Amazon.com Inc (AMZN)
Pretax margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) | US$ in thousands | 37,525,000 | -5,939,000 | 38,155,000 | 24,194,000 | 13,988,000 |
| Revenue | US$ in thousands | 571,668,000 | 511,276,000 | 467,958,000 | 384,452,000 | 278,902,000 |
| Pretax margin | 6.56% | -1.16% | 8.15% | 6.29% | 5.02% |
December 31, 2023 calculation
Pretax margin = EBT ÷ Revenue
= $37,525,000K ÷ $571,668,000K
= 6.56%
The pretax margin of Amazon.com Inc. has shown fluctuating trends over the past five years. In 2023, the pretax margin improved to 6.53%, indicating that the company's profitability before taxes increased compared to the previous year. However, in 2022, Amazon reported a negative pretax margin of -1.16%, suggesting that expenses exceeded operating income. The highest pretax margin was recorded in 2021 at 8.12%, demonstrating strong profitability levels, followed by 6.27% in 2020 and 4.98% in 2019. Overall, the company's pretax margin has displayed variability over the years, reflecting changes in operating efficiency, cost management, and revenue generation strategies. Further analysis of the financial performance and factors impacting profitability would provide deeper insights into Amazon's operational effectiveness.
Peer comparison
Dec 31, 2023