Chevron Corp (CVX)
Pretax margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) | US$ in thousands | 27,506,000 | 29,584,000 | 49,674,000 | 21,639,000 | -7,453,000 |
| Revenue | US$ in thousands | 202,792,000 | 196,913,000 | 246,252,000 | 155,606,000 | 94,471,000 |
| Pretax margin | 13.56% | 15.02% | 20.17% | 13.91% | -7.89% |
December 31, 2024 calculation
Pretax margin = EBT ÷ Revenue
= $27,506,000K ÷ $202,792,000K
= 13.56%
The pretax margin of Chevron Corp has shown fluctuating trends over the past five years. In December 31, 2020, the pretax margin was at a negative 7.89%, indicating that the company's operating expenses and other costs exceeded its revenue before accounting for taxes. However, there has been a significant improvement in the following years.
By December 31, 2021, the pretax margin had turned positive, reaching 13.91%, showcasing a strong recovery in profitability. The upward trend continued in December 31, 2022, with a pretax margin of 20.17%, signaling improved efficiency in cost management and revenue generation.
Although there was a slight dip in profitability in December 31, 2023, with a pretax margin of 15.02%, the company still managed to maintain a healthy level of profitability. By December 31, 2024, the pretax margin stood at 13.56%, showing consistency in maintaining positive margins over the years.
Overall, Chevron Corp has demonstrated the ability to enhance its operational performance and financial health, as seen through the positive pretax margins achieved in recent years. Continuing to monitor and sustain these margins will be crucial for the company's long-term success and shareholder value.
Peer comparison
Dec 31, 2024