Campbell’s Co (CPB)
Pretax margin
| Jul 31, 2025 | Jul 31, 2024 | Jul 28, 2024 | Jul 31, 2023 | Jul 30, 2023 | ||
|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) | US$ in thousands | 796,000 | 757,000 | 757,000 | 1,128,000 | 1,128,000 |
| Revenue | US$ in thousands | 10,253,000 | 9,636,000 | 9,636,000 | 9,357,000 | 9,357,000 |
| Pretax margin | 7.76% | 7.86% | 7.86% | 12.06% | 12.06% |
July 31, 2025 calculation
Pretax margin = EBT ÷ Revenue
= $796,000K ÷ $10,253,000K
= 7.76%
The pretax margin of Campbell’s Co demonstrates a notable decline over the analyzed period. As of July 30 and July 31, 2023, the pretax margin stood at 12.06%, indicating a relatively healthy profitability before tax expenses. However, by July 28 and July 31, 2024, the pretax margin had decreased significantly to 7.86%, reflecting a reduction of approximately 34.6% from the previous year’s figure. This downward trend continued into the subsequent period, with the pretax margin slightly declining further to 7.76% as of July 31, 2025.
This pattern suggests that the company has experienced increased costs, reduced margins on its operations, or a combination of factors leading to a diminished pretax profit relative to its revenue over the analyzed timeframe. The decline in pretax margin over this period indicates potential challenges in maintaining profitability levels comparable to the previous year, which could be indicative of competitive pressures, increased operational expenses, or changes in revenue mix affecting overall profit efficiency.