Dorman Products Inc (DORM)

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	256,252	243,661	225,135	205,778	168,503	125,080	112,170	117,154	156,201	177,166	181,031	173,716	169,766	171,827	173,030	149,658	135,736	111,564	93,804	103,728
Revenue (ttm)	US$ in thousands	2,009,197	1,969,721	1,954,134	1,931,751	1,929,788	1,936,773	1,862,057	1,798,908	1,733,749	1,630,644	1,565,600	1,458,816	1,345,249	1,248,289	1,200,483	1,123,030	1,092,748	1,031,099	984,275	1,005,268
Pretax margin		12.75%	12.37%	11.52%	10.65%	8.73%	6.46%	6.02%	6.51%	9.01%	10.86%	11.56%	11.91%	12.62%	13.77%	14.41%	13.33%	12.42%	10.82%	9.53%	10.32%

December 31, 2024 calculation

Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $256,252K ÷ $2,009,197K
= 12.75%

The pretax margin of Dorman Products Inc has shown some fluctuations over the past few years. Starting at 10.32% in March 2020, the pretax margin declined slightly to 9.53% by June 2020 before gradually increasing to reach a peak of 14.41% in June 2021. However, the pretax margin began to decline from that point onward, dropping to 9.01% by December 2022.

There was a notable recovery in the pretax margin in the following quarters, with the margin increasing to 12.75% by December 2024. Despite some fluctuations, Dorman Products Inc has maintained a pretax margin above 10% for the majority of the period under review.

It is important for stakeholders to closely monitor the pretax margin as it provides insights into the company's efficiency in generating profits before accounting for taxes. Fluctuations in the pretax margin may indicate changes in the company's cost structure, pricing strategies, or overall financial performance.