Dick’s Sporting Goods Inc (DKS)
Pretax margin
| Jan 31, 2025 | Feb 3, 2024 | Jan 31, 2024 | Jan 31, 2023 | Jan 28, 2023 | ||
|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) | US$ in thousands | 1,519,030 | 1,318,150 | 1,318,150 | 1,383,750 | 1,383,750 |
| Revenue | US$ in thousands | 13,442,800 | 13,017,800 | 12,984,400 | 12,368,200 | 12,284,800 |
| Pretax margin | 11.30% | 10.13% | 10.15% | 11.19% | 11.26% |
January 31, 2025 calculation
Pretax margin = EBT ÷ Revenue
= $1,519,030K ÷ $13,442,800K
= 11.30%
Based on the provided data, Dick’s Sporting Goods Inc has shown a relatively stable pretax margin over the past few years. The pretax margin measures the company's efficiency in generating profits before taxes relative to its total revenue.
In January 2023, the pretax margin was 11.26%, which decreased slightly to 11.19% by January 31, 2023. There was a more noticeable decrease in the pretax margin by January 31, 2024, dropping to 10.15%, and staying relatively flat at 10.13% by February 3, 2024. However, there was a slight recovery in the pretax margin by January 31, 2025, reaching 11.30%.
Overall, it appears that Dick’s Sporting Goods Inc has been able to maintain a double-digit pretax margin, indicating a reasonable level of profitability before accounting for taxes. It is essential for the company to continue monitoring and improving this metric to ensure sustainable profitability in the future.
Peer comparison
Jan 31, 2025