Arlo Technologies (ARLO)
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 | -20,861 | -43,611 | -56,651 | -60,838 | -55,651 | -40,366 | -41,252 | -53,079 | -55,352 | -63,740 | -66,082 | -71,999 | -100,641 | -62,473 | -75,418 | -79,688 | -81,571 | -143,842 | -126,540 | -110,731 |
| Revenue (ttm) | US$ in thousands | 495,885 | 478,632 | 475,901 | 479,098 | 493,340 | 517,147 | 499,348 | 478,314 | 435,648 | 407,138 | 406,300 | 374,509 | 358,206 | 365,783 | 362,185 | 379,712 | 372,177 | 371,922 | 396,887 | 423,525 |
| Pretax margin | -4.21% | -9.11% | -11.90% | -12.70% | -11.28% | -7.81% | -8.26% | -11.10% | -12.71% | -15.66% | -16.26% | -19.22% | -28.10% | -17.08% | -20.82% | -20.99% | -21.92% | -38.68% | -31.88% | -26.15% |
December 31, 2023 calculation
Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $-20,861K ÷ $495,885K
= -4.21%
The pretax margin of Arlo Technologies Inc has shown fluctuations over the past eight quarters, ranging from a low of -12.76% in Q1 2023 to a high of -4.25% in Q4 2023. The company has struggled to maintain positive profitability before taxes, with five out of eight quarters recording negative pretax margins. This indicates that Arlo Technologies Inc has faced challenges in effectively managing its operating expenses and generating sufficient revenues to cover its costs prior to the deduction of taxes. The downward trend in pretax margins from Q4 2022 to Q1 2023 raises concerns about the company's profitability and sustainability. Further analysis of the underlying factors contributing to these margin fluctuations would be necessary to determine the root causes and potential strategies for improvement.
Peer comparison
Dec 31, 2023