ChampionX Corporation (CHX)
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 | 419,343 | 195,212 | 151,744 | -764,326 | 58,390 |
| Revenue | US$ in thousands | 3,758,280 | 3,805,950 | 3,074,990 | 1,900,000 | 1,131,250 |
| Pretax margin | 11.16% | 5.13% | 4.93% | -40.23% | 5.16% |
December 31, 2023 calculation
Pretax margin = EBT ÷ Revenue
= $419,343K ÷ $3,758,280K
= 11.16%
The pretax margin of ChampionX Corp. has shown varying trends over the past five years. In 2023, the pretax margin improved significantly to 11.28%, indicating that the company was able to generate more profit before taxes relative to its revenue. This increase marks a substantial improvement compared to the previous year's margin of 5.17% in 2022.
Looking back further, in 2021, ChampionX Corp. also demonstrated a positive pretax margin of 4.97%, showcasing its ability to maintain profitability. However, in 2020, the company experienced a significant decline, with a pretax margin of -40.14%, indicating that the company incurred losses before taxes that year.
In contrast, in 2019, ChampionX Corp. had a pretax margin of 5.23%, showing a similar level of profitability to 2022. Overall, the fluctuation in the pretax margin over the years suggests potential volatility in the company's financial performance, with a notable rebound in profitability in 2023 compared to the previous periods.
Peer comparison
Dec 31, 2023