Allegro Microsystems Inc (ALGM)

Pretax margin

		Mar 31, 2024	Mar 31, 2023	Mar 31, 2022	Mar 31, 2021
Earnings before tax but after interest (EBT)	US$ in thousands	194,606	211,209	140,598	-1,599
Revenue	US$ in thousands	1,043,670	972,297	768,005	579,037
Pretax margin		18.65%	21.72%	18.31%	-0.28%

March 31, 2024 calculation

Pretax margin = EBT ÷ Revenue
= $194,606K ÷ $1,043,670K
= 18.65%

The pretax margin of Allegro Microsystems Inc has fluctuated over the past four years. In fiscal year 2024, the pretax margin was 18.65%, a decrease from the prior year's level of 21.72%. This indicates that the company's profitability before taxes decreased in the most recent year. However, compared to fiscal year 2022, where the pretax margin was 18.31%, there was a slight improvement in profitability.

It is worth noting that in fiscal year 2021, Allegro Microsystems Inc reported a negative pretax margin of -0.28%, which suggests that the company was operating at a loss before taxes in that period. The subsequent recovery in profitability over the following years indicates that the company has made progress in improving its financial performance.

Overall, the trend in the pretax margin for Allegro Microsystems Inc shows some variation, with recent fluctuations raising considerations regarding the company's ability to maintain consistent profitability levels. Further analysis of the underlying factors contributing to these changes would be necessary to fully assess the company's financial health and performance.