Amazon.com Inc (AMZN)
Pretax margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) | US$ in thousands | 68,513,000 | 37,525,000 | -5,939,000 | 38,155,000 | 24,194,000 |
| Revenue | US$ in thousands | 637,551,000 | 571,668,000 | 511,276,000 | 467,958,000 | 384,452,000 |
| Pretax margin | 10.75% | 6.56% | -1.16% | 8.15% | 6.29% |
December 31, 2024 calculation
Pretax margin = EBT ÷ Revenue
= $68,513,000K ÷ $637,551,000K
= 10.75%
The pretax margin of Amazon.com Inc has shown variations over the years based on the provided data. In December 2020, the pretax margin was 6.29%, reflecting a moderate level of profitability before taxes. This margin improved in December 2021, reaching 8.15%, indicating increased efficiency in controlling operating expenses relative to revenue.
However, there was a significant decline in pretax margin in December 2022, dropping to -1.16%, which implies that the company experienced losses before taxes during that period. The negative margin could be attributed to various factors such as increased expenses or a decrease in revenue.
Subsequently, in December 2023, the pretax margin recovered to 6.56%, showing a return to positive profitability before taxes. The most recent data point in December 2024 demonstrates a notable improvement in profitability, with the pretax margin rising to 10.75%, which indicates effective cost management and operational performance.
Overall, the pretax margin trend of Amazon.com Inc highlights the company's ability to adapt to changing market conditions and optimize its financial performance over the years.
Peer comparison
Dec 31, 2024