Advanced Energy Industries Inc (AEIS)
Pretax margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) | US$ in thousands | 52,377 | 122,461 | 241,741 | 148,711 | 158,147 |
| Revenue | US$ in thousands | 1,482,040 | 1,655,810 | 1,845,420 | 1,455,950 | 1,415,830 |
| Pretax margin | 3.53% | 7.40% | 13.10% | 10.21% | 11.17% |
December 31, 2024 calculation
Pretax margin = EBT ÷ Revenue
= $52,377K ÷ $1,482,040K
= 3.53%
Advanced Energy Industries Inc's pretax margin has shown fluctuations in the recent years. In 2020, the pretax margin was at 11.17%, indicating that the company was able to generate 11.17 cents of pre-tax profit for every dollar of revenue. However, in 2021, the pretax margin decreased to 10.21%, showing a slight decline in profitability.
The following year, in 2022, the pretax margin improved significantly to 13.10%, indicating that the company was able to increase its profitability by effectively managing its expenses relative to its revenue. This improvement suggests that Advanced Energy Industries Inc may have implemented cost-saving measures or experienced an increase in revenue.
In 2023, the pretax margin decreased to 7.40%, which may indicate a decrease in profitability due to various factors such as higher expenses or lower revenue. Furthermore, in 2024, the pretax margin dropped further to 3.53%, indicating a significant decline in profitability compared to the previous years.
Overall, the fluctuating trend in pretax margin over the years suggests that Advanced Energy Industries Inc may need to focus on improving its cost management and revenue generation strategies to ensure sustained profitability in the future and maintain competitiveness in the market.
Peer comparison
Dec 31, 2024