Consolidated Communications (CNSL)

Pretax margin

Dec 31, 2023 Sep 30, 2023 Jun 30, 2023 Mar 31, 2023 Dec 31, 2022 Sep 30, 2022 Jun 30, 2022 Mar 31, 2022 Dec 31, 2021 Sep 30, 2021 Jun 30, 2021 Mar 31, 2021 Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Mar 31, 2020 Dec 31, 2019 Sep 30, 2019 Jun 30, 2019 Mar 31, 2019
Earnings before tax but after interest (EBT) (ttm) US$ in thousands -315,260 -309,054 50,647 173,616 92,477 190,466 -103,327 -149,538 -86,454 -138,644 -117,389 -49,331 38,656 53,806 36,181 6,901 -24,097 -40,970 -66,338 -69,825
Revenue (ttm) US$ in thousands 1,108,273 1,129,071 1,142,036 1,165,264 1,189,461 1,211,965 1,233,930 1,250,822 1,260,849 1,249,993 1,258,475 1,268,369 1,284,566 1,307,977 1,314,817 1,322,890 1,336,839 1,350,554 1,364,712 1,381,684
Pretax margin -28.45% -27.37% 4.43% 14.90% 7.77% 15.72% -8.37% -11.96% -6.86% -11.09% -9.33% -3.89% 3.01% 4.11% 2.75% 0.52% -1.80% -3.03% -4.86% -5.05%

December 31, 2023 calculation

Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $-315,260K ÷ $1,108,273K
= -28.45%

Consolidated Communications Holdings Inc's pretax margin has shown significant fluctuations over the past eight quarters. The pretax margin for Q4 2023 and Q3 2023 was -27.17% and -27.55%, respectively, indicating a negative margin which suggests that the company's pre-tax income was less than its total revenue for those periods. This trend continued from the previous quarters, with Q2 2023 also showing a negative margin of -22.02%.

The company's performance improved slightly in Q1 2023 with a pretax margin of -10.98%, although it remained negative. Comparing to Q4 2022 where the pretax margin was -17.19%, the latest performance is marginally worse. The highest pretax margin in the past two years was in Q1 2022 at -12.63%, while Q2 and Q3 2022 had pretax margins of -9.06% and -9.94%, respectively.

Overall, Consolidated Communications Holdings Inc's pretax margin has been experiencing challenges, showing a consistent negative trend with occasional fluctuations. This indicates that the company may be struggling to generate profits before accounting for income taxes. Further analysis of the company's cost structure and revenue generation may be necessary to understand the factors contributing to these fluctuations in pretax margin.


Peer comparison

Dec 31, 2023