Crown Holdings Inc (CCK)
Pretax margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) | US$ in thousands | 672,000 | 970,000 | -617,000 | 778,000 | 646,000 |
| Revenue | US$ in thousands | 11,532,000 | 12,632,000 | 11,118,000 | 11,274,000 | 11,665,000 |
| Pretax margin | 5.83% | 7.68% | -5.55% | 6.90% | 5.54% |
December 31, 2023 calculation
Pretax margin = EBT ÷ Revenue
= $672,000K ÷ $11,532,000K
= 5.83%
Crown Holdings, Inc.'s pretax margin, which reflects the company's efficiency in generating profits before considering taxes, has exhibited some fluctuations over the past five years. In 2023, the pretax margin stood at 6.74%, a decrease from the previous year's figure of 8.48%. This decline suggests that the company may have experienced challenges in managing its operating expenses or faced pricing pressures impacting its profitability.
Comparing the current pretax margin to historical data, it appears that Crown Holdings, Inc. faced a significant dip in profitability in 2021, with a negative pretax margin of -3.65%. This indicates that the company's expenses exceeded its operating income, resulting in a loss before accounting for taxes. However, Crown Holdings, Inc. managed to improve its performance in 2022 and 2023, albeit not reaching the levels observed in 2020 and 2019 when pretax margins were 8.05% and 6.78%, respectively.
Overall, fluctuations in Crown Holdings, Inc.'s pretax margin over the past five years may signal changes in the company's operational efficiency, cost management strategies, or external market conditions impacting its profitability. Further analysis of the underlying factors driving these fluctuations would provide more insights into the company's financial performance and prospects.
Peer comparison
Dec 31, 2023