Is the business good?
How good a business is GLOB?
Globant S.A. earns 6.1% on the capital it employs against a 9.0% cost of capital, so growth costs more than it returns.
6.1%
Return on invested capital · cost of capital 9.0% · 2.9 points below what the capital costs: growth destroys value
- Operating margin
- 7.0%
Operating margin · Information Technology Services median 7.9% · fiscal year to FY2025
- Cash conversion
- 2.74×
Cash conversion · 1.33× a year ago · every dollar of reported profit arrived as cash, and more
- Share count, year on year
- +0.93%
Share count, year on year · flat: no meaningful dilution
| Year | Operating margin |
|---|---|
| FY2020 | 10% |
| FY2021 | 11% |
| FY2022 | 12% |
| FY2023 | 9.5% |
| FY2024 | 9.3% |
| FY2025 | 7.0% |
Details›
- Gross marginfiscal year to FY2025
- 35%
- Operating marginfiscal year to FY2025
- 7.0%
- Net marginfiscal year to FY2025
- 4.2%
- Free cash flow margin
- 11%
- Revenue, trailing twelve months
- $2.45B
- Free cash flow, trailing twelve months
- $282M
- Net income, trailing twelve months
- $103M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 6.1%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion from the cash flow statement.
Information Technology Services
Ranks #28 of 37 by Smart Score