Celsius Holdings Inc (CELH)
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 | 291,749 | -152,664 | -4,059 | 8,640 | 13,569 |
| Revenue | US$ in thousands | 1,318,010 | 653,604 | 314,272 | 130,726 | 75,147 |
| Pretax margin | 22.14% | -23.36% | -1.29% | 6.61% | 18.06% |
December 31, 2023 calculation
Pretax margin = EBT ÷ Revenue
= $291,749K ÷ $1,318,010K
= 22.14%
The pretax margin of Celsius Holdings Inc has shown significant variability over the past five years. In 2023, the pretax margin improved substantially to 22.14%, indicating that the company was able to generate a higher level of pre-tax income relative to its total revenue compared to the previous years.
However, the pretax margin was negative in 2022 at -23.36%, suggesting that the company incurred significant expenses that outweighed its pre-tax earnings, resulting in a loss before taxes. This could indicate potential operational challenges or extraordinary expenses during that year.
In 2021, the pretax margin was slightly negative at -1.29%, indicating that the company's pre-tax earnings were insufficient to cover its expenses, although the margin improved compared to 2022.
In 2020, there was a positive pretax margin of 6.61%, demonstrating that the company was able to generate pre-tax income, albeit at a relatively lower percentage compared to 2019.
Furthermore, in 2019, Celsius Holdings Inc achieved a pretax margin of 13.27%, indicating that the company was able to convert a significant portion of its revenue into pre-tax profits.
Overall, the trend in the pretax margin of Celsius Holdings Inc indicates variability in the company's ability to manage expenses and generate pre-tax income over the past five years. It is essential for the company to continue monitoring and improving its operational efficiency to sustain positive pretax margins in the future.
Peer comparison
Dec 31, 2023