Cytokinetics Inc (CYTK)
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 | -589,526 | -526,244 | -388,955 | -215,314 | -127,290 |
| Revenue | US$ in thousands | 18,474 | 7,530 | 94,588 | 70,428 | 55,828 |
| Pretax margin | -3,191.11% | -6,988.63% | -411.21% | -305.72% | -228.00% |
December 31, 2024 calculation
Pretax margin = EBT ÷ Revenue
= $-589,526K ÷ $18,474K
= -3,191.11%
The pretax margin of Cytokinetics Inc, derived from financial data for the years ending December 31, exhibits a concerning trend. In 2020, the pretax margin was reported at -228.00%, suggesting that the company incurred losses before tax exceeding its total revenue. This negative trend worsened in the subsequent years, with the pretax margin dropping to -305.72% in 2021, further deteriorating to -411.21% in 2022.
The year 2023 saw a drastic deterioration as the pretax margin plunged to an alarming -6,988.63%, reflecting significant financial distress. This extremely negative figure suggests that the losses incurred were significantly higher than the revenues generated by the company.
While there was a slight improvement in 2024, with the pretax margin reported at -3,191.11%, the company still operated at a substantial loss before taxes. Overall, the consecutive years of negative pretax margins indicate challenges for Cytokinetics Inc in generating profits and controlling its operational expenses effectively.
Peer comparison
Dec 31, 2024