Avient Corp (AVNT)

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 224,800 87,300 63,800 304,600 139,000
Revenue US$ in thousands 3,240,400 3,142,800 3,396,900 4,818,800 3,242,100
Pretax margin 6.94% 2.78% 1.88% 6.32% 4.29%

December 31, 2024 calculation

Pretax margin = EBT ÷ Revenue
= $224,800K ÷ $3,240,400K
= 6.94%

The pretax margin of Avient Corp has shown variability in recent years. In 2020, the pretax margin was recorded at 4.29%, indicating that for every dollar of revenue generated before tax expenses, the company retained approximately 4.29 cents as profit. Subsequently, there was an improvement in 2021, with the pretax margin increasing to 6.32%, reflecting a more efficient management of operating costs and higher profitability.

However, in 2022, there was a significant decline in the pretax margin to 1.88%, suggesting possible challenges or increased expenses impacting the company's profitability before taxes. Despite this downturn, the margin recovered slightly in 2023 to 2.78%, but remained below the levels seen in 2021.

The most recent data for 2024 shows a notable improvement in the pretax margin, reaching 6.94%, which indicates a positive trend in the company's ability to generate profits before tax deductions. Overall, the pretax margin trend for Avient Corp demonstrates fluctuations over the years, with potential areas for further analysis to understand the factors influencing the company's profitability.