Caterpillar Inc (CAT)
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 | 13,373,000 | 13,050,000 | 8,752,000 | 8,204,000 | 3,995,000 |
| Revenue | US$ in thousands | 64,809,000 | 67,060,000 | 59,427,000 | 50,971,000 | 41,748,000 |
| Pretax margin | 20.63% | 19.46% | 14.73% | 16.10% | 9.57% |
December 31, 2024 calculation
Pretax margin = EBT ÷ Revenue
= $13,373,000K ÷ $64,809,000K
= 20.63%
Based on the provided data, Caterpillar Inc's pretax margin has shown a positive trend over the years, increasing from 9.57% on December 31, 2020, to 20.63% on December 31, 2024. This indicates that the company's profitability before taxes has been improving steadily, with significant growth in recent years. The rise in pretax margin suggests that Caterpillar has been effectively managing its costs and operating efficiently, resulting in higher earnings generated from its operations relative to its revenue. This trend reflects positively on Caterpillar's financial performance and management's ability to drive profitability.
Peer comparison
Dec 31, 2024