Baker Hughes Co (BKR)
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 | 2,629,000 | 2,457,000 | 1,840,000 | 573,000 | -3,000 | 303,000 | 368,000 | 1,100,000 | 538,000 | 1,114,000 | 749,000 | 458,000 | -9,381,000 | -10,341,000 | -10,013,000 | -9,711,000 | 610,000 | 652,000 | 611,000 | 568,000 |
| Revenue (ttm) | US$ in thousands | 24,941,000 | 23,990,000 | 22,603,000 | 21,333,000 | 20,452,000 | 20,453,000 | 20,175,000 | 20,265,000 | 20,202,000 | 20,101,000 | 20,058,000 | 19,648,000 | 20,306,000 | 21,363,000 | 22,203,000 | 23,474,000 | 23,664,000 | 23,581,000 | 23,368,000 | 22,915,000 |
| Pretax margin | 10.54% | 10.24% | 8.14% | 2.69% | -0.01% | 1.48% | 1.82% | 5.43% | 2.66% | 5.54% | 3.73% | 2.33% | -46.20% | -48.41% | -45.10% | -41.37% | 2.58% | 2.76% | 2.61% | 2.48% |
December 31, 2023 calculation
Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $2,629,000K ÷ $24,941,000K
= 10.54%
The pretax margin of Baker Hughes Co has exhibited varying trends over the past eight quarters. In Q4 2023, the pretax margin stood at 10.41%, slightly higher than the previous quarter's 10.09%. This indicates that for every dollar of revenue generated, the company retained 10.41 cents before accounting for taxes and other expenses.
The trend in pretax margin shows a notable improvement from Q1 2023, where it was at a relatively lower 2.70%. This significant increase indicates a strengthening financial performance and efficiency in managing costs.
Comparing Q4 2023 to the same quarter a year ago, there has been a substantial improvement from a mere 0.10% to the current 10.41%. This is a positive sign of the company's ability to enhance profitability over time.
Overall, Baker Hughes Co has shown a positive trend in its pretax margin, reflecting improved operational efficiency and potentially effective cost management strategies in recent quarters. However, it is essential to continue monitoring this metric to ensure continued financial health and sustainable growth.
Peer comparison
Dec 31, 2023