Aramark Holdings (ARMK)

Pretax margin

		Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	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
Earnings before tax but after interest (EBT) (ttm)	US$ in thousands	365,494	424,033	810,363	805,328	851,722	733,492	323,224	307,612	255,945	196,433	179,761	36,407	-131,466	-374,686	-836,246	-943,138	-647,813	-324,441	204,013	440,450
Revenue (ttm)	US$ in thousands	17,220,030	17,990,200	19,113,600	19,603,060	19,914,720	18,710,200	17,336,900	16,595,300	15,942,560	15,070,690	14,063,660	13,022,850	11,818,380	10,986,830	10,018,580	10,929,130	12,437,650	14,084,690	15,944,550	16,214,300
Pretax margin		2.12%	2.36%	4.24%	4.11%	4.28%	3.92%	1.86%	1.85%	1.61%	1.30%	1.28%	0.28%	-1.11%	-3.41%	-8.35%	-8.63%	-5.21%	-2.30%	1.28%	2.72%

September 30, 2024 calculation

Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $365,494K ÷ $17,220,030K
= 2.12%

The pretax margin of Aramark Holdings has shown variability over the past few quarters. From December 2019 to March 2020, there was a gradual decline in pretax margin, reaching a low of -8.63% in December 2020. However, since then, the company has shown improvement, with positive pretax margins recorded from March 2021 onwards.

In the most recent quarter of September 2024, the pretax margin stands at 2.12%, indicating a modest profitability before tax. It is important to note that the pretax margin dipped in the previous quarter of June 2024 but has since rebounded. The company's ability to maintain positive pretax margins in recent quarters demonstrates a trend towards stability and potential profitability.

Overall, Aramark Holdings' pretax margin analysis reveals a mix of challenges and improvements in financial performance, highlighting the importance of consistent monitoring and strategic financial management in the company's operations.