Dynatrace Holdings LLC (DT)

Pretax margin

		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	154,915	150,722	139,015	116,984	89,967	81,342	68,033	66,662	71,659	69,610	75,380	77,507	77,853	63,483	41,932	-146,407	-218,517
Revenue (ttm)	US$ in thousands	1,470,114	1,392,717	1,314,472	1,233,589	1,160,830	1,098,940	1,042,450	989,478	931,945	875,864	818,209	761,041	707,409	665,482	624,869	584,561	550,403
Pretax margin		10.54%	10.82%	10.58%	9.48%	7.75%	7.40%	6.53%	6.74%	7.69%	7.95%	9.21%	10.18%	11.01%	9.54%	6.71%	-25.05%	-39.70%

March 31, 2024 calculation

Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $154,915K ÷ $1,470,114K
= 10.54%

The pretax margin of Dynatrace Holdings LLC has shown fluctuations over the past several quarters. From Mar 31, 2020 to Mar 31, 2022, the pretax margin ranged between -25.05% to 11.01%, with a significant improvement over this period. In the most recent quarter, ending Mar 31, 2024, the pretax margin stood at 10.54%, showing consistency with the previous quarters of stable performance.

The pretax margin indicates the company's ability to control costs in relation to the revenue generated before accounting for taxes. The improving trend in the pretax margin from negative values to double-digit percentages signifies positive operational efficiency and profitability. However, maintaining this level of performance and potentially enhancing it further will be crucial for the company's sustainable growth and value creation in the long term.