Palo Alto Networks (PANW) Financials

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Closing price 10/8/2025 04:00 PM Eastern

Extended Trading

$216.62 -1.16 (-0.53%)

As of 05:37 AM Eastern

Annual Income Statements for Palo Alto Networks

This table shows Palo Alto Networks' income and expenses over time, based on annual financial data. All values are USD millions unless otherwise specified.

Metric	2015	2016	2017	2018	2019	2020	2021	2022	2023	2024	2025
Period end date	7/31/2015	7/31/2016	7/31/2017	7/31/2018	7/31/2019	7/31/2020	7/31/2021	7/31/2022	7/31/2023	7/31/2024	7/31/2025
Net Income / (Loss) Attributable to Common Shareholders	-131	-193	-203	-122	-82	-267	-499	-267	440	2,578	1,134
Consolidated Net Income / (Loss)	-131	-193	-203	-122	-82	-267	-499	-267	440	2,578	1,134
Net Income / (Loss) Continuing Operations	-131	-193	-203	-122	-82	-267	-499	-267	440	2,578	1,134
Total Pre-Tax Income	-122	-172	-180	-105	-75	-232	-465	-207	566	988	1,596
Total Operating Income	-100	-157	-166	-104	-54	-179	-304	-189	387	684	1,243
Total Gross Profit	677	1,009	1,279	2,274	2,091	2,409	2,981	3,783	4,983	5,968	6,770
Total Revenue	928	1,379	1,755	2,274	2,900	3,408	4,256	5,502	6,893	8,028	9,222
Operating Revenue	928	1,379	1,755	2,274	2,900	3,408	4,256	5,502	6,893	8,028	9,222
Total Cost of Revenue	252	370	476	0.00	808	1,000	1,275	1,719	1,910	2,059	2,452
Operating Cost of Revenue	252	370	-476	-	808	1,000	1,275	1,719	1,910	2,059	2,452
Total Operating Expenses	776	1,166	1,445	2,378	2,145	2,588	3,285	3,972	4,596	5,284	5,527
Selling, General & Admin Expense	102	138	198	258	262	300	391	405	448	681	443
Marketing Expense	489	743	899	1,074	1,344	1,520	1,754	2,149	2,544	2,795	3,100
Research & Development Expense	186	284	347	401	540	768	1,140	1,418	1,604	1,809	1,984
Total Other Income / (Expense), net	-22	-15	-14	-1.10	-21	-53	-161	-18	179	304	353
Interest Expense	22	23	25	30	84	89	163	27	27	8.30	3.00
Other Income / (Expense), net	0.20	8.40	10	29	63	36	2.40	9.00	206	313	356
Income Tax Expense	9.40	20	23	17	7.30	35	34	60	127	-1,589	462
Basic Earnings per Share	($1.61)	($2.21)	($2.24)	($1.33)	($0.87)	($2.76)	($1.73)	($0.90)	$0.73	$4.04	$1.71
Weighted Average Basic Shares Outstanding	81.60M	87.10M	90.60M	91.70M	94.50M	96.90M	289.10M	295.60M	606.40M	638.50M	662.50M
Diluted Earnings per Share	($1.61)	($2.21)	($2.24)	($1.33)	($0.87)	($2.76)	($1.73)	($0.90)	$0.64	$3.64	$1.60
Weighted Average Diluted Shares Outstanding	81.60M	87.10M	90.60M	91.70M	94.50M	96.90M	289.10M	295.60M	684.50M	707.90M	709.30M
Weighted Average Basic & Diluted Shares Outstanding	81.60M	87.10M	90.60M	91.70M	94.50M	96.90M	97.41M	99.74M	308.59M	325.60M	668.90M

This table shows Palo Alto Networks' income and expenses over time, based on quarterly financial data. All values are USD millions unless otherwise specified.

Metric	Q2 2023	Q3 2023	Q4 2023	Q1 2024	Q2 2024	Q3 2024	Q4 2024	Q1 2025	Q2 2025	Q3 2025	Q4 2025
Period end date	1/31/2023	4/30/2023	7/31/2023	10/31/2023	1/31/2024	4/30/2024	7/31/2024	10/31/2024	1/31/2025	4/30/2025	7/31/2025
Net Income / (Loss) Attributable to Common Shareholders	84	108	228	194	1,747	279	358	351	267	262	254
Consolidated Net Income / (Loss)	84	108	228	194	1,747	279	358	351	267	262	254
Net Income / (Loss) Continuing Operations	84	108	228	194	1,747	279	358	351	267	262	254
Total Pre-Tax Income	84	131	317	283	136	251	319	369	325	311	592
Total Operating Income	40	79	254	215	54	177	238	287	240	219	497
Total Gross Profit	1,189	1,246	1,447	1,405	1,476	1,471	1,616	1,585	1,658	1,670	1,857
Total Revenue	1,655	1,721	1,953	1,878	1,975	1,985	2,190	2,139	2,257	2,289	2,536
Operating Revenue	1,655	1,721	1,953	1,878	1,975	1,985	2,190	2,139	2,257	2,289	2,536
Total Cost of Revenue	466	475	507	473	499	514	574	554	599	619	679
Operating Cost of Revenue	466	475	507	473	499	514	574	554	599	619	679
Total Operating Expenses	1,149	1,167	1,193	1,190	1,422	1,295	1,377	1,298	1,418	1,451	1,360
Selling, General & Admin Expense	119	114	115	120	302	119	140	98	154	164	27
Marketing Expense	626	640	664	661	673	719	742	720	758	793	829
Research & Development Expense	404	414	414	410	448	457	495	480	506	495	504
Total Other Income / (Expense), net	45	52	63	67	82	75	81	82	84	92	95
Interest Expense	6.90	7.80	5.70	2.90	2.80	2.30	0.30	1.20	0.90	0.70	0.20
Other Income / (Expense), net	51	60	69	70	85	77	81	83	85	92	95
Income Tax Expense	0.20	23	89	88	-1,611	-28	-39	18	58	48	338
Basic Earnings per Share	$0.28	$0.35	$0.75	$0.63	$2.73	$0.43	$1.12	$1.07	$0.41	$0.39	$0.38
Weighted Average Basic Shares Outstanding	302.30M	303.90M	303.20M	310.10M	639.30M	645.80M	319.20M	326.80M	659.30M	665.10M	662.50M
Diluted Earnings per Share	$0.25	$0.31	$0.75	$0.56	$2.44	$0.39	$1.12	$0.99	$0.38	$0.37	$0.38
Weighted Average Diluted Shares Outstanding	331.60M	344.70M	342.30M	349.80M	715M	709.30M	354M	354.50M	709M	707.40M	709.30M
Basic & Diluted Earnings per Share	-	-	$0.75	-	-	-	$1.12	-	-	-	$0.38
Weighted Average Basic & Diluted Shares Outstanding	302.61M	305.85M	308.59M	315.30M	323.10M	323.80M	325.60M	328.10M	662.10M	666.80M	668.90M

This table details how cash moves in and out of Palo Alto Networks' business through operations, investing, and financing, using annual figures. All values are USD millions unless otherwise specified.

Metric	2015	2016	2017	2018	2019	2020	2021	2022	2023	2024	2025
Period end date	7/31/2015	7/31/2016	7/31/2017	7/31/2018	7/31/2019	7/31/2020	7/31/2021	7/31/2022	7/31/2023	7/31/2024	7/31/2025
Net Change in Cash & Equivalents	-278	359	10	1,764	-1,698	1,997	-1,082	245	-983	405	732
Net Cash From Operating Activities	353	659	869	1,038	1,056	1,036	1,503	1,985	2,778	3,258	3,716
Net Cash From Continuing Operating Activities	353	659	869	1,038	902	1,036	1,503	1,985	2,778	3,258	3,716
Net Income / (Loss) Continuing Operations	-131	-193	-203	-122	-82	-267	-499	-267	440	2,578	1,134
Consolidated Net Income / (Loss)	-131	-193	-203	-122	-82	-267	-499	-267	440	2,578	1,134
Depreciation Expense	29	43	60	96	-	206	260	283	282	283	343
Amortization Expense	26	26	135	179	312	322	454	383	368	389	441
Non-Cash Adjustments To Reconcile Net Income	221	393	495	538	656	703	939	1,066	1,124	1,131	1,361
Changes in Operating Assets and Liabilities, net	208	389	382	347	170	72	349	521	563	-1,123	438
Net Cash From Investing Activities	-679	-339	-473	-520	-1,826	288	-1,481	-933	-2,034	-1,510	-2,205
Net Cash From Continuing Investing Activities	-679	-339	-473	-520	-1,826	288	-1,481	-933	-2,034	-1,510	-2,205
Purchase of Property, Plant & Equipment	-34	-73	-163	-112	-131	-214	-116	-193	-146	-157	-246
Acquisitions	-15	0.00	-91	-374	-774	-584	-777	-37	-205	-611	-1,054
Purchase of Investments	-988	-1,037	-996	-726	-2,985	-1,181	-1,959	-2,272	-5,460	-3,551	-3,696
Sale and/or Maturity of Investments	358	771	777	692	2,064	2,267	1,372	1,568	3,777	2,809	2,792
Net Cash From Financing Activities	48	39	-386	1,246	-774	673	-1,104	-807	-1,726	-1,343	-779
Net Cash From Continuing Financing Activities	48	39	-386	1,246	-774	673	-1,104	-807	-1,726	-1,343	-779
Repayment of Debt	-	-	0.00	0.00	-481	0.00	-1.10	-0.60	-1,692	-1,034	-966
Repurchase of Common Equity	0.00	0.00	-411	-259	-330	-1,198	-1,178	-892	-273	-567	0.00
Issuance of Common Equity	48	45	46	198	72	287	104	137	259	284	371
Other Financing Activities, net	0.00	0.00	-21	-376	-35	-395	-29	-50	-20	-27	-184
Cash Interest Paid	-	-	0.00	0.80	14	14	20	20	20	5.60	1.70
Cash Income Taxes Paid	18	7.10	9.00	11	22	17	25	35	147	342	506

This table details how cash moves in and out of Palo Alto Networks' business through operations, investing, and financing, using quarterly figures. All values are USD millions unless otherwise specified.

Metric	Q2 2023	Q3 2023	Q4 2023	Q1 2024	Q2 2024	Q3 2024	Q4 2024	Q1 2025	Q2 2025	Q3 2025	Q4 2025
Period end date	1/31/2023	4/30/2023	7/31/2023	10/31/2023	1/31/2024	4/30/2024	7/31/2024	10/31/2024	1/31/2025	4/30/2025	7/31/2025
Net Change in Cash & Equivalents	-721	648	-858	1,355	-708	-407	165	746	-56	158	-116
Net Cash From Operating Activities	695	432	414	1,526	690	529	513	1,510	557	629	1,021
Net Cash From Continuing Operating Activities	695	432	414	1,526	690	529	513	1,510	557	629	1,021
Net Income / (Loss) Continuing Operations	84	108	228	194	1,747	279	358	351	267	262	254
Consolidated Net Income / (Loss)	84	108	228	194	1,747	279	358	351	267	262	254
Depreciation Expense	70	72	69	64	69	74	76	84	88	88	84
Amortization Expense	85	83	100	92	94	96	108	96	104	110	131
Non-Cash Adjustments To Reconcile Net Income	296	283	267	283	286	278	284	310	337	342	372
Changes in Operating Assets and Liabilities, net	160	-114	-250	892	-1,505	-198	-313	669	-239	-173	181
Net Cash From Investing Activities	-1,165	88	363	-129	-1,326	113	-169	-544	-381	-518	-763
Net Cash From Continuing Investing Activities	-1,165	88	363	-129	-1,326	113	-169	-544	-381	-518	-763
Purchase of Property, Plant & Equipment	-38	-31	-37	-37	-35	-37	-47	-44	-48	-68	-86
Acquisitions	-	-19	-	0.00	-611	-	-	-500	0.50	-	-555
Purchase of Investments	-1,607	-742	-999	-855	-1,157	-475	-1,065	-660	-1,072	-1,089	-875
Sale and/or Maturity of Investments	666	880	1,399	763	477	626	944	660	738	640	753
Net Cash From Financing Activities	-251	128	-1,635	-42	-73	-1,049	-179	-220	-232	47	-374
Net Cash From Continuing Financing Activities	-251	128	-1,635	-42	-73	-1,049	-179	-220	-232	47	-374
Repayment of Debt	-	-	-1,692	-46	-126	-662	-200	-319	-112	-151	-383
Issuance of Common Equity	0.70	130	60	86	58	116	24	121	37	203	9.90
Other Financing Activities, net	-1.50	-2.10	-2.90	-16	-3.80	-3.40	-3.90	-21	-156	-5.30	-0.70

This table presents Palo Alto Networks' assets and liabilities at the end of each period, using annual balance sheet data. All values are USD millions unless otherwise specified.

Metric	2015	2016	2017	2018	2019	2020	2021	2022	2023	2024	2025
Period end date	7/31/2015	7/31/2016	7/31/2017	7/31/2018	7/31/2019	7/31/2020	7/31/2021	7/31/2022	7/31/2023	7/31/2024	7/31/2025
Total Assets	1,965	2,858	3,438	5,949	6,592	9,065	10,242	12,254	14,501	19,991	23,576
Total Current Assets	1,074	1,774	1,976	4,139	3,665	5,129	4,647	6,415	6,048	6,850	7,523
Cash & Equivalents	376	734	744	2,507	961	2,958	1,874	2,119	1,135	1,535	2,269
Short-Term Investments	413	551	631	897	1,842	790	1,027	1,516	1,255	1,044	635
Note & Lease Receivable	-	-	-	-	-	-	-	111	389	726	715
Accounts Receivable	212	349	432	467	582	1,037	1,240	2,143	2,463	2,619	2,965
Prepaid Expenses	73	140	169	268	279	138	229	209	467	557	521
Other Current Assets	-	-	-	-	-	206	277	318	339	369	420
Plant, Property, & Equipment, net	63	117	211	273	296	348	318	358	355	361	387
Total Noncurrent Assets	828	967	1,251	1,537	2,631	3,588	5,276	5,481	8,099	12,780	15,666
Long-Term Investments	539	653	789	548	575	554	888	1,052	3,048	4,173	5,556
Noncurrent Note & Lease Receivables	-	-	-	-	-	-	-	192	653	1,182	1,002
Goodwill	164	164	239	523	1,352	1,813	2,710	2,748	2,927	3,350	4,567
Intangible Assets	53	44	54	141	281	358	499	385	315	375	763
Noncurrent Deferred & Refundable Income Taxes	-	-	-	-	-	-	-	-	23	2,399	2,424
Other Noncurrent Operating Assets	73	107	169	326	423	440	684	555	585	739	769
Other Noncurrent Nonoperating Assets	-	-	-	-	-	422	495	550	547	562	586
Total Liabilities & Shareholders' Equity	1,965	2,858	3,438	5,949	6,592	9,065	10,242	12,254	14,501	19,991	23,576
Total Liabilities	1,389	1,963	2,679	4,767	5,006	7,964	9,478	12,044	12,753	14,821	15,752
Total Current Liabilities	1,032	847	1,201	2,102	2,053	2,692	5,117	8,306	7,738	7,683	7,988
Short-Term Debt	487	-	0.00	550	-	0.00	1,558	3,677	1,992	964	0.00
Accounts Payable	13	30	36	49	73	64	57	128	132	116	232
Accrued Expenses	28	39	80	125	162	257	329	399	391	507	846
Current Deferred Revenue	424	704	968	1,214	1,582	2,049	2,742	3,641	4,675	5,541	6,302
Current Employee Benefit Liabilities	80	74	118	164	236	322	431	461	548	555	608
Total Noncurrent Liabilities	357	1,117	1,477	2,665	2,953	5,272	4,361	3,737	5,015	7,139	7,764
Noncurrent Deferred Revenue	290	537	805	1,066	1,307	1,761	2,282	3,353	4,622	5,939	6,450
Noncurrent Deferred & Payable Income Tax Liabilities	-	-	-	-	-	-	-	-	28	388	89
Other Noncurrent Operating Liabilities	67	79	148	230	216	427	411	385	365	811	1,225
Commitments & Contingencies	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00
Total Equity & Noncontrolling Interests	488	895	760	1,160	1,586	1,102	635	210	1,748	5,170	7,824
Total Preferred & Common Equity	488	895	760	1,160	1,586	1,102	635	210	1,748	5,170	7,824
Preferred Stock	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00
Total Common Equity	488	895	760	1,160	1,586	1,102	635	210	1,748	5,170	7,824
Common Stock	989	1,516	1,600	1,967	2,491	2,259	2,311	1,933	3,019	3,821	5,292
Retained Earnings	-501	-622	-837	-791	-901	-1,168	-1,667	-1,667	-1,227	1,350	2,484
Accumulated Other Comprehensive Income / (Loss)	-0.10	1.00	-3.40	-16	-3.70	11	-9.90	-56	-43	-1.60	48

This table presents Palo Alto Networks' assets and liabilities at the end of each period, using quarterly balance sheet data. All values are USD millions unless otherwise specified.

Metric	Q1 2023	Q2 2023	Q3 2023	Q4 2023	Q1 2024	Q2 2024	Q3 2024	Q4 2024	Q1 2025	Q2 2025	Q3 2025
Period end date	10/31/2022	1/31/2023	4/30/2023	7/31/2023	10/31/2023	1/31/2024	4/30/2024	7/31/2024	10/31/2024	1/31/2025	4/30/2025
Total Assets	12,544	13,163	14,171	14,501	14,809	18,292	17,931	19,991	20,375	20,952	22,003
Total Current Assets	5,734	5,406	6,414	6,048	6,478	6,447	5,919	6,850	6,243	6,340	6,899
Cash & Equivalents	2,067	1,346	1,993	1,135	2,491	1,783	1,374	1,535	2,283	2,226	2,383
Short-Term Investments	1,737	2,001	1,965	1,255	1,402	1,589	1,517	1,044	1,108	1,007	917
Note & Lease Receivable	-	-	-	389	446	446	572	726	805	755	737
Accounts Receivable	1,238	1,278	1,444	2,463	1,413	1,896	1,715	2,619	1,133	1,496	1,950
Prepaid Expenses	381	467	695	467	396	406	404	557	546	480	524
Other Current Assets	311	313	317	339	329	328	337	369	368	376	387
Plant, Property, & Equipment, net	354	345	342	355	353	352	350	361	361	358	367
Total Noncurrent Assets	6,457	7,413	7,415	8,099	7,978	11,493	11,662	12,780	13,771	14,254	14,737
Long-Term Investments	2,095	2,821	2,710	3,048	2,989	3,620	3,504	4,173	4,120	4,560	5,152
Noncurrent Note & Lease Receivables	-	-	-	653	640	640	883	1,182	1,092	1,164	1,069
Goodwill	2,748	2,912	2,927	2,927	2,927	3,373	3,373	3,350	4,051	4,051	4,051
Intangible Assets	355	362	341	315	291	440	408	375	810	771	730
Noncurrent Deferred & Refundable Income Taxes	-	-	-	23	-	2,234	2,292	2,399	2,398	2,447	2,452
Other Noncurrent Operating Assets	1,259	1,318	1,438	585	1,132	1,186	1,202	739	769	738	754
Other Noncurrent Nonoperating Assets	-	-	-	547	-	-	-	562	532	523	528
Total Liabilities & Shareholders' Equity	12,544	13,163	14,171	14,501	14,809	18,292	17,931	19,991	20,375	20,952	22,003
Total Liabilities	12,036	12,434	12,938	12,753	12,638	13,935	13,463	14,821	14,463	14,576	14,772
Total Current Liabilities	8,195	8,475	8,641	7,738	7,513	7,766	7,085	7,683	7,403	7,552	7,706
Short-Term Debt	3,679	3,680	3,682	1,992	1,947	1,822	1,163	964	646	534	383
Accounts Payable	126	128	92	132	132	179	109	116	212	149	235
Accrued Expenses	380	329	376	391	372	394	413	507	683	778	825
Current Deferred Revenue	3,741	3,943	4,147	4,675	4,732	4,918	5,015	5,541	5,508	5,600	5,757
Current Employee Benefit Liabilities	269	395	345	548	331	453	386	555	355	492	506
Total Noncurrent Liabilities	3,841	3,959	4,297	5,015	5,125	6,169	6,378	7,139	7,060	7,024	7,067
Noncurrent Deferred Revenue	3,438	3,612	3,943	4,622	4,711	4,900	5,153	5,939	5,586	5,663	5,817
Noncurrent Deferred & Payable Income Tax Liabilities	-	-	-	28	-	589	503	388	251	116	26
Other Noncurrent Operating Liabilities	402	348	354	365	414	681	723	811	1,223	1,246	1,224
Commitments & Contingencies	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00
Total Equity & Noncontrolling Interests	508	729	1,232	1,748	2,171	4,357	4,468	5,170	5,912	6,375	7,231
Total Preferred & Common Equity	508	729	1,232	1,748	2,171	4,357	4,468	5,170	5,912	6,375	7,231
Preferred Stock	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00
Total Common Equity	508	729	1,232	1,748	2,171	4,357	4,468	5,170	5,912	6,375	7,231
Common Stock	2,266	2,303	2,708	3,019	3,297	3,650	3,531	3,821	4,215	4,421	4,952
Retained Earnings	-1,647	-1,563	-1,455	-1,227	-1,033	714	993	1,350	1,701	1,968	2,230
Accumulated Other Comprehensive Income / (Loss)	-111	-11	-21	-43	-93	-6.50	-55	-1.60	-4.00	-14	48

This table displays calculated financial ratios and metrics derived from Palo Alto Networks' official financial filings.

Metric	2015	2016	2017	2018	2019	2020	2021	2022	2023	2024	2025
Period end date	7/31/2015	7/31/2016	7/31/2017	7/31/2018	7/31/2019	7/31/2020	7/31/2021	7/31/2022	7/31/2023	7/31/2024	7/31/2025
Growth Metrics	-	-	-	-	-	-	-	-	-	-	-
Revenue Growth	55.15%	48.53%	27.32%	29.54%	27.53%	17.55%	24.87%	29.26%	25.29%	16.46%	14.87%
EBITDA Growth	77.13%	-76.33%	148.68%	414.95%	60.56%	20.04%	7.17%	17.66%	156.10%	34.23%	42.74%
EBIT Growth	54.79%	-49.50%	-4.50%	51.35%	112.29%	-1,638.71%	-110.83%	40.40%	430.09%	67.92%	60.42%
NOPAT Growth	53.65%	-57.62%	-5.40%	37.15%	48.08%	-230.87%	-69.89%	37.92%	327.54%	493.15%	-50.48%
Net Income Growth	42.03%	-46.76%	-5.35%	39.80%	32.98%	-226.01%	-86.85%	46.48%	264.68%	486.22%	-56.01%
EPS Growth	47.21%	-37.27%	-1.36%	40.63%	34.59%	-217.24%	-86.85%	46.48%	242.22%	468.75%	-56.04%
Operating Cash Flow Growth	299.10%	86.68%	31.92%	19.49%	1.69%	-1.89%	45.12%	32.05%	39.95%	17.29%	14.07%
Free Cash Flow Firm Growth	156.50%	7.80%	31.11%	-147.29%	-402.46%	109.75%	-994.46%	301.97%	29.57%	-39.89%	28.39%
Invested Capital Growth	-580.56%	-105.10%	-61.97%	3.57%	57.32%	-48.70%	45.34%	-358.46%	-66.34%	47.42%	-3.38%
Revenue Q/Q Growth	12.85%	9.27%	6.16%	7.36%	5.35%	4.43%	6.74%	6.41%	6.21%	3.03%	3.91%
EBITDA Q/Q Growth	43.70%	-23.57%	146.75%	-3.57%	-22.87%	54.10%	-3.26%	25.03%	30.22%	0.76%	14.56%
EBIT Q/Q Growth	23.01%	-14.36%	5.81%	33.25%	-69.31%	-19.45%	-17.03%	32.13%	100.85%	-0.29%	20.57%
NOPAT Q/Q Growth	19.78%	-16.17%	5.37%	22.59%	-99.63%	-4.62%	-16.29%	28.65%	150.05%	2.78%	-4.08%
Net Income Q/Q Growth	13.11%	-11.00%	3.24%	20.55%	-51.39%	-16.64%	-13.77%	31.47%	104.23%	5.31%	-8.39%
EPS Q/Q Growth	15.26%	-10.50%	3.45%	21.30%	-55.36%	-16.46%	-13.77%	31.47%	80.28%	-3.96%	-13.98%
Operating Cash Flow Q/Q Growth	65.76%	12.56%	6.43%	3.78%	-4.18%	10.95%	-0.52%	11.08%	-3.80%	3.12%	15.84%
Free Cash Flow Firm Q/Q Growth	283.45%	-29.72%	119.41%	-256.48%	-110.66%	106.07%	10.09%	23.45%	-7.83%	-3.69%	-39.40%
Invested Capital Q/Q Growth	-31.03%	-1.29%	-15.85%	7.81%	47.55%	-1,799.05%	-182.47%	-134.32%	-28.04%	-54.40%	10.73%
Profitability Metrics	-	-	-	-	-	-	-	-	-	-	-
Gross Margin	72.90%	73.16%	72.86%	100.00%	72.12%	70.68%	70.05%	68.76%	72.29%	74.35%	73.41%
EBITDA Margin	-4.87%	-5.78%	2.21%	8.79%	11.06%	11.30%	9.70%	8.83%	18.04%	20.79%	25.84%
Operating Margin	-10.75%	-11.41%	-9.45%	-4.58%	-1.87%	-5.25%	-7.15%	-3.43%	5.62%	8.52%	13.48%
EBIT Margin	-10.73%	-10.80%	-8.87%	-3.33%	0.32%	-4.20%	-7.09%	-3.27%	8.61%	12.41%	17.34%
Profit (Net Income) Margin	-14.15%	-13.98%	-11.57%	-5.37%	-2.82%	-7.83%	-11.72%	-4.85%	6.38%	32.11%	12.30%
Tax Burden Percent	107.71%	111.84%	112.72%	116.05%	109.79%	115.19%	107.29%	128.86%	77.64%	260.81%	71.06%
Interest Burden Percent	122.39%	115.72%	115.75%	139.10%	-802.15%	161.98%	154.13%	115.24%	95.42%	99.17%	99.81%
Effective Tax Rate	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	22.36%	-160.81%	28.94%
Return on Invested Capital (ROIC)	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
ROIC Less NNEP Spread (ROIC-NNEP)	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
Return on Net Nonoperating Assets (RNNOA)	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
Return on Equity (ROE)	-25.14%	-26.21%	-24.54%	-12.59%	-5.92%	-19.87%	-53.49%	-54.85%	44.90%	74.52%	17.45%
Cash Return on Invested Capital (CROIC)	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
Operating Return on Assets (OROA)	-5.78%	-6.17%	-4.94%	-1.61%	0.15%	-1.83%	-3.13%	-1.60%	4.44%	5.78%	7.34%
Return on Assets (ROA)	-7.63%	-7.99%	-6.45%	-2.60%	-1.31%	-3.41%	-5.17%	-2.37%	3.29%	14.95%	5.21%
Return on Common Equity (ROCE)	-23.03%	-24.64%	-24.54%	-12.44%	-5.87%	-19.87%	-49.79%	-47.58%	44.90%	74.52%	17.45%
Return on Equity Simple (ROE_SIMPLE)	-26.91%	-21.53%	-26.72%	-10.53%	-5.16%	-24.23%	-78.63%	-127.14%	25.15%	49.86%	0.00%
Net Operating Profit after Tax (NOPAT)	-70	-110	-116	-73	-38	-125	-213	-132	301	1,784	883
NOPAT Margin	-7.53%	-7.99%	-6.61%	-3.21%	-1.31%	-3.68%	-5.00%	-2.40%	4.36%	22.22%	9.58%
Net Nonoperating Expense Percent (NNEP)	-9.11%	-7.25%	-5.65%	-2.68%	-2.21%	-7.90%	-21.20%	-10.30%	5.01%	15.35%	3.26%
Return On Investment Capital (ROIC_SIMPLE)	-	-	-	-	-	-	-	-	-	-	11.29%
Cost of Revenue to Revenue	27.10%	26.84%	27.14%	0.00%	27.88%	29.32%	29.95%	31.24%	27.71%	25.65%	26.59%
SG&A Expenses to Revenue	10.95%	10.04%	11.30%	11.34%	9.03%	8.79%	9.19%	7.36%	6.50%	8.48%	4.80%
R&D to Revenue	20.02%	20.62%	19.79%	17.62%	18.61%	22.54%	26.79%	25.77%	23.27%	22.54%	21.52%
Operating Expenses to Revenue	83.65%	84.57%	82.30%	104.58%	73.99%	75.93%	77.19%	72.19%	66.67%	65.83%	59.94%
Earnings before Interest and Taxes (EBIT)	-100	-149	-156	-76	9.30	-143	-302	-180	594	997	1,599
Earnings before Interest, Taxes, Depreciation and Amortization (EBITDA)	-45	-80	39	200	321	385	413	486	1,244	1,669	2,383
Valuation Ratios	-	-	-	-	-	-	-	-	-	-	-
Price to Book Value (P/BV)	31.86	13.11	15.93	15.87	13.71	22.41	61.25	236.80	43.73	20.34	14.79
Price to Tangible Book Value (P/TBV)	57.22	17.06	25.91	37.07	0.00	0.00	0.00	0.00	0.00	72.78	46.39
Price to Revenue (P/Rev)	16.75	8.51	6.89	8.10	7.50	7.24	9.13	9.04	11.09	13.10	12.55
Price to Earnings (P/E)	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	173.87	40.79	102.09
Dividend Yield	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
Earnings Yield	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.58%	2.45%	0.98%
Enterprise Value to Invested Capital (EV/IC)	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00
Enterprise Value to Revenue (EV/Rev)	15.94	7.46	5.96	7.22	6.83	6.89	9.03	8.86	10.59	12.38	11.64
Enterprise Value to EBITDA (EV/EBITDA)	0.00	0.00	269.61	82.11	61.70	60.94	93.12	100.33	58.70	59.52	45.03
Enterprise Value to EBIT (EV/EBIT)	0.00	0.00	0.00	0.00	2,128.35	0.00	0.00	0.00	123.01	99.70	67.12
Enterprise Value to NOPAT (EV/NOPAT)	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	242.77	55.70	121.49
Enterprise Value to Operating Cash Flow (EV/OCF)	41.93	15.62	12.04	15.80	18.75	22.66	25.57	24.55	26.28	30.50	28.87
Enterprise Value to Free Cash Flow (EV/FCFF)	94.76	61.14	47.41	0.00	0.00	459.28	0.00	52.77	61.04	138.19	116.24
Leverage & Solvency	-	-	-	-	-	-	-	-	-	-	-
Debt to Equity	0.85	0.56	0.69	1.62	0.90	2.80	4.22	17.51	1.14	0.19	0.00
Long-Term Debt to Equity	0.00	0.56	0.69	1.16	0.90	2.80	2.18	0.00	0.00	0.00	0.00
Financial Leverage	-1.29	-1.55	-1.86	-1.89	-1.44	-1.34	-1.45	-2.69	-2.84	-1.50	-1.18
Leverage Ratio	3.30	3.28	3.81	4.83	4.53	5.82	10.35	23.11	13.66	4.99	3.35
Compound Leverage Factor	4.04	3.80	4.40	6.72	-36.34	9.44	15.95	26.63	13.04	4.94	3.35
Debt to Total Capital	45.83%	35.85%	40.85%	61.89%	47.41%	73.68%	80.86%	94.60%	53.25%	15.72%	0.00%
Short-Term Debt to Total Capital	45.83%	0.00%	0.00%	17.74%	0.00%	0.00%	39.05%	94.60%	53.25%	15.72%	0.00%
Long-Term Debt to Total Capital	0.00%	35.85%	40.85%	44.15%	47.41%	73.68%	41.81%	0.00%	0.00%	0.00%	0.00%
Preferred Equity to Total Capital	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
Noncontrolling Interests to Total Capital	8.27%	0.00%	0.00%	0.71%	0.00%	0.00%	3.24%	0.00%	0.00%	0.00%	0.00%
Common Equity to Total Capital	45.90%	64.15%	59.15%	37.40%	52.59%	26.32%	15.90%	5.40%	46.75%	84.28%	100.00%
Debt to EBITDA	-10.78	-6.28	13.52	9.61	4.46	8.01	7.82	7.57	1.60	0.58	0.00
Net Debt to EBITDA	18.60	18.05	-42.26	-10.16	-6.07	-3.16	-1.37	-2.08	-2.77	-3.47	0.00
Long-Term Debt to EBITDA	0.00	-6.28	13.52	6.86	4.46	8.01	4.04	0.00	0.00	0.00	0.00
Debt to NOPAT	-6.97	-4.54	-4.52	-26.32	-37.76	-24.61	-15.15	-27.82	6.62	0.54	0.00
Net Debt to NOPAT	12.03	13.06	14.13	27.84	51.45	9.72	2.65	7.64	-11.46	-3.25	0.00
Long-Term Debt to NOPAT	0.00	-4.54	-4.52	-18.78	-37.76	-24.61	-7.84	0.00	0.00	0.00	0.00
Altman Z-Score	6.69	3.98	3.00	2.88	3.15	2.33	2.50	2.50	3.95	4.87	5.15
Noncontrolling Interest Sharing Ratio	8.42%	5.98%	0.00%	1.13%	0.79%	0.00%	6.92%	13.26%	0.00%	0.00%	0.00%
Liquidity Ratios	-	-	-	-	-	-	-	-	-	-	-
Current Ratio	1.04	2.09	1.65	1.97	1.78	1.91	0.91	0.77	0.78	0.89	0.94
Quick Ratio	0.97	1.93	1.50	1.84	1.65	1.78	0.81	0.71	0.68	0.77	0.82
Cash Flow Metrics	-	-	-	-	-	-	-	-	-	-	-
Free Cash Flow to Firm (FCFF)	156	168	221	-104	-524	51	-457	923	1,196	719	923
Operating Cash Flow to CapEx	1,043.79%	908.41%	531.70%	926.88%	804.57%	483.07%	1,295.69%	1,029.41%	1,898.50%	2,077.55%	1,509.34%
Free Cash Flow to Firm to Interest Expense	7.00	7.19	9.01	-3.53	-6.25	0.58	-2.80	33.69	43.97	86.63	307.70
Operating Cash Flow to Interest Expense	15.82	28.15	35.46	35.07	12.58	11.68	9.20	72.43	102.11	392.48	1,238.67
Operating Cash Flow Less CapEx to Interest Expense	14.30	25.05	28.79	31.29	11.02	9.26	8.49	65.40	96.74	373.59	1,156.60
Efficiency Ratios	-	-	-	-	-	-	-	-	-	-	-
Asset Turnover	0.54	0.57	0.56	0.48	0.46	0.44	0.44	0.49	0.52	0.47	0.42
Accounts Receivable Turnover	5.34	4.91	4.50	5.06	5.53	4.21	3.74	3.25	2.99	3.16	3.30
Inventory Turnover	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00
Fixed Asset Turnover	16.63	15.31	10.69	9.39	10.19	10.58	12.77	16.27	19.35	22.44	24.64
Accounts Payable Turnover	18.14	17.05	14.50	0.00	13.18	14.60	21.16	18.59	14.67	16.57	14.07
Days Sales Outstanding (DSO)	68.41	74.28	81.19	72.17	66.05	86.71	97.66	112.22	121.95	115.53	110.50
Days Inventory Outstanding (DIO)	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00
Days Payable Outstanding (DPO)	20.12	21.41	25.17	0.00	27.70	25.00	17.25	19.63	24.88	22.03	25.94
Cash Conversion Cycle (CCC)	48.29	52.88	56.02	72.17	38.35	61.72	80.41	92.59	97.07	93.50	84.56
Capital & Investment Metrics	-	-	-	-	-	-	-	-	-	-	-
Invested Capital	-265	-543	-880	-849	-362	-539	-294	-1,350	-2,245	-1,180	-1,220
Invested Capital Turnover	-6.11	-3.41	-2.47	-2.63	-4.79	-7.57	-10.22	-6.69	-3.83	-4.69	-7.68
Increase / (Decrease) in Invested Capital	-226	-278	-337	31	486	-176	244	-1,055	-895	1,065	-40
Enterprise Value (EV)	14,794	10,290	10,461	16,406	19,794	23,469	38,430	48,718	73,005	99,359	107,298
Market Capitalization	15,547	11,728	12,101	18,414	21,742	24,688	38,864	49,728	76,451	105,148	115,756
Book Value per Share	$5.83	$9.99	$8.27	$12.49	$16.53	$11.42	$6.52	$2.11	$5.72	$15.97	$11.73
Tangible Book Value per Share	$3.25	$7.67	$5.09	$5.35	($0.49)	($11.08)	($26.43)	($29.33)	($4.88)	$4.46	$3.74
Total Capital	1,063	1,395	1,284	3,102	3,016	4,186	3,990	3,887	3,740	6,134	7,824
Total Debt	487	500	525	1,920	1,430	3,084	3,226	3,677	1,992	964	0.00
Total Long-Term Debt	0.00	500	525	1,370	1,430	3,084	1,668	0.00	0.00	0.00	0.00
Net Debt	-841	-1,438	-1,640	-2,031	-1,949	-1,218	-563	-1,010	-3,446	-5,788	-8,459
Capital Expenditures (CapEx)	34	73	163	112	131	214	116	193	146	157	246
Debt-free, Cash-free Net Working Capital (DFCFNWC)	-260	-358	-600	-816	-1,192	-1,310	-1,813	-1,849	-2,088	-2,448	-3,368
Debt-free Net Working Capital (DFNWC)	529	927	775	2,587	1,612	2,438	1,089	1,785	302	131	-465
Net Working Capital (NWC)	42	927	775	2,037	1,612	2,438	-469	-1,891	-1,690	-833	-465
Net Nonoperating Expense (NNE)	61	83	87	49	44	142	286	135	-139	-794	-251
Net Nonoperating Obligations (NNO)	-841	-1,438	-1,640	-2,031	-1,949	-1,640	-1,058	-1,560	-3,994	-6,350	-9,045
Total Depreciation and Amortization (D&A)	54	69	194	276	312	528	714	665	650	673	784
Debt-free, Cash-free Net Working Capital to Revenue	-28.03%	-26.00%	-34.19%	-35.90%	-41.10%	-38.44%	-42.59%	-33.61%	-30.29%	-30.49%	-36.53%
Debt-free Net Working Capital to Revenue	56.99%	67.26%	44.16%	113.79%	55.58%	71.51%	25.58%	32.45%	4.38%	1.63%	-5.04%
Net Working Capital to Revenue	4.50%	67.26%	44.16%	89.58%	55.58%	71.51%	-11.03%	-34.38%	-24.51%	-10.38%	-5.04%
Earnings Adjustments	-	-	-	-	-	-	-	-	-	-	-
Adjusted Basic Earnings per Share	($0.67)	($0.86)	($0.80)	($0.54)	($0.29)	($0.92)	($1.73)	($0.90)	$1.45	$8.07	$1.71
Adjusted Weighted Average Basic Shares Outstanding	255.03M	272.55M	275.53M	281.47M	290.97M	289.12M	289.20M	295.50M	303.20M	319.20M	662.50M
Adjusted Diluted Earnings per Share	($0.67)	($0.86)	($0.80)	($0.54)	($0.29)	($0.92)	($1.73)	($0.90)	$1.28	$7.28	$1.60
Adjusted Weighted Average Diluted Shares Outstanding	255.03M	272.55M	275.53M	281.47M	290.97M	289.12M	289.20M	295.50M	342.30M	354M	709.30M
Adjusted Basic & Diluted Earnings per Share	($0.67)	($0.86)	($0.80)	($0.54)	($0.29)	($0.92)	$0.00	$0.00	$0.00	$0.00	$0.00
Adjusted Weighted Average Basic & Diluted Shares Outstanding	244.86M	261.30M	271.80M	275.10M	283.50M	290.70M	292.22M	299.21M	308.59M	325.60M	668.90M
Normalized Net Operating Profit after Tax (NOPAT)	-70	-110	-116	-73	-38	-125	-213	-132	301	479	883
Normalized NOPAT Margin	-7.53%	-7.99%	-6.61%	-3.21%	-1.31%	-3.68%	-5.00%	-2.40%	4.36%	5.96%	9.58%
Pre Tax Income Margin	-13.13%	-12.50%	-10.26%	-4.63%	-2.57%	-6.80%	-10.93%	-3.77%	8.22%	12.31%	17.30%
Debt Service Ratios	-	-	-	-	-	-	-	-	-	-	-
EBIT to Interest Expense	-4.47	-6.36	-6.35	-2.56	0.11	-1.61	-1.85	-6.56	21.82	120.07	532.90
NOPAT to Interest Expense	-3.13	-4.71	-4.74	-2.46	-0.45	-1.41	-1.30	-4.82	11.06	214.90	294.40
EBIT Less CapEx to Interest Expense	-5.98	-9.46	-13.02	-6.34	-1.45	-4.03	-2.56	-13.60	16.44	101.18	450.83
NOPAT Less CapEx to Interest Expense	-4.65	-7.80	-11.41	-6.25	-2.02	-3.83	-2.01	-11.86	5.68	196.01	212.33
Payout Ratios	-	-	-	-	-	-	-	-	-	-	-
Dividend Payout Ratio	0.00%	-3.32%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
Augmented Payout Ratio	0.00%	-3.32%	-202.46%	-212.03%	-402.93%	-448.73%	-236.14%	-334.19%	62.02%	21.99%	0.00%

This table displays calculated financial ratios and metrics derived from Palo Alto Networks' official financial filings.

Metric	Q2 2023	Q3 2023	Q4 2023	Q1 2024	Q2 2024	Q3 2024	Q4 2024	Q1 2025	Q2 2025	Q3 2025	Q4 2025
Period end date	1/31/2023	4/30/2023	7/31/2023	10/31/2023	1/31/2024	4/30/2024	7/31/2024	10/31/2024	1/31/2025	4/30/2025	7/31/2025
Growth Metrics	-	-	-	-	-	-	-	-	-	-	-
Revenue Growth	25.68%	24.10%	25.98%	20.13%	19.33%	15.34%	12.09%	13.88%	14.29%	15.33%	15.84%
EBITDA Growth	181.67%	145.58%	142.52%	107.91%	22.29%	43.88%	2.57%	24.46%	72.07%	20.29%	60.12%
EBIT Growth	223.38%	403.72%	1,231.41%	592.96%	51.48%	82.64%	-0.90%	29.53%	135.50%	22.76%	85.41%
NOPAT Growth	176.95%	294.36%	6,108.39%	1,573.42%	1,636.01%	202.82%	46.58%	84.33%	-71.37%	-5.82%	-20.23%
Net Income Growth	190.05%	247.27%	6,800.00%	871.00%	1,974.70%	158.63%	57.09%	80.59%	-84.70%	-5.99%	-29.05%
EPS Growth	178.13%	224.00%	7,400.00%	833.33%	1,974.70%	154.84%	49.33%	76.79%	-84.43%	-5.13%	-32.14%
Operating Cash Flow Growth	43.93%	10.94%	-20.93%	23.39%	-0.66%	22.40%	23.81%	-1.07%	-19.29%	18.87%	99.10%
Free Cash Flow Firm Growth	107.86%	38.08%	1.85%	-22.55%	-118.28%	-163.83%	-173.98%	-183.88%	410.37%	199.28%	131.75%
Invested Capital Growth	-339.99%	-204.43%	-66.34%	-61.56%	53.84%	56.40%	47.42%	46.30%	-73.36%	-78.81%	-3.38%
Revenue Q/Q Growth	5.87%	3.98%	13.50%	-3.85%	5.16%	0.49%	10.31%	-2.32%	5.55%	1.40%	10.80%
EBITDA Q/Q Growth	15.77%	19.64%	66.93%	-10.08%	-31.91%	40.77%	18.99%	9.11%	-5.86%	-1.58%	58.39%
EBIT Q/Q Growth	121.60%	52.03%	132.13%	-11.39%	-51.56%	83.30%	25.96%	15.82%	-11.93%	-4.45%	90.23%
NOPAT Q/Q Growth	350.43%	62.70%	181.61%	-18.91%	367.28%	-71.62%	36.31%	1.97%	-27.42%	-6.65%	15.45%
Net Income Q/Q Growth	321.00%	28.03%	111.22%	-14.71%	799.54%	-84.04%	28.30%	-1.96%	-23.78%	-1.95%	-3.17%
EPS Q/Q Growth	316.67%	24.00%	141.94%	-25.33%	799.54%	-83.84%	41.77%	-11.61%	-61.62%	-2.63%	2.70%
Operating Cash Flow Q/Q Growth	-43.83%	-37.79%	-4.17%	268.51%	-54.78%	-23.35%	-3.06%	194.44%	-63.11%	12.89%	62.37%
Free Cash Flow Firm Q/Q Growth	-9.86%	-11.17%	-13.24%	11.49%	-121.27%	-210.24%	-0.57%	-26.40%	178.70%	-0.76%	-67.84%
Invested Capital Q/Q Growth	-2.71%	0.27%	-28.04%	-23.18%	70.65%	5.80%	-54.40%	-25.80%	5.25%	2.84%	10.73%
Profitability Metrics	-	-	-	-	-	-	-	-	-	-	-
Gross Margin	71.83%	72.41%	74.05%	74.83%	74.73%	74.12%	73.80%	74.09%	73.46%	72.94%	73.23%
EBITDA Margin	14.86%	17.10%	25.14%	23.51%	15.22%	21.33%	23.01%	25.70%	22.92%	22.25%	31.80%
Operating Margin	2.41%	4.57%	12.98%	11.46%	2.71%	8.90%	10.89%	13.40%	10.65%	9.56%	19.60%
EBIT Margin	5.52%	8.07%	16.50%	15.20%	7.00%	12.77%	14.58%	17.29%	14.43%	13.60%	23.34%
Profit (Net Income) Margin	5.09%	6.26%	11.66%	10.34%	88.45%	14.05%	16.34%	16.40%	11.84%	11.45%	10.01%
Tax Burden Percent	99.76%	82.29%	71.94%	68.72%	1,289.23%	110.99%	112.13%	95.14%	82.30%	84.41%	42.89%
Interest Burden Percent	92.44%	94.38%	98.23%	98.98%	97.98%	99.09%	99.91%	99.68%	99.72%	99.78%	99.97%
Effective Tax Rate	0.24%	17.71%	28.06%	31.28%	-1,189.23%	-10.99%	-12.13%	4.86%	17.70%	15.59%	57.11%
Return on Invested Capital (ROIC)	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
ROIC Less NNEP Spread (ROIC-NNEP)	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
Return on Net Nonoperating Assets (RNNOA)	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
Return on Equity (ROE)	8.10%	27.43%	44.90%	45.84%	89.52%	85.88%	74.52%	67.66%	23.38%	21.16%	17.45%
Cash Return on Invested Capital (CROIC)	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
Operating Return on Assets (OROA)	2.88%	4.14%	8.50%	8.01%	3.35%	6.20%	6.79%	8.15%	6.30%	6.04%	9.88%
Return on Assets (ROA)	2.66%	3.22%	6.01%	5.45%	42.33%	6.82%	7.60%	7.73%	5.17%	5.09%	4.24%
Return on Common Equity (ROCE)	8.10%	27.43%	44.90%	45.84%	89.52%	85.88%	74.52%	67.66%	23.38%	21.16%	17.45%
Return on Equity Simple (ROE_SIMPLE)	4.71%	17.47%	0.00%	28.28%	52.25%	54.78%	0.00%	46.25%	19.68%	17.12%	0.00%
Net Operating Profit after Tax (NOPAT)	40	65	182	148	691	196	267	273	198	185	213
NOPAT Margin	2.41%	3.76%	9.34%	7.87%	34.99%	9.88%	12.21%	12.74%	8.76%	8.07%	8.41%
Net Nonoperating Expense Percent (NNEP)	2.96%	2.21%	1.63%	1.29%	27.58%	2.01%	1.75%	1.27%	1.07%	1.12%	0.53%
Return On Investment Capital (ROIC_SIMPLE)	-	-	-	-	11.18%	-	-	-	2.86%	2.43%	2.73%
Cost of Revenue to Revenue	28.17%	27.59%	25.95%	25.17%	25.27%	25.88%	26.20%	25.91%	26.54%	27.06%	26.77%
SG&A Expenses to Revenue	7.21%	6.64%	5.87%	6.39%	15.27%	5.98%	6.41%	4.57%	6.81%	7.16%	1.08%
R&D to Revenue	24.42%	24.04%	21.22%	21.80%	22.68%	23.04%	22.60%	22.46%	22.40%	21.60%	19.85%
Operating Expenses to Revenue	69.42%	67.84%	61.08%	63.37%	72.02%	65.22%	62.91%	60.70%	62.81%	63.39%	53.63%
Earnings before Interest and Taxes (EBIT)	91	139	322	286	138	254	319	370	326	311	592
Earnings before Interest, Taxes, Depreciation and Amortization (EBITDA)	246	294	491	442	301	423	504	550	517	509	807
Valuation Ratios	-	-	-	-	-	-	-	-	-	-	-
Price to Book Value (P/BV)	65.80	44.80	43.73	34.55	24.50	21.04	20.34	19.85	18.98	17.12	14.79
Price to Tangible Book Value (P/TBV)	0.00	0.00	0.00	0.00	196.05	136.77	72.78	111.59	77.92	50.53	46.39
Price to Revenue (P/Rev)	7.79	8.51	11.09	10.41	14.18	12.06	13.10	14.16	14.12	13.95	12.55
Price to Earnings (P/E)	1,398.42	256.45	173.87	122.16	46.88	38.40	40.79	42.91	96.47	99.99	102.09
Dividend Yield	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
Earnings Yield	0.07%	0.39%	0.58%	0.82%	2.13%	2.60%	2.45%	2.33%	1.04%	1.00%	0.98%
Enterprise Value to Invested Capital (EV/IC)	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00
Enterprise Value to Revenue (EV/Rev)	7.39	8.05	10.59	9.72	13.49	11.39	12.38	13.33	13.27	13.04	11.64
Enterprise Value to EBITDA (EV/EBITDA)	58.26	54.69	58.70	47.57	66.49	53.57	59.52	62.15	57.05	55.63	45.03
Enterprise Value to EBIT (EV/EBIT)	409.72	176.74	123.01	83.62	114.79	88.80	99.70	102.19	89.69	87.25	67.12
Enterprise Value to NOPAT (EV/NOPAT)	4,840.44	434.27	242.77	158.27	64.25	51.14	55.70	57.47	121.64	125.65	121.49
Enterprise Value to Operating Cash Flow (EV/OCF)	15.99	18.09	26.28	22.84	33.17	28.10	30.50	34.08	36.60	36.07	28.87
Enterprise Value to Free Cash Flow (EV/FCFF)	33.24	40.24	61.04	46.82	160.17	118.89	138.19	172.19	74.32	75.95	116.24
Leverage & Solvency	-	-	-	-	-	-	-	-	-	-	-
Debt to Equity	5.05	2.99	1.14	0.90	0.42	0.26	0.19	0.11	0.08	0.05	0.00
Long-Term Debt to Equity	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00
Financial Leverage	-3.55	-2.48	-2.84	-2.67	-1.51	-1.44	-1.50	-1.53	-1.21	-1.18	-1.18
Leverage Ratio	27.83	16.10	13.66	10.21	6.18	5.63	4.99	4.35	3.66	3.41	3.35
Compound Leverage Factor	25.72	15.19	13.42	10.11	6.06	5.58	4.98	4.34	3.65	3.41	3.35
Debt to Total Capital	83.47%	74.92%	53.25%	47.28%	29.48%	20.65%	15.72%	9.85%	7.73%	5.03%	0.00%
Short-Term Debt to Total Capital	83.47%	74.92%	53.25%	47.28%	29.48%	20.65%	15.72%	9.85%	7.73%	5.03%	0.00%
Long-Term Debt to Total Capital	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
Preferred Equity to Total Capital	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
Noncontrolling Interests to Total Capital	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
Common Equity to Total Capital	16.53%	25.08%	46.75%	52.72%	70.52%	79.35%	84.28%	90.15%	92.27%	94.97%	100.00%
Debt to EBITDA	4.71	3.86	1.60	1.32	1.19	0.70	0.58	0.36	0.27	0.18	0.00
Net Debt to EBITDA	-3.19	-3.13	-2.77	-3.35	-3.38	-3.16	-3.47	-3.86	-3.64	-3.88	0.00
Long-Term Debt to EBITDA	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00
Debt to NOPAT	391.71	30.62	6.62	4.40	1.15	0.67	0.54	0.34	0.57	0.42	0.00
Net Debt to NOPAT	-264.72	-24.83	-11.46	-11.15	-3.27	-3.01	-3.25	-3.57	-7.76	-8.76	0.00
Long-Term Debt to NOPAT	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00
Altman Z-Score	2.36	2.72	3.89	3.93	5.00	4.67	4.76	5.38	5.50	5.57	5.01
Noncontrolling Interest Sharing Ratio	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
Liquidity Ratios	-	-	-	-	-	-	-	-	-	-	-
Current Ratio	0.64	0.74	0.78	0.86	0.83	0.84	0.89	0.84	0.84	0.90	0.94
Quick Ratio	0.55	0.63	0.68	0.77	0.74	0.73	0.77	0.72	0.73	0.78	0.82
Cash Flow Metrics	-	-	-	-	-	-	-	-	-	-	-
Free Cash Flow to Firm (FCFF)	1,398	1,242	1,078	1,202	-256	-793	-797	-1,008	793	787	253
Operating Cash Flow to CapEx	1,813.58%	1,384.94%	1,113.17%	4,146.74%	1,960.23%	1,414.17%	1,081.65%	3,423.13%	1,172.42%	920.50%	1,182.85%
Free Cash Flow to Firm to Interest Expense	202.67	159.26	189.08	414.34	-91.28	-344.73	-2,657.93	-839.93	881.38	1,124.56	1,265.65
Operating Cash Flow to Interest Expense	100.67	55.40	72.65	526.21	246.43	229.96	1,709.00	1,258.00	618.78	898.14	5,104.00
Operating Cash Flow Less CapEx to Interest Expense	95.12	51.40	66.12	513.52	233.86	213.70	1,551.00	1,221.25	566.00	800.57	4,672.50
Efficiency Ratios	-	-	-	-	-	-	-	-	-	-	-
Asset Turnover	0.52	0.51	0.52	0.53	0.48	0.49	0.47	0.47	0.44	0.44	0.42
Accounts Receivable Turnover	5.52	4.84	2.99	5.44	4.74	4.93	3.16	6.51	5.05	4.84	3.30
Inventory Turnover	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00
Fixed Asset Turnover	17.40	18.61	19.35	20.41	21.60	22.52	22.44	23.23	24.13	24.74	24.64
Accounts Payable Turnover	14.97	18.99	14.67	14.91	12.72	19.87	16.57	12.47	13.66	13.65	14.07
Days Sales Outstanding (DSO)	66.12	75.48	121.95	67.13	76.96	74.00	115.53	56.06	72.22	75.38	110.50
Days Inventory Outstanding (DIO)	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00
Days Payable Outstanding (DPO)	24.39	19.22	24.88	24.49	28.69	18.37	22.03	29.28	26.72	26.73	25.94
Cash Conversion Cycle (CCC)	41.73	56.26	97.07	42.64	48.27	55.63	93.50	26.78	45.50	48.64	84.56
Capital & Investment Metrics	-	-	-	-	-	-	-	-	-	-	-
Invested Capital	-1,758	-1,754	-2,245	-2,766	-812	-765	-1,180	-1,485	-1,407	-1,367	-1,220
Invested Capital Turnover	-5.71	-5.57	-3.83	-3.22	-5.86	-6.19	-4.69	-3.90	-7.73	-8.33	-7.68
Increase / (Decrease) in Invested Capital	-1,359	-1,178	-895	-1,054	947	989	1,065	1,281	-595	-603	-40
Enterprise Value (EV)	45,479	52,228	73,005	70,059	101,563	88,754	99,359	110,459	113,758	115,697	107,298
Market Capitalization	47,966	55,214	76,451	74,995	106,732	93,987	105,148	117,323	121,016	123,766	115,756
Book Value per Share	$2.41	$4.07	$5.72	$7.03	$13.82	$13.83	$15.97	$18.16	$19.43	$10.92	$11.73
Tangible Book Value per Share	($8.42)	($6.72)	($4.88)	($3.39)	$1.73	$2.13	$4.46	$3.23	$4.73	$3.70	$3.74
Total Capital	4,409	4,915	3,740	4,117	6,179	5,630	6,134	6,558	6,909	7,614	7,824
Total Debt	3,680	3,682	1,992	1,947	1,822	1,163	964	646	534	383	0.00
Total Long-Term Debt	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00
Net Debt	-2,487	-2,986	-3,446	-4,936	-5,169	-5,232	-5,788	-6,865	-7,259	-8,069	-8,459
Capital Expenditures (CapEx)	38	31	37	37	35	37	47	44	48	68	86
Debt-free, Cash-free Net Working Capital (DFCFNWC)	-2,736	-2,504	-2,088	-2,983	-2,868	-2,894	-2,448	-3,905	-3,912	-3,724	-3,368
Debt-free Net Working Capital (DFNWC)	611	1,455	302	911	503	-3.50	131	-514	-679	-423	-465
Net Working Capital (NWC)	-3,069	-2,228	-1,690	-1,036	-1,319	-1,166	-833	-1,160	-1,212	-807	-465
Net Nonoperating Expense (NNE)	-44	-43	-45	-46	-1,056	-83	-90	-78	-69	-77	-41
Net Nonoperating Obligations (NNO)	-2,487	-2,986	-3,994	-4,936	-5,169	-5,232	-6,350	-7,397	-7,782	-8,598	-9,045
Total Depreciation and Amortization (D&A)	155	155	169	156	162	170	184	180	192	198	215
Debt-free, Cash-free Net Working Capital to Revenue	-44.45%	-38.58%	-30.29%	-41.39%	-38.10%	-37.14%	-30.49%	-47.12%	-45.64%	-41.96%	-36.53%
Debt-free Net Working Capital to Revenue	9.93%	22.41%	4.38%	12.64%	6.68%	-0.04%	1.63%	-6.20%	-7.92%	-4.77%	-5.04%
Net Working Capital to Revenue	-49.86%	-34.32%	-24.51%	-14.37%	-17.52%	-14.97%	-10.38%	-14.00%	-14.15%	-9.09%	-5.04%
Earnings Adjustments	-	-	-	-	-	-	-	-	-	-	-
Adjusted Basic Earnings per Share	$0.28	$0.35	$0.75	$0.63	$2.74	$0.86	$1.12	$1.07	$0.41	$0.39	$0.38
Adjusted Weighted Average Basic Shares Outstanding	302.30M	303.90M	303.20M	310.10M	639.20M	322.90M	319.20M	326.80M	659.30M	665.10M	662.50M
Adjusted Diluted Earnings per Share	$0.25	$0.31	$0.75	$0.56	$2.45	$0.79	$1.12	$0.99	$0.38	$0.37	$0.38
Adjusted Weighted Average Diluted Shares Outstanding	331.60M	344.70M	342.30M	349.80M	715M	354.60M	354M	354.50M	709M	707.40M	709.30M
Adjusted Basic & Diluted Earnings per Share	$0.00	$0.00	$0.75	$0.00	$0.00	$0.00	$1.12	$0.00	$0.00	$0.00	$0.38
Adjusted Weighted Average Basic & Diluted Shares Outstanding	302.61M	305.85M	308.59M	315.30M	646.20M	323.80M	325.60M	328.10M	662.10M	666.80M	668.90M
Normalized Net Operating Profit after Tax (NOPAT)	40	65	182	148	38	124	167	273	198	185	348
Normalized NOPAT Margin	2.41%	3.76%	9.34%	7.87%	1.90%	6.23%	7.62%	12.74%	8.76%	8.07%	13.72%
Pre Tax Income Margin	5.10%	7.61%	16.20%	15.05%	6.86%	12.66%	14.57%	17.23%	14.39%	13.56%	23.33%
Debt Service Ratios	-	-	-	-	-	-	-	-	-	-	-
EBIT to Interest Expense	13.23	17.79	56.53	98.45	49.39	110.22	1,064.33	308.17	361.89	444.57	2,960.00
NOPAT to Interest Expense	5.77	8.30	32.00	50.99	246.79	85.27	891.07	227.16	219.82	263.85	1,066.15
EBIT Less CapEx to Interest Expense	7.68	13.79	50.00	85.76	36.82	93.96	906.33	271.42	309.11	347.00	2,528.50
NOPAT Less CapEx to Interest Expense	0.22	4.30	25.47	38.30	234.22	69.01	733.07	190.41	167.05	166.28	634.65
Payout Ratios	-	-	-	-	-	-	-	-	-	-	-
Dividend Payout Ratio	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
Augmented Payout Ratio	1,793.00%	285.65%	62.02%	51.59%	2.93%	23.15%	21.99%	18.29%	39.86%	0.00%	0.00%

Financials Breakdown Chart

Key Financial Trends

Palo Alto Networks (NASDAQ: PANW) has demonstrated strong revenue growth over the past two years, with Q4 2025 operating revenue reaching approximately $2.54 billion, up from $1.55 billion in Q4 2022. This indicates a robust top-line expansion driven by increased market demand for cybersecurity solutions.

Key positive trends include:

Consistent increase in total revenue each quarter, from about $1.56 billion in Q1 2023 to $2.54 billion in Q4 2025, showing sustained business growth.
Gross profit has increased significantly, with Q4 2025 gross profit at $1.86 billion, up from $1.06 billion in Q4 2022, which suggests improved product mix or pricing power.
Net income has steadily improved, reaching $253.8 million in Q4 2025 compared to a net loss in some earlier quarters, reflecting better operational efficiency and profitability.
Operating cash flow has grown substantially, supporting the company’s operational needs and expansion without reliance on external financing; for example, operating cash flow reached over $1 billion in Q4 2025.
Capex remains moderate relative to revenue, indicating controlled capital expenditures while supporting growth.

Neutral observations:

Marketing and R&D expenses remain high, reflecting significant investment in growth and innovation but also pressure on operating margins.
Stock issuance and repurchases fluctuate quarter to quarter, indicating active capital management strategies by the company.
Acquisitions continue, as seen in recurring acquisition-related cash outflows, which can be a growth driver but also risk integration challenges.

Potential concerns:

Total liabilities have increased from about $10.8 billion in Q3 2022 to approximately $14.8 billion in Q4 2025, which could imply rising financial leverage and risk if growth slows.
The company’s net income margin remains modest at roughly 10% in Q4 2025, with significant marketing and operational expenses absorbing much of the gross profit.

In summary, Palo Alto Networks has shown strong revenue and operational cash flow growth over the last several years, investing heavily in marketing and R&D to maintain growth momentum and market leadership. While liabilities have grown, they appear to be managed in line with expanding business scale. Retail investors should watch the balance between continued investment spend and improving margins as key drivers of future performance.

10/09/25 03:50 AM ETAI Generated. May Contain Errors.

Frequently Asked Questions About Palo Alto Networks' Financials

When does Palo Alto Networks' financial year end?

According to the most recent income statement we have on file, Palo Alto Networks' fiscal year ends in July. Their fiscal year 2025 ended on July 31, 2025.

How has Palo Alto Networks' net income changed over the last 10 years?

Palo Alto Networks' net income appears to be on an upward trend, with a most recent value of $1.13 billion in 2025, falling from -$131.30 million in 2015. The previous period was $2.58 billion in 2024. See where experts think Palo Alto Networks is headed by visiting Palo Alto Networks' forecast page.

What is Palo Alto Networks' operating income?

Palo Alto Networks' total operating income in 2025 was $1.24 billion, based on the following breakdown:

Total Gross Profit: $6.77 billion
Total Operating Expenses: $5.53 billion

How has Palo Alto Networks' revenue changed over the last 10 years?

Over the last 10 years, Palo Alto Networks' total revenue changed from $928.10 million in 2015 to $9.22 billion in 2025, a change of 893.6%.

How much debt does Palo Alto Networks have?

Palo Alto Networks' total liabilities were at $15.75 billion at the end of 2025, a 6.3% increase from 2024, and a 1,033.7% increase since 2015.

How much cash does Palo Alto Networks have?

In the past 10 years, Palo Alto Networks' cash and equivalents has ranged from $375.80 million in 2015 to $2.96 billion in 2020, and is currently $2.27 billion as of their latest financial filing in 2025.

How has Palo Alto Networks' book value per share changed over the last 10 years?

Over the last 10 years, Palo Alto Networks' book value per share changed from 5.83 in 2015 to 11.73 in 2025, a change of 101.2%.

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This page (NASDAQ:PANW) was last updated on 10/9/2025 by MarketBeat.com Staff

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Palo Alto Networks (PANW) Financials

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