Varonis Systems (MEX:VRNS) Pretax Margin %: -23.12% (As of Mar. 2026)


MEX:VRNS Varonis Systems Inc MEX:VRNS
74 GF Score
Price MXN424.59
GF Value MXN573.93
! 3 Warning Signs
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What is Varonis Systems Pretax Margin %?

Varonis Systems MEX:VRNS 74 Pretax Margin % is -23.12% as of Mar. 2026. GuruFocus rates MEX:VRNS with a GF Score™ of 74/100 and a GF Value™ of MXN573.93. The stock has 3 warning signs investors should review. Among 2,822 Software companies, Varonis Systems ranks worse than 76.44% on this metric.

Pre-Tax margin is calculated as Pre-Tax Income divided by its Revenue. Varonis Systems's Pre-Tax Income for the three months ended in Mar. 2026 was MXN-722 Mil. Varonis Systems's Revenue for the three months ended in Mar. 2026 was MXN3,122 Mil. Therefore, Varonis Systems's pretax margin for the quarter that ended in Mar. 2026 was -23.12%.

The historical rank and industry rank for Varonis Systems's Pretax Margin % or its related term are showing as below:

MEX:VRNS' s Pretax Margin % Range Over the Past 10 Years
Min: -30.05   Med: -18.04   Max: -5.13
Current: -18.86


MEX:VRNS's Pretax Margin % is ranked worse than
76.44% of 2822 companies
in the Software industry
Industry Median: 3.5 vs MEX:VRNS: -18.86

Varonis Systems  (MEX:VRNS) Pretax Margin % Explanation

The pretax margin, as know as pretax profit margin, is widely used to measure the operating efficiency of a company before deducting taxes.

The pretax margin is sometimes preferred over the net margin as tax expenditures can make profitability comparisons between companies misleading.

It is a useful tool to compare companies operating in the same sector and less effective when comparing companies from other sectors as each industry generally has different operating expenses and sales patterns.

The long term trend of the pretax margin is a good indicator of the competitiveness and health of the business.


Varonis Systems Pretax Margin % Related Terms


Varonis Systems Pretax Margin % Historical Data

* Premium members only.

The historical data trend for Varonis Systems's Pretax Margin % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Varonis Systems Pretax Margin % Chart

Varonis Systems Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Pretax Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -28.41 -23.40 -17.41 -15.07 -18.66

Varonis Systems Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Pretax Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -23.32 -20.76 -17.41 -14.30 -23.12

MEX:VRNS vs RELY, ZETA, WEX: Pretax Margin % Comparison

For the Software - Infrastructure subindustry, Varonis Systems's Pretax Margin %, along with its competitors' market caps and Pretax Margin % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Varonis Systems Pretax Margin % vs Software Industry

For the Software industry and Technology sector, Varonis Systems's Pretax Margin % distribution charts can be found below:

* The bar in red indicates where Varonis Systems's Pretax Margin % falls into.


MEX:VRNS
74GF Score
Varonis Systems Inc MEX:VRNS
Pretax Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
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Varonis Systems Pretax Margin % Calculation

Pretax margin - also known as pretax profit margin is the ratio of Pretax Income divided by net sales or Revenue, usually presented in percent.

Varonis Systems's Pretax Margin for the fiscal year that ended in Dec. 2025 is calculated as

Pretax Margin=Pre-Tax Income (A: Dec. 2025 )/Revenue (A: Dec. 2025 )
=-2094.423/11227.13
=-18.66 %

Varonis Systems's Pretax Margin for the quarter that ended in Mar. 2026 is calculated as

Pretax Margin=Pre-Tax Income (Q: Mar. 2026 )/Revenue (Q: Mar. 2026 )
=-721.939/3121.929
=-23.12 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about Pretax Margin % →
What does a Pretax Margin % of -23.12% mean?
Varonis Systems (MEX:VRNS) has a Pretax Margin % of -23.12% as of Mar. 2026. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Varonis Systems and its competitors. According to the industry distribution chart, Varonis Systems ranks #2157 out of 2822 companies in the Software industry, placing it in the top 76.4%.
Is Varonis Systems' Pretax Margin % too high?
Varonis Systems' current Pretax Margin % is -23.12%. Based on the distribution chart, Varonis Systems ranks #2157 out of 2822 companies in the Software industry, which is in the bottom quartile relative to peers. Overall, Varonis Systems has a GF Score™ of 74/100, reflecting its overall financial health beyond just this single metric.
How does Varonis Systems' Pretax Margin % compare to RELY and ZETA?
According to the Software industry distribution chart, Varonis Systems ranks #2157 out of 2822 companies for Pretax Margin %. This places Varonis Systems in the lower half of its industry. The industry median Pretax Margin % is 3.50. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Pretax Margin % for a Software company?
The median Pretax Margin % among Software companies is 3.50, based on 2,822 companies in the industry. Companies in the top quartile (top 25%) have a Pretax Margin % significantly above this median, while those in the bottom quartile fall well below. However, Pretax Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Pretax Margin % mean?
A high Pretax Margin % can signal that a stock is expensive relative to its fundamentals. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Varonis Systems and its competitors. For the Software industry, the median Pretax Margin % is 3.50 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Varonis Systems's current Pretax Margin % is -23.12%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Varonis Systems stock overvalued right now?
Varonis Systems (MEX:VRNS) has a current Pretax Margin % of -23.12%. The stock's GF Value™ is MXN573.93, compared to a current price of MXN424.59 — trading 26% below its estimated fair value. The current Pretax Margin % is -23.12%. Varonis Systems' overall GF Score™ is 74/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Pretax Margin % calculated?
Pretax Margin % is calculated from a company's financial statements. For Varonis Systems (MEX:VRNS), the current Pretax Margin % is -23.12% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Varonis Systems (MEX:VRNS) Overvalued in 2026?

Based on GuruFocus' analysis, Varonis Systems stock appears to be undervalued. The current stock price of MXN424.59 is trading 26% below its estimated GF Value™ of MXN573.93.

Key valuation signals for MEX:VRNS:

  • Pretax Margin %: -23.12%
  • GF Value™: MXN573.93 vs. price of MXN424.59 (26% below fair value)
  • GF Score™: 74/100 with 3 warning signs

No single metric tells the full story. See the MEX:VRNS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Varonis Systems Business Description

Address 801 Brickell Avenue, 8th Floor, Miami, FL, USA, 33131
Varonis Systems is a cybersecurity vendor focused on data privacy and security. The firm is currently undergoing a cloud transition as it weans its on-premises customers over to its cloud products that are delivered as software-as-a-service. The New York-based firm was founded in 2005 and went public in 2014.
74GF Score

Get the complete analysis for MEX:VRNS

Pretax Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

MXN424.59
Price
MXN573.93
GF Value