What is Formula Systems's earnings per share (EPS)?

Formula Systems (FORTY) reported diluted earnings per share of $2.30 for fiscal year 2025. EPS represents the portion of a company's net income allocated to each outstanding share of common stock and is widely used to evaluate profitability on a per-share basis.

Formula Systems Financials

FORTY

FY2025 annual

Revenue $2.6B YoY not available

Net Income $669.1M YoY not available

EPS (Diluted) $2.30 YoY not available

Free Cash Flow $365.9M YoY not available

Source SEC Filings (10-K/10-Q) Latest period FY2025, ended May 13, 2026 Reported May 13, 2026 Currency USD FYE May

Formula Systems (FORTY) reported $2.6B in revenue for fiscal year 2025. This page shows its income statement, balance sheet, cash flow statement, and key financial ratios. View 12 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).

Rhea AI FORTY FY2025 2026-08-29

Formula Systems’ dominant mechanic is a low-reinvestment, low-debt structure that converts operations into cash despite a profit-to-cash gap.

FY2025’s profit-to-cash gap is material: net income was $669M versus operating cash flow of $382M, indicating reported earnings were not translating proportionally into operating cash. Yet minimal reinvestment drag kept free cash flow at $366M because capital expenditures were only $16M.

With long-term debt of $108M versus total liabilities of $1.8B, the liability structure is not dominated by long-term borrowing. A 1.6x current ratio indicates current assets exceeded current liabilities, adding short-term flexibility beyond the debt measure alone.

FY2025 also included positive investing cash flow of $564M alongside financing cash outflow of $223M, so total cash movement was shaped by flows beyond operations. The 13.9% free-cash-flow margin therefore isolates cash remaining after capital expenditures rather than explaining the full change in cash.

Financial Health Signals

Financial health score not available

Formula Systems does not currently provide enough eligible data for a peer-relative financial health score, so none is published. The signals and metrics below are current.

Earnings Quality Mixed

0.57x

For every $1 of reported earnings, Formula Systems generates $0.57 in operating cash flow ($382.0M OCF vs $669.1M net income). This mixed ratio suggests some earnings may rely on non-cash accounting items.

Key Financial Metrics

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Earnings & Revenue

Revenue

$2.6B

Formula Systems generated $2.6B in revenue in fiscal year 2025.

Net Income

$669.1M

5Y CAGR+55.5%

10Y CAGR+43.3%

Formula Systems reported $669.1M in net income in fiscal year 2025.

EPS (Diluted)

$2.30

Formula Systems earned $2.30 per diluted share (EPS) in fiscal year 2025.

EBITDA

Not reported for fiscal year 2025.

Cash & Balance Sheet

Free Cash Flow

$365.9M

Formula Systems generated $365.9M in free cash flow in fiscal year 2025, representing cash available after capex.

Cash & Debt

$1.3B

Formula Systems held $1.3B in cash against $107.8M in long-term debt as of fiscal year 2025, with $1.3B of liabilities due within a year.

Shares Outstanding

15M

5Y CAGR+0.8%

10Y CAGR+1.2%

Formula Systems had 15M shares outstanding in fiscal year 2025.

Dividends Per Share

Not reported for fiscal year 2025.

Margins & Returns

Net Margin

25.5%

Formula Systems's net profit margin was 25.5% in fiscal year 2025, showing the share of revenue converted to profit.

Return on Equity

37.6%

Formula Systems's ROE was 37.6% in fiscal year 2025, measuring profit generated per dollar of shareholder equity.

Gross Margin

Not reported for fiscal year 2025.

Operating Margin

Not reported for fiscal year 2025.

Capital Allocation

Capital Expenditures

$16.2M

Formula Systems invested $16.2M in capex in fiscal year 2025, funding long-term assets and infrastructure.

R&D Spending

Not reported for fiscal year 2025.

Share Buybacks

Not reported for fiscal year 2025.

FORTY Income Statement

Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type.

FORTY quarterly income statement

Metric	FY25	FY21	FY20	FY19	FY18	FY15	FY14	FY13	FY12	FY11	FY10	FY09
Revenue	$2.6B	N/A	N/A	N/A	N/A	$750.6M+17.9%	$636.4M-20.0%	$795.9M+7.1%	$743.0M+16.0%	$640.6M+16.5%	$549.7M+17.1%	$469.4M
Cost of Revenue	N/A	N/A	N/A	N/A	N/A	$601.7M+13.5%	$530.1M-12.1%	$603.1M+6.8%	$564.8M+14.6%	$492.9M+19.5%	$412.5M+17.1%	$352.3M
Gross Profit	N/A	N/A	N/A	N/A	N/A	$148.8M+39.9%	$106.3M-44.8%	$192.8M+8.2%	$178.2M+20.6%	$147.7M+7.7%	$137.2M+17.2%	$117.1M
R&D Expenses	N/A	N/A	N/A	N/A	N/A	$7.5M+851.5%	$787K-94.4%	$14.2M+14.7%	$12.3M+139.9%	$5.1M-6.5%	$5.5M+24.2%	$4.4M
SG&A Expenses	N/A	N/A	N/A	N/A	N/A	$94.7M+34.3%	$70.5M-40.2%	$117.9M+6.4%	$110.8M+18.7%	$93.3M+10.4%	$84.5M+9.3%	$77.3M
Operating Income	N/A	$208.0M+21.9%	$170.6M+23.2%	$138.5M+26.3%	$109.6M	$46.6M+33.0%	$35.0M-42.3%	$60.7M+10.0%	$55.2M+11.7%	$49.5M+5.2%	$47.0M+26.9%	$37.0M
Interest Expense	$6.7M	N/A	N/A	N/A	N/A	$8.3M+69.6%	$4.9M-22.0%	$6.2M-6.5%	$6.7M+2.6%	$6.5M+48.7%	$4.4M+1792.2%	$231K
Income Tax	$40.5M	N/A	N/A	N/A	N/A	$11.0M+9.1%	$10.1M+15.4%	$8.7M+42.0%	$6.1M+8.0%	$5.7M-13.1%	$6.5M+178.8%	-$8.3M
Net Income	$669.1M	$141.9M+24.5%	$114.0M+20.8%	$94.4M+22.0%	$77.4M	$73.7M-8.8%	$80.8M+0.2%	$80.7M+245.2%	$23.4M-45.6%	$43.0M+133.8%	$18.4M-3.7%	$19.1M
EPS (Diluted)	$2.30	N/A	N/A	N/A	N/A	$5.00-10.6%	$5.59-1.6%	$5.68+240.1%	$1.67-46.3%	$3.11+128.7%	$1.36-2.9%	$1.40

Metric	Q3'16	Q3'15	Q3'14	Q3'13	Q3'12	Q3'11

Not reported in any period shown, so not listed: Revenue, Cost of Revenue, Gross Profit, R&D Expenses, SG&A Expenses, Operating Income, Interest Expense, Income Tax, Net Income, EPS (Diluted).

FORTY Balance Sheet

Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type.

FORTY quarterly balance sheet

Metric	FY25	FY21	FY20	FY19	FY18	FY15	FY14	FY13	FY12	FY11	FY10	FY09
Total Assets	$3.6B	N/A	N/A	N/A	N/A	$1.1B-5.2%	$1.1B+29.1%	$871.8M-1.1%	$881.6M+31.4%	$671.1M+7.6%	$623.8M	N/A
Current Assets	$2.2B	N/A	N/A	N/A	N/A	$357.5M-0.3%	$358.5M+7.6%	$333.2M-9.7%	$369.0M+20.2%	$307.0M-7.5%	$331.8M	N/A
Cash & Equivalents	$1.3B	N/A	N/A	N/A	N/A	$132.6M+23.4%	$107.4M+30.8%	$82.1M-26.2%	$111.2M+26.2%	$88.2M-20.2%	$110.5M+10.3%	$100.2M
Inventory	$30.2M	N/A	N/A	N/A	N/A	$4.6M+104.1%	$2.3M-6.1%	$2.4M+12.0%	$2.1M-12.3%	$2.5M-56.3%	$5.6M	N/A
Accounts Receivable	$102K	N/A	N/A	N/A	N/A	$176.7M-9.5%	$195.3M+0.9%	$193.6M-4.1%	$201.9M+23.7%	$163.2M+5.7%	$154.4M	N/A
Goodwill	$646.2M	N/A	N/A	N/A	N/A	$162.2M-56.5%	$373.2M+64.1%	$227.4M-30.4%	$326.9M+3656.1%	$8.7M-94.8%	$166.5M	N/A
Total Liabilities	$1.8B	N/A	N/A	N/A	N/A	$504.2M-31.4%	$735.4M+85.9%	$395.6M-37.8%	$636.6M+99.6%	$318.9M-25.2%	$426.2M	N/A
Current Liabilities	$1.3B	N/A	N/A	N/A	N/A	$211.8M-6.5%	$226.6M+7.4%	$211.0M-5.8%	$224.0M+22.6%	$182.7M+2.6%	$178.0M	N/A
Long-Term Debt	$107.8M	N/A	N/A	N/A	N/A	$58.3M	$0	$0	$0-100.0%	$15.2M-52.1%	$31.9M	N/A
Total Equity	$1.8B	N/A	N/A	N/A	N/A	$451.6M+15.9%	$389.7M+22.0%	$319.3M+30.3%	$245.1M+12.1%	$218.7M+10.7%	$197.6M-33.1%	$295.3M
Retained Earnings	$1.1B	N/A	N/A	N/A	N/A	$318.7M+27.5%	$250.0M+35.8%	$184.1M+59.0%	$115.8M+26.3%	$91.7M+56.9%	$58.4M	N/A

Metric	Q3'16	Q3'15	Q3'14	Q3'13	Q3'12	Q3'11
Total Assets	$1.1B-5.2%	$1.1B+29.1%	$871.8M-1.1%	$881.6M+31.4%	$671.1M+7.6%	$623.8M
Current Assets	$357.5M-0.3%	$358.5M+7.6%	$333.2M-9.7%	$369.0M+20.2%	$307.0M-7.5%	$331.8M
Cash & Equivalents	$132.6M+23.4%	$107.4M+30.8%	$82.1M-26.2%	$111.2M+26.2%	$88.2M-20.2%	$110.5M
Inventory	$4.6M+104.1%	$2.3M-6.1%	$2.4M+12.0%	$2.1M-12.3%	$2.5M-56.3%	$5.6M
Accounts Receivable	$176.7M-9.5%	$195.3M+0.9%	$193.6M-4.1%	$201.9M+23.7%	$163.2M+5.7%	$154.4M
Goodwill	$162.2M-56.5%	$373.2M+64.1%	$227.4M-30.4%	$326.9M+3656.1%	$8.7M-94.8%	$166.5M
Total Liabilities	$504.2M-31.4%	$735.4M+85.9%	$395.6M-37.8%	$636.6M+99.6%	$318.9M-25.2%	$426.2M
Current Liabilities	$211.8M-6.5%	$226.6M+7.4%	$211.0M-5.8%	$224.0M+22.6%	$182.7M+2.6%	$178.0M
Long-Term Debt	$58.3M	$0	$0	$0-100.0%	$15.2M-52.1%	$31.9M
Total Equity	$451.6M+15.9%	$389.7M+22.0%	$319.3M+30.3%	$245.1M+12.1%	$218.7M+10.7%	$197.6M
Retained Earnings	$318.7M+27.5%	$250.0M+35.8%	$184.1M+59.0%	$115.8M+26.3%	$91.7M+56.9%	$58.4M

FORTY Cash Flow Statement

Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type.

FORTY quarterly cash flow statement

Metric	FY25	FY21	FY20	FY19	FY18	FY15	FY14	FY13	FY12	FY11	FY10	FY09
Operating Cash Flow	$382.0M	N/A	N/A	N/A	N/A	$54.4M+226.3%	$16.7M-75.7%	$68.6M-6.2%	$73.1M+182.8%	$25.8M-49.3%	$50.9M-8.4%	$55.6M
Capital Expenditures	$16.2M	N/A	N/A	N/A	N/A	$5.4M+34.4%	$4.0M-41.2%	$6.9M+37.5%	$5.0M-43.9%	$8.9M+66.5%	$5.3M+97.1%	$2.7M
Free Cash Flow	$365.9M	N/A	N/A	N/A	N/A	$49.0M+287.6%	$12.6M-79.5%	$61.7M-9.4%	$68.1M+302.2%	$16.9M-62.9%	$45.6M-13.8%	$52.9M
Investing Cash Flow	$564.0M	N/A	N/A	N/A	N/A	-$58.5M-195.0%	-$19.8M+68.7%	-$63.3M-431.8%	-$11.9M+82.4%	-$67.8M-1901.7%	-$3.4M+73.6%	-$12.8M
Financing Cash Flow	-$223.5M	N/A	N/A	N/A	N/A	$35.8M+13.6%	$31.6M+182.2%	-$38.4M+0.1%	-$38.4M-289.0%	$20.3M+150.5%	-$40.3M+24.0%	-$53.0M
Dividends Paid	$28.7M	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

Metric	Q3'16	Q3'15	Q3'14	Q3'13	Q3'12	Q3'11

Not reported in any period shown, so not listed: Operating Cash Flow, Capital Expenditures, Free Cash Flow, Investing Cash Flow, Financing Cash Flow, Dividends Paid, Share Buybacks.

FORTY Financial Ratios

Margins and returns are percentages; the remaining ratios are unitless multiples.

FORTY quarterly financial ratios

Metric	FY25	FY21	FY20	FY19	FY18	FY15	FY14	FY13	FY12	FY11	FY10	FY09
Gross Margin	N/A	N/A	N/A	N/A	N/A	19.8%+3.1pp	16.7%-7.5pp	24.2%+0.2pp	24.0%+0.9pp	23.1%-1.9pp	25.0%0.0pp	24.9%
Operating Margin	N/A	N/A	N/A	N/A	N/A	6.2%+0.7pp	5.5%-2.1pp	7.6%+0.2pp	7.4%-0.3pp	7.7%-0.8pp	8.6%+0.7pp	7.9%
Net Margin	25.5%	N/A	N/A	N/A	N/A	9.8%-2.9pp	12.7%+2.6pp	10.1%+7.0pp	3.1%-3.6pp	6.7%+3.4pp	3.3%-0.7pp	4.1%
Return on Equity	37.6%	N/A	N/A	N/A	N/A	16.3%-4.4pp	20.7%-4.5pp	25.3%+15.7pp	9.5%-10.1pp	19.7%+10.4pp	9.3%+2.8pp	6.5%
Return on Assets	18.7%	N/A	N/A	N/A	N/A	6.9%-0.3pp	7.2%-2.1pp	9.3%+6.6pp	2.6%-3.8pp	6.4%+3.5pp	2.9%	N/A
Current Ratio	1.63	N/A	N/A	N/A	N/A	1.69+0.1x	1.580.0x	1.58-0.1x	1.650.0x	1.68-0.2x	1.86	N/A
Debt-to-Equity	0.06	N/A	N/A	N/A	N/A	0.13+0.1x	0.000.0x	0.000.0x	0.00-0.1x	0.07-0.1x	0.16	N/A
FCF Margin	13.9%	N/A	N/A	N/A	N/A	6.5%+4.5pp	2.0%-5.8pp	7.8%-1.4pp	9.2%+6.5pp	2.6%-5.7pp	8.3%-3.0pp	11.3%

Metric	Q3'16	Q3'15	Q3'14	Q3'13	Q3'12	Q3'11
Current Ratio	1.69+0.1x	1.580.0x	1.58-0.1x	1.650.0x	1.68-0.2x	1.86
Debt-to-Equity	0.13+0.1x	0.000.0x	0.000.0x	0.00-0.1x	0.07-0.1x	0.16

Not reported in any period shown, so not listed: Gross Margin, Operating Margin, Net Margin, Return on Equity, Return on Assets, FCF Margin.

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Frequently Asked Questions

What is Formula Systems's annual revenue?

Formula Systems (FORTY) reported $2.6B in total revenue for fiscal year 2025. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.

Is Formula Systems profitable?

Yes, Formula Systems (FORTY) reported a net income of $669.1M in fiscal year 2025, with a net profit margin of 25.5%.

How much debt does Formula Systems have?

As of fiscal year 2025, Formula Systems (FORTY) had $1.3B in cash and equivalents against $107.8M in long-term debt.

What is Formula Systems's net profit margin?

Formula Systems (FORTY) had a net profit margin of 25.5% in fiscal year 2025, representing the share of revenue converted into profit after all expenses.

What is Formula Systems's return on equity (ROE)?

Formula Systems (FORTY) has a return on equity of 37.6% for fiscal year 2025, measuring how efficiently the company generates profit from shareholder equity.

What is Formula Systems's free cash flow?

Formula Systems (FORTY) generated $365.9M in free cash flow during fiscal year 2025. Free cash flow represents the cash a company generates after accounting for capital expenditures, and is widely used to assess financial flexibility and shareholder value.

What is Formula Systems's operating cash flow?

Formula Systems (FORTY) generated $382.0M in operating cash flow during fiscal year 2025, representing cash generated from core business activities.

What are Formula Systems's total assets?

Formula Systems (FORTY) had $3.6B in total assets as of fiscal year 2025, including both current and long-term assets.

What are Formula Systems's capital expenditures?

Formula Systems (FORTY) invested $16.2M in capital expenditures during fiscal year 2025, funding long-term assets and infrastructure.

How many shares does Formula Systems have outstanding?

Formula Systems (FORTY) had 15M shares outstanding as of fiscal year 2025.

What is Formula Systems's current ratio?

Formula Systems (FORTY) had a current ratio of 1.63 as of fiscal year 2025, which is generally considered healthy.

What is Formula Systems's debt-to-equity ratio?

Formula Systems (FORTY) had a debt-to-equity ratio of 0.06 as of fiscal year 2025, measuring the company's financial leverage by comparing total debt to shareholder equity.

What is Formula Systems's return on assets (ROA)?

Formula Systems (FORTY) had a return on assets of 18.7% for fiscal year 2025, measuring how efficiently the company uses its assets to generate profit.

Are Formula Systems's earnings high quality?

Formula Systems (FORTY) has an earnings quality ratio of 0.57x, considered mixed quality. This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.