Advanced Micro Devices Inc (AMD)

Pretax margin

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Earnings before tax but after interest (EBT) (ttm)	US$ in thousands	508,000	5,000	-324,000	173,000	1,198,000	2,534,000	3,608,000	3,930,000	3,675,000	3,021,000	2,418,000	1,756,000	1,280,000	936,000	661,000	537,000	372,000	170,000	157,000	242,000
Revenue (ttm)	US$ in thousands	22,910,000	22,190,000	21,950,000	23,144,000	23,650,000	22,763,000	21,535,000	18,850,000	16,413,000	14,803,000	13,287,000	11,365,000	9,698,000	8,572,000	7,519,000	7,107,000	6,643,000	5,924,000	5,810,000	6,029,000
Pretax margin		2.22%	0.02%	-1.48%	0.75%	5.07%	11.13%	16.75%	20.85%	22.39%	20.41%	18.20%	15.45%	13.20%	10.92%	8.79%	7.56%	5.60%	2.87%	2.70%	4.01%

December 31, 2023 calculation

Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $508,000K ÷ $22,910,000K
= 2.22%

The pretax margin of Advanced Micro Devices Inc shows a fluctuating trend over the past years, with significant variations in profitability levels. In recent quarters, the pretax margin has been relatively low, indicating challenges in controlling operating expenses and generating profit before taxes. The pretax margin was highest in the period between March 2022 and March 2021, peaking at 22.39% and gradually declining thereafter. The most recent quarter, December 2023, demonstrates a slight improvement in the pretax margin compared to the previous quarter. Overall, the company's pretax margin reflects some volatility and suggests the need for continued monitoring and strategic adjustments to enhance profitability.