Agilysys Inc (AGYS)

Pretax margin

		Mar 31, 2025	Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020
Earnings before tax but after interest (EBT) (ttm)	US$ in thousands	20,261	25,107	26,462	26,156	20,684	20,175	15,647	14,225	15,762	13,175	10,171	7,783	6,511	-20,038	-23,492	-18,534	-21,208	-23,361	-23,960	-32,825
Revenue (ttm)	US$ in thousands	201,352	263,573	254,578	244,915	237,462	228,138	217,492	206,618	198,065	191,727	181,267	171,417	162,636	152,413	149,628	146,096	137,178	140,501	145,813	152,175
Pretax margin		10.06%	9.53%	10.39%	10.68%	8.71%	8.84%	7.19%	6.88%	7.96%	6.87%	5.61%	4.54%	4.00%	-13.15%	-15.70%	-12.69%	-15.46%	-16.63%	-16.43%	-21.57%

March 31, 2025 calculation

Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $20,261K ÷ $201,352K
= 10.06%

Agilysys Inc's pretax margin, which indicates the percentage of each dollar of revenue that the company retains as pre-tax profit, has shown a fluctuating trend over the past few quarters. The company recorded negative pretax margins from June 2020 to September 2021, indicating operational challenges and potential inefficiencies. However, the pretax margin started to improve in March 2022, turning positive at 4.00%.

From that point onward, Agilysys Inc's pretax margin demonstrated consistent growth, reaching 10.06% by March 2025. This upward trend signals enhanced operational efficiency, cost management, or revenue growth strategies that have positively impacted the company's profitability before taxes. It suggests that Agilysys Inc has been able to generate more profit from its revenue over time, reflecting a stronger financial performance and potentially improved overall business operations.