ADI ANALOG DEVICES INC

Overview and Growth

ANALOG DEVICES INC generated $11.02B of revenue in fiscal 2025, with net income of $2.27B and an operating cash inflow of $4.81B. At $11.02B, the top line establishes the operating scale supporting the company’s profit and cash-flow profile. The top line expanded 16.9% from $9.43B in fiscal 2024, increasing the company’s operating scale. The company reported diluted EPS of $4.56, adding a shareholder-level measure to the absolute income figures considered below. Diluted EPS increased by 39.0% from $3.28 in fiscal 2024, showing how the earnings change reached shareholders on a per-share basis. Asset turnover was 0.23x, relating the company’s annual revenue directly to the total assets reported at the period end.

Profitability

After reported cost of revenue, the company retained $6.77B as gross profit before recognizing operating expenses and other items. The gross-profit relationship equaled 61.5% of revenue, quantifying the portion retained before operating expenses were recognized. The reported operating result was $2.93B, capturing profitability after direct costs and the operating expenses reflected in the statements. The operating result equaled 26.6% of revenue, placing the absolute operating-income figure in the context of the company’s sales base. Net income came to $2.27B, completing the progression from revenue through gross and operating profitability to the final reported result. Measured against reported revenue, net income produced a 20.6% margin after operating costs and the remaining recognized items. Pretax income was $2.71B, isolating the reported earnings outcome before the income-tax provision recognized for the fiscal year. The pretax margin was 24.6%, relating income before taxes directly to revenue. Income tax expense totaled $444.77M, providing the reported tax component that separates pretax and after-tax earnings. Relative to pretax income, the tax provision measured 16.4%, quantifying the portion of pre-tax earnings paid in income tax.

Liquidity and Capital Structure

Total assets were $47.99B, supported by $14.18B of liabilities and $33.82B of shareholder equity. At period end, current assets of $7.11B compared with current liabilities of $3.25B, defining the company’s short-term resource position. Current assets covered current liabilities by 2.19x, leaving a positive buffer for near-term obligations. Reported cash and equivalents were $2.50B, separating immediately recognizable cash resources from the rest of the current-asset base. The cash balance equaled 77.0% of current liabilities, showing how much near-term coverage came from cash alone. Borrowings totaled $8.15B, adding a fixed financing obligation alongside the company’s equity capital. Against book equity, debt measured 0.24x, placing the company’s financial leverage in clear balance-sheet terms. The debt-to-assets relationship was 17.0%, comparing borrowing with the total asset balance. Liabilities represented 29.5% of total assets, quantifying the liability-funded share of the company’s resource base. Cash and equivalents equaled 5.2% of total assets, showing the liquid cash component within the company’s broader resource base. Total assets were 0.5% lower than fiscal 2024 assets of $48.23B, measuring the company’s own balance-sheet change.

Cash Flow and Earnings Quality

The company reported $4.81B of operating cash flow, a cash inflow that shows the cash generated by operations. Operating cash flow equaled 2.12x of net income, showing how strongly accounting earnings converted into cash from operations. Capital spending was $533.55M, absorbing part of the cash generated from operations before free cash flow. Relative to operating cash flow, capital expenditures measured 11.1%, connecting investment intensity with the company’s cash-generation base. Free cash flow came to $4.28B, leaving a positive amount after capital expenditures. Relative to revenue, free cash flow equaled 38.8%, showing how much sales converted into cash after investment. The free-cash-flow-to-assets relationship was 8.9%, comparing post-investment cash with the balance-sheet asset base.

Based on the annual report for the fiscal year ending Nov 1, 2025. Analysis generated Sep 24, 2026.