TRUP TRUPANION, INC.

Overview and Growth

TRUPANION, INC. generated $1.44B of revenue in fiscal 2025, with net income of $19.43M and an operating cash inflow of $89.49M. Revenue of $1.44B sets the scale for evaluating how effectively sales translated into profit and cash during the year. Compared with $1.29B in fiscal 2024, revenue recorded a 11.9% year-over-year increase. The company reported diluted EPS of $0.45, adding a shareholder-level measure to the absolute income figures considered below. The revenue-to-assets relationship was 1.57x, showing the sales generated relative to the resources carried on the balance sheet.

Profitability

After reported cost of revenue, the company retained $231.01M as gross profit before recognizing operating expenses and other items. Gross margin was 16.1%, so that share of each revenue unit remained after the cost of revenue reported for the period. Operating income was $13.84M, the earnings remaining from reported operations after the company’s recognized operating cost structure. Operating margin measured 1.0%, showing the portion of revenue preserved after the full set of operating costs. The bottom-line result was net income of $19.43M, after the operating, financing, tax, and other items recognized for the period. Net margin was 1.4%, meaning that this portion of revenue remained as net income after all recognized expenses. The earnings statement records $21.99M of pretax income, the profit base against which the reported tax provision can be assessed. Measured against revenue, pretax income equaled 1.5%, adding a pre-tax profitability layer between revenue and net income. The reported income-tax provision was $2.56M, the amount recognized between pretax income and the final net-income result. The income-tax provision equaled 11.6% of pretax income, showing the tax burden absorbed by the year’s earnings.

Liquidity and Capital Structure

Total assets were $915.04M, supported by $531.11M of liabilities and $383.94M of shareholder equity. Current assets were $691.06M against $409.81M of current liabilities, framing the resources and obligations classified within the near-term balance-sheet horizon. The current ratio was 1.69x, with current assets exceeding current liabilities and providing a short-term liquidity cushion. Cash and equivalents totaled $138.02M, identifying the most liquid reported component available within the broader current-asset balance. Cash and equivalents represented 33.7% of current liabilities, showing the portion of near-term obligations matched by reported cash alone. Total debt was $111.78M, establishing the amount of borrowing carried within the company’s capital structure. Debt equaled 0.29x of book equity, describing the relative scale of borrowing and shareholder capital. Relative to total assets, debt measured 12.2%, showing how much of the asset base was matched by borrowing. Relative to total assets, liabilities measured 58.0%, complementing the separate equity-based view of the company’s capital structure. Cash and equivalents equaled 15.1% of total assets, showing the liquid cash component within the company’s broader resource base. Total assets were 13.4% higher than fiscal 2024 assets of $806.85M, measuring the company’s own balance-sheet change.

Cash Flow and Earnings Quality

The company reported $89.49M of operating cash flow, a cash inflow that shows the cash generated by operations. Operating cash flow equaled 4.6x of net income, showing how strongly accounting earnings converted into cash from operations. Capital expenditures used $14.13M, identifying the reported investment outflow deducted from operating cash flow in the free-cash-flow calculation. Relative to operating cash flow, capital expenditures measured 15.8%, connecting investment intensity with the company’s cash-generation base. Free cash flow came to $75.36M, leaving a positive amount after capital expenditures. Free cash flow represented 5.2% of revenue, linking post-investment cash generation with the company’s operating scale. The free-cash-flow-to-assets relationship was 8.2%, comparing post-investment cash with the balance-sheet asset base.

Based on the annual report for the fiscal year ending Dec 31, 2025. Analysis generated Oct 21, 2026.