MAGIC SOFTWARE ENTERPRISES LTD financial statements

Income statement, balance sheet and cash flow statement for the last 10 fiscal years, taken from the XBRL data MAGIC SOFTWARE ENTERPRISES LTD files with the SEC in its annual reports.

In USD millions, except per-share amounts. Outflows in the cash flow statement are negative.

Income statement

	FY2015	FY2016	FY2017	FY2018	FY2019	FY2020	FY2021	FY2022	FY2023	FY2024
Revenue	176	202	258	284			480	567	535	553
Cost of revenue	113	133	175	196	224	262	347	411	382	395
Gross profit	62.8	68.3	83	88.8	102	110	133	155	153	158
Research and development	4.89	5.84	6.94	5.7	8.24	8.79	9	10.1	10.3	13.3
Selling, general and administrative							6.97	8.17	8
Selling and marketing	23.1	23.8	27.2	27.2	30.5	31.2	38.1
General and administrative	13.4	17.6	22.8	24.3	29.5	28	32.1
Operating expenses	41.4	47.2	57	57.1	68.5
Operating income	21.4	21.1	26	31.7	33.7	40.6	51.2
Interest expense							3.8	4.99	9.23	9.1
Interest income							0.11	1.39	4.9	3.16
Other non-operating income	0.01	0		0.15	-1.17	-0.92	-3.16
Pre-tax income	20.8	20.7	24.2	31.8	32.5	37.4	45.3	57.4	52.4	54.6
Income tax	3.68	3.95	6.33	7.07	6.87	7.29	10.4	11.1	9.93	11.3
Net income to minority interests	0.24	0.28	0.94	1.51	2.22	2.41	2.06	5.81	5.47	6.41
Net income	16.2	14.2	15.4	19.9	20.3	25.2	29.3	40.5	37	36.9
EBITDA	31.3	32.7	39.6	44.3	47.7	54.5	66.1
EPS, basic	0.37	0.27	0.35	0.39	0.26	0.49	0.52	0.82	0.75	0.75
EPS, diluted	0.36	0.27	0.35	0.39	0.26	0.49	0.52	0.82	0.75	0.75
Shares, basic (weighted)	44.2	44.3	44.4	46.7	48.9	49	49.1
Shares, diluted (weighted)	44.5	44.5	44.6	46.8	49	49	49.1

Balance sheet

	FY2015	FY2016	FY2017	FY2018	FY2019	FY2020	FY2021	FY2022	FY2023	FY2024
Cash and equivalents	62.2	75.3	76.1	87.1	81.9	88.1	88.1	83.1	106	113
Short-term investments		12.5	14.1	9.91	6.6	1.24	1.14
Receivables	52.4	62	82.1	90.3	96.7	92	117	118	108	123
Other current assets	6.24	8.49	8.64	7.03	12.8	10.5	9.89
Total current assets	135	158	182	211	205	211	247	249	257	276
Property, plant and equipment	2.3	3.07	3.47	3.07	3.65	5.99	5.87	8.34	7.99	7.47
Lease right-of-use assets					15	24.5	24.3	27.5	25.7	24.7
Goodwill	63.3	91	98.2	95	118	136	147	159	166	173
Intangible assets	33.6	56.2	51	41.5	51.1	53.4	51.4	159	50.7	45.3
Total assets	240	316	343	362	405	447	492	505	522	540
Accounts payable	6.33	8.39	12.2	14	11	14.3	24.7
Accrued liabilities	4.2	4.96	6.23	6.22	6.79	7.09	8.96
Deferred revenue	4.09	3.88	5.59	4.86	8.72	8.79	10.8
Short-term debt	0	4.46	6.77	6.3	5.52	10.3	17	20.8	28.9	23.2
Total current liabilities	28.4	44.7	59.2	52.9	66.9	84.8	108	156	142	170
Long-term debt	3.26	34.2	34.6	25.7	21.1	23.6	32.5
Lease liabilities					11.1	21.1	21	24.3	23.1	22
Total liabilities	46.7	120	129	114	140	178	216	229	231	239
Total debt	3.26	29.8	27.8	19.4	15.5	13.4	20.2		81.2	59.3
Paid-in capital	181	183	183	218	219	212	212
Retained earnings	15.7	19.8	25.7	30.5	28.4	39.7	43.2	86.3	92.5	108
Other comprehensive income	-6.7	-7.43	0.08	-6.13	-0.32	7.84	9.29
Shareholders' equity	191	196	210	244	248	260	265	263	266	277
Minority interests	2.1	0.42	3.28	4.41	16.9	8.57	10.4	13.4	25	23.9
Total equity	193	197	214	248	265	269	276	276	291	301
Total liabilities and equity	240	316	343	362	405	447	492	505	522	540
Shares outstanding	44.3	44.4	44.5	48.9	48.9	49	49.1

Cash flow statement

	FY2015	FY2016	FY2017	FY2018	FY2019	FY2020	FY2021	FY2022	FY2023	FY2024
Net income	17.1	16.7	17.9	24.8	25.6	30.1	34.9	46.3	42.5	43.3
Depreciation and amortization	9.89	11.6	13.6	12.6	14	13.9	14.9	19.8	20.6	20.8
Stock-based compensation	0.23	0.15	0.08	0.19	0.07	0	0.96
Deferred income tax	-0.67	-0.83	-1.11	0.53	-2.03	-1.65	-3.61
Change in receivables	-8.76	-2.57	-15.8	-11.4
Cash from operations	19.6	28	25.5	24.1	45.9	52.3	37.8	56.6	69	74.8
Capital expenditures	-1.11	-0.8	-1.4	-0.86	-1.38	-2.77	-1.44	-4.38	-1.62	-1.54
Acquisitions	-9.18	-29.7	-1.79	-1.22	-22.6	-16.5	-6.83
Sales and maturities of investments	0	2.64	4.23	4	3.36	5.43
Cash from investing	-16.6	-34.2	-7.32	-19.6	-15.4	-9.6	-16.9	-34.5	-27.6	-22.6
Debt issued	0	31.4	8.54	0.03	0.88	9.69	25.6	30.7	49.5	12.6
Debt repaid	-0.03	0	-8.19	-6.63			-14.5	-14.3	-21	-33.7
Stock issued	0	0	0.59	34.6	0.1	0.26	0.04
Dividends paid	-7.79	-7.76	-9.36	-13.5	-15	-12.5	-21.8
Cash from financing	-11.9	20.4	-19.4	8.43	-37	-39.6	-20.7	-18.3	-17.3	-45.1
Exchange rate effect	-1.38	-1.04	1.98	-1.87	1.26	3.17	-0.25	-8.91	-1.2	-0.24
Net change in cash	-10.3	13.1	0.76	11.1	-5.21	6.21	-0.04	-5.03	22.9	6.84
Free cash flow	18.5	27.2	24.1	23.2	44.6	49.5	36.4	52.2	67.4	73.3
Interest paid	0.11	0.36	0.57	0.31			1.26	1.31	3.21	5.55
Income taxes paid	2.39	4.51	5.37	0.31	6.74	7.84	13.1

Key metrics

Worked out from the statements above. Latest values use fiscal 2024. Valuation uses the share price of $32.56 on September 25, 2026.

Profitability

Metric	Value	How it is calculated
Gross margin	28.6%	Gross profit / revenue.
Pre-tax margin	9.9%	Pre-tax income / revenue.
Net margin	6.7%	Net income / revenue.
FCF margin	13.3%	Free cash flow (cash from operations - capital expenditures) / revenue.
Operating cash flow margin	13.5%	Cash from operations / revenue.
Effective tax rate	20.7%	Income tax / pre-tax income, when pre-tax income is positive.
Return on equity (ROE)	13.6%	Net income / average shareholders' equity (opening and closing). Not shown when equity is negative.
Return on assets (ROA)	6.9%	Net income / average total assets.
R&D / revenue	2.4%	Research and development expense / revenue.
Capex / revenue	0.3%	Capital expenditures / revenue.
D&A / revenue	3.8%	Depreciation and amortization / revenue.

Growth

Metric	Value	How it is calculated
Revenue growth, 1y	3.3%	Revenue vs the same period a year earlier. Only from a positive base.
Revenue CAGR, 3y	4.8%	Compound annual growth of revenue over 3 fiscal years: (end / start)^(1/3) - 1. Only when both values are positive.
Gross profit growth, 1y	3.2%	Gross profit vs the same period a year earlier. Only from a positive base.
Gross profit CAGR, 3y	5.9%	Compound annual growth of gross profit over 3 fiscal years: (end / start)^(1/3) - 1. Only when both values are positive.
Gross profit CAGR, 5y	9.1%	Compound annual growth of gross profit over 5 fiscal years: (end / start)^(1/5) - 1. Only when both values are positive.
Net income growth, 1y	-0.4%	Net income vs the same period a year earlier. Only from a positive base.
Net income CAGR, 3y	7.9%	Compound annual growth of net income over 3 fiscal years: (end / start)^(1/3) - 1. Only when both values are positive.
Net income CAGR, 5y	12.7%	Compound annual growth of net income over 5 fiscal years: (end / start)^(1/5) - 1. Only when both values are positive.
EPS growth, 1y	0.0%	EPS vs the same period a year earlier. Only from a positive base.
EPS CAGR, 3y	13.0%	Compound annual growth of eps over 3 fiscal years: (end / start)^(1/3) - 1. Only when both values are positive.
EPS CAGR, 5y	23.6%	Compound annual growth of eps over 5 fiscal years: (end / start)^(1/5) - 1. Only when both values are positive.
Operating cash flow growth, 1y	8.5%	Operating cash flow vs the same period a year earlier. Only from a positive base.
Operating cash flow CAGR, 3y	25.6%	Compound annual growth of operating cash flow over 3 fiscal years: (end / start)^(1/3) - 1. Only when both values are positive.
Operating cash flow CAGR, 5y	10.2%	Compound annual growth of operating cash flow over 5 fiscal years: (end / start)^(1/5) - 1. Only when both values are positive.
Free cash flow growth, 1y	8.8%	Free cash flow vs the same period a year earlier. Only from a positive base.
Free cash flow CAGR, 3y	26.3%	Compound annual growth of free cash flow over 3 fiscal years: (end / start)^(1/3) - 1. Only when both values are positive.
Free cash flow CAGR, 5y	10.5%	Compound annual growth of free cash flow over 5 fiscal years: (end / start)^(1/5) - 1. Only when both values are positive.
Book value growth, 1y	4.2%	Book value vs the same period a year earlier. Only from a positive base.
Book value CAGR, 3y	1.5%	Compound annual growth of book value over 3 fiscal years: (end / start)^(1/3) - 1. Only when both values are positive.
Book value CAGR, 5y	2.3%	Compound annual growth of book value over 5 fiscal years: (end / start)^(1/5) - 1. Only when both values are positive.
Total assets growth, 1y	3.4%	Total assets vs the same period a year earlier. Only from a positive base.
Total assets CAGR, 3y	3.2%	Compound annual growth of total assets over 3 fiscal years: (end / start)^(1/3) - 1. Only when both values are positive.
Total assets CAGR, 5y	6.0%	Compound annual growth of total assets over 5 fiscal years: (end / start)^(1/5) - 1. Only when both values are positive.

Balance sheet health

Metric	Value	How it is calculated
Current ratio	1.62x	Current assets / current liabilities.
Quick ratio	1.39x	(Cash + short-term investments + receivables) / current liabilities.
Cash ratio	0.66x	(Cash + short-term investments) / current liabilities.
Debt / equity	0.21x	Total debt / shareholders' equity. Not shown when equity is negative.
Debt / assets	11.0%	Total debt / total assets.
Liabilities / assets	44.3%	Total liabilities / total assets.
Net debt	-$53.5M	Total debt - cash - short-term investments. Negative means more cash than debt.
Working capital	$105.9M	Current assets - current liabilities.
Goodwill and intangibles / assets	40.3%	(Goodwill + intangible assets) / total assets.
Tangible book value	$59.4M	Shareholders' equity - goodwill - intangible assets.

Efficiency

Metric	Value	How it is calculated
Asset turnover	1.04x	Revenue / average total assets.
Fixed asset turnover	71.5x	Revenue / average property, plant and equipment.
Receivables turnover	4.77x	Revenue / average receivables.
Days sales outstanding	76 days	365 x average receivables / revenue.
FCF conversion	198.7%	Free cash flow / net income, when net income is positive.
Capex / operating cash flow	2.1%	Capital expenditures / cash from operations, when that is positive.

Per share

Metric	Value	How it is calculated
EPS, diluted	$0.75	Net income per diluted share, as reported (split-adjusted). Over the last twelve months: the four quarters summed, or net income / latest diluted shares when a quarter has no reported EPS.
EPS, basic	$0.75	Net income per basic share, as reported (split-adjusted).

Valuation

Metric	Value	How it is calculated
Market cap	$1.60B	Share price x shares outstanding.
Enterprise value	$1.55B	Market cap + total debt - cash - short-term investments.
P/E	43.3x	Market cap / net income. Only when net income is positive.
P/S	2.89x	Market cap / revenue.
P/B	5.77x	Market cap / shareholders' equity. Only when equity is positive.
Price / tangible book	26.9x	Market cap / tangible book value, when positive.
P/FCF	21.8x	Market cap / free cash flow. Only when free cash flow is positive.
P/OCF	21.4x	Market cap / cash from operations, when positive.
EV/Sales	2.80x	Enterprise value / revenue.
EV/FCF	21.1x	Enterprise value / free cash flow, when both are positive.
FCF yield	4.6%	Free cash flow / market cap.
Earnings yield	2.3%	Net income / market cap (the inverse of P/E).
PEG	3.34x	P/E / EPS growth per year over 3 years (in percent). Only when both are positive.

What was MAGIC SOFTWARE ENTERPRISES LTD's revenue in fiscal 2024?

MAGIC SOFTWARE ENTERPRISES LTD reported revenue of $552.5M for fiscal 2024, 3.3% higher than the year before.

Was MAGIC SOFTWARE ENTERPRISES LTD profitable in fiscal 2024?

Yes. Net income was $36.9M, a net margin of 6.7%.

How much free cash flow did MAGIC SOFTWARE ENTERPRISES LTD generate in fiscal 2024?

Cash from operations of $74.8M minus capital expenditures of $1.5M left free cash flow of $73.3M.

Source: SEC EDGAR XBRL company facts. Where a company tags only year-to-date figures, quarters are worked out as differences. Where a line is not tagged it is left empty, never estimated.

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