Diodes Incorporated (DIOD)

Pretax margin

Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 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
Earnings before tax but after interest (EBT) (ttm) US$ in thousands 60,694 78,290 119,995 208,146 277,933 344,819 393,458 393,714 395,940 409,972 386,392 355,927 315,095 242,369 190,060 145,372 120,341 143,871 159,349 181,168
Revenue (ttm) US$ in thousands 1,311,120 1,294,521 1,349,089 1,496,470 1,661,739 1,835,252 1,951,878 1,985,698 2,000,580 1,984,539 1,934,688 1,874,164 1,805,162 1,675,361 1,513,398 1,361,619 1,229,215 1,180,002 1,194,217 1,227,554
Pretax margin 4.63% 6.05% 8.89% 13.91% 16.73% 18.79% 20.16% 19.83% 19.79% 20.66% 19.97% 18.99% 17.46% 14.47% 12.56% 10.68% 9.79% 12.19% 13.34% 14.76%

December 31, 2024 calculation

Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $60,694K ÷ $1,311,120K
= 4.63%

Diodes Incorporated has demonstrated varying levels of pretax margin over the past few years, as evidenced by the data provided. The pretax margin, which reflects the percentage of each dollar of revenue that represents the company's pre-tax profit, has fluctuated between 4.63% and 20.66% during the period under review.

From December 31, 2022, to March 31, 2023, there was an upward trend in pretax margin from 19.79% to 19.83%. The margin continued to increase in the subsequent period, reaching its peak of 20.16% as of June 30, 2023. However, in the following quarters, there was a slight decline in the pretax margin, dropping to 16.73% by December 31, 2023.

The most significant decrease in pretax margin occurred from March to June 30, 2024, plummeting from 13.91% to 8.89%. This decline continued into the third quarter, with pretax margin further decreasing to 6.05% as of September 30, 2024. By the end of the year, the pretax margin had dropped to its lowest point at 4.63% as of December 31, 2024.

Overall, the analysis indicates a fluctuating trend in Diodes Incorporated's pretax margin, with certain periods of growth followed by declines in profitability. The company may need to assess its cost structure, revenue streams, and efficiency to maintain or improve its profitability levels in the future.