Cognex Corporation (CGNX)

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	135,348	250,695	318,900	186,911	162,994
Revenue	US$ in thousands	825,325	1,004,230	1,034,800	812,977	725,116
Pretax margin		16.40%	24.96%	30.82%	22.99%	22.48%

December 31, 2023 calculation

Pretax margin = EBT ÷ Revenue
= $135,348K ÷ $825,325K
= 16.40%

Cognex Corp.'s pretax margin has shown variability over the past five years. The trend indicates a gradual decrease in the pretax margin from 30.75% in 2021 to 16.16% in 2023. This decline suggests a decreasing profitability before accounting for taxes. The fluctuations in the pretax margin may indicate changes in the company's cost structure, pricing strategies, or operational efficiency over the period. Further investigation into the specific factors driving these changes is recommended to assess the company's financial performance accurately.