Ashland Global Holdings Inc (ASH)
Pretax margin
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | ||
|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) | US$ in thousands | -54,000 | 170,000 | 952,000 | 182,000 | -530,000 |
| Revenue | US$ in thousands | 2,113,000 | 2,191,000 | 2,391,000 | 2,111,000 | 2,016,000 |
| Pretax margin | -2.56% | 7.76% | 39.82% | 8.62% | -26.29% |
September 30, 2024 calculation
Pretax margin = EBT ÷ Revenue
= $-54,000K ÷ $2,113,000K
= -2.56%
The pretax margin of Ashland Global Holdings Inc has exhibited significant fluctuations over the past five years. In September 2024, the company experienced a negative pretax margin of -2.56%, indicating that its pre-tax earnings were insufficient to cover its operating expenses and other costs, resulting in a loss before taxes.
In contrast, in September 2022, Ashland Global achieved a substantially higher pretax margin of 39.82%, reflecting strong profitability and effective cost management during that period. This exceptional performance suggests that the company generated significant earnings before accounting for income taxes relative to its revenue.
The pretax margin in September 2023 and September 2021 stood at 7.76% and 8.62% respectively, indicating moderate levels of profitability and efficiency in managing expenses and generating earnings. These figures suggest that the company was able to maintain a healthy margin of earnings before taxes during these years.
The pretax margin in September 2020 was notably negative at -26.29%, indicating a significant loss before taxes during that period. This negative margin may imply that the company faced challenges in generating sufficient earnings to cover its expenses or experienced extraordinary costs or losses in that specific year.
Overall, the pretax margin of Ashland Global Holdings Inc has shown variability, ranging from significant profitability to periods of losses before taxes. The company's ability to maintain and improve its pretax margin over time will be crucial in demonstrating sustainable profitability and financial health.
Peer comparison
Sep 30, 2024