Clearwater Paper Corporation (CLW)
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 | 144,100 | 73,000 | -35,800 | 98,200 | -7,900 |
| Revenue | US$ in thousands | 2,082,800 | 2,080,100 | 1,772,600 | 1,868,600 | 1,761,500 |
| Pretax margin | 6.92% | 3.51% | -2.02% | 5.26% | -0.45% |
December 31, 2023 calculation
Pretax margin = EBT ÷ Revenue
= $144,100K ÷ $2,082,800K
= 6.92%
Clearwater Paper Corp's pretax margin has shown varied performance over the past five years. In 2023, the pretax margin improved significantly to 6.92%, indicating that the company generated $0.0692 of profit before taxes for every dollar of sales. This signifies a positive trend compared to the previous year, where the pretax margin was 3.51%.
In 2021, Clearwater Paper Corp incurred a negative pretax margin of -2.02%, suggesting that the company's expenses exceeded its revenues before accounting for taxes. However, the company managed to turn around its performance in 2020 with a pretax margin of 5.26%, indicating a positive profitability ratio.
The pretax margin in 2019 was -0.45%, signifying a loss-making year for Clearwater Paper Corp. Overall, the company's pretax margin fluctuated significantly over the five-year period, with notable improvements in profitability seen in 2020 and 2023. This analysis suggests that Clearwater Paper Corp has experienced both challenges and successes in managing its operational efficiency and costs.