Ametek Inc (AME)

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	1,606,412	1,567,979	1,521,988	1,472,069	1,428,692	1,389,480	1,341,646	1,286,936	1,223,170	1,160,586	1,088,993	1,003,690	1,082,309	1,073,582	1,099,738	1,163,885	1,069,748	1,060,538	1,031,237	1,008,859
Revenue (ttm)	US$ in thousands	6,515,160	6,411,040	6,338,130	6,204,940	6,067,350	5,947,930	5,836,590	5,708,290	5,466,130	5,162,380	4,847,940	4,471,293	4,594,993	4,720,333	4,869,893	5,148,580	5,093,120	5,059,630	4,977,880	4,898,090
Pretax margin		24.66%	24.46%	24.01%	23.72%	23.55%	23.36%	22.99%	22.55%	22.38%	22.48%	22.46%	22.45%	23.55%	22.74%	22.58%	22.61%	21.00%	20.96%	20.72%	20.60%

December 31, 2023 calculation

Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $1,606,412K ÷ $6,515,160K
= 24.66%

The pretax margin of Ametek Inc has shown a consistent increase over the past eight quarters. Starting from 22.23% in Q1 2022, the pretax margin has steadily improved to reach 24.35% in Q4 2023. This indicates that the company has been effectively managing its operating expenses and generating stronger profitability before considering taxes. The trend suggests that Ametek Inc is becoming more efficient in generating profits from its operations, which could be a positive sign of sustainable growth and financial health for the company.