Adient PLC (ADNT)
Pretax margin
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | ||
|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) | US$ in thousands | 50,000 | 205,000 | -26,000 | 1,357,000 | -490,000 |
| Revenue | US$ in thousands | 14,688,000 | 15,395,000 | 14,121,000 | 13,680,000 | 12,670,000 |
| Pretax margin | 0.34% | 1.33% | -0.18% | 9.92% | -3.87% |
September 30, 2024 calculation
Pretax margin = EBT ÷ Revenue
= $50,000K ÷ $14,688,000K
= 0.34%
The pretax margin, which represents the proportion of each dollar of revenue that translates into pre-tax profit, for Adient PLC has fluctuated over the past five years. In 2024, the pretax margin decreased to a relatively low level of 0.34%, indicating that a smaller percentage of revenue was converted to pre-tax profit compared to prior years. This decline suggests potentially higher operating expenses or lower revenue generation efficiency in the most recent period.
In 2023, the pretax margin was at 1.33%, showing a slight improvement from the previous year when it was in negative territory at -0.18%. However, despite this recovery, the pretax margin remained relatively low compared to the levels seen in earlier years.
The year 2021 stood out with a significantly higher pretax margin of 9.92%, reflecting strong profitability and efficient cost management that year. Conversely, in 2020, the company experienced a negative pretax margin of -3.87%, indicating that expenses exceeded revenues, resulting in a loss before tax.
Overall, the fluctuation in Adient PLC's pretax margin suggests varying levels of profitability and operational efficiency over the analyzed period, highlighting the importance of monitoring and managing costs effectively to improve financial performance.
Peer comparison
Sep 30, 2024