
10%
ROA
3%
ROCE
16%
ROIC
9%
Country US
Market Cap 20.2B USD
ROE
58%
ROA
9%
ROCE
22%
ROIC
13%

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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