Crowdstrike Holdings Inc (CRWD)

Pretax margin

Jan 31, 2025 Jan 31, 2024 Jan 31, 2023 Jan 31, 2022 Jan 31, 2021
Earnings before tax but after interest (EBT) US$ in thousands 54,534 122,817 -159,883 -160,023 -87,869
Revenue US$ in thousands 3,953,620 3,055,560 2,241,240 1,451,590 874,438
Pretax margin 1.38% 4.02% -7.13% -11.02% -10.05%

January 31, 2025 calculation

Pretax margin = EBT ÷ Revenue
= $54,534K ÷ $3,953,620K
= 1.38%

Crowdstrike Holdings Inc's pretax margin has shown fluctuations over the past five years. The margin was negative in the fiscal years ending January 31, 2021, 2022, and 2023, indicating that the company's operating expenses and/or interest payments exceeded its pre-tax income during these periods. However, the pretax margin improved in the fiscal years ending January 31, 2024 and 2025, turning positive at 4.02% and 1.38% respectively.

The negative pretax margins in the earlier years may suggest challenges in effectively managing costs or generating sufficient revenues to cover expenses. The recent positive trend indicates potential improvements in the company's financial performance, displaying better control over costs and potentially higher profitability. However, the pretax margin of 1.38% in January 31, 2025 suggests that Crowdstrike Holdings Inc may still have room for further optimization to enhance its profitability.