Antero Midstream Partners LP (AM)

Pretax margin

		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	Mar 31, 2020
Earnings before tax but after interest (EBT) (ttm)	US$ in thousands	548,621	524,141	520,676	522,310	500,073	484,250	464,119	453,806	443,736	435,449	442,468	445,382	448,740	440,190	459,314	470,968	-178,215	-489,666	-981,900	-1,002,569
Revenue (ttm)	US$ in thousands	1,106,193	1,078,886	1,072,855	1,061,347	1,041,771	1,023,154	990,349	960,969	919,985	894,922	888,692	892,572	898,202	885,572	894,183	881,132	900,719	935,926	946,306	982,188
Pretax margin		49.60%	48.58%	48.53%	49.21%	48.00%	47.33%	46.86%	47.22%	48.23%	48.66%	49.79%	49.90%	49.96%	49.71%	51.37%	53.45%	-19.79%	-52.32%	-103.76%	-102.08%

December 31, 2024 calculation

Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $548,621K ÷ $1,106,193K
= 49.60%

The pretax margin of Antero Midstream Partners LP has exhibited a significant improvement over the analyzed period. Starting at negative percentages in early 2020, indicating losses exceeding operating income, the company managed to turn around its performance by the first quarter of 2021, achieving a strong positive pretax margin of 53.45%. This trend continued throughout 2021 and into 2022, with pretax margins consistently above 49%.

Although there was a slight dip in the pretax margin in the second quarter of 2023, the company quickly recovered, maintaining margins above 47% by the end of 2023. Notably, by the end of 2024, the pretax margin reached a new high of 49.60%, indicating a favorable financial performance with strong profitability levels.

Overall, the positive pretax margin trend observed over the period reflects Antero Midstream Partners LP's successful efforts in managing its operating expenses and generating higher revenues, ultimately leading to improved profitability.