Electronic Arts Inc (EA)
Pretax margin
Mar 31, 2025 | Mar 31, 2024 | Mar 31, 2023 | Mar 31, 2022 | Mar 31, 2021 | ||
---|---|---|---|---|---|---|
Earnings before tax but after interest (EBT) | US$ in thousands | 1,605,000 | 1,589,000 | 1,326,000 | 1,081,000 | 1,017,000 |
Revenue | US$ in thousands | 7,463,000 | 7,562,000 | 7,426,000 | 6,991,000 | 5,629,000 |
Pretax margin | 21.51% | 21.01% | 17.86% | 15.46% | 18.07% |
March 31, 2025 calculation
Pretax margin = EBT ÷ Revenue
= $1,605,000K ÷ $7,463,000K
= 21.51%
The pretax margin, a key profitability ratio, reflects Electronic Arts Inc's ability to generate profit before taxes relative to its total revenue. Over the past five years, the company's pretax margin exhibited some fluctuations. In March 2021, the pretax margin stood at 18.07%, showing a robust profitability level. However, by March 2022, the margin dipped to 15.46%, indicating a slight decrease in profitability. Subsequently, in March 2023, the margins improved to 17.86%, showing a recovery in profitability trends. The trend continued positively, with Electronic Arts Inc achieving a pretax margin of 21.01% by March 2024 and further increasing to 21.51% by March 2025. Overall, despite some fluctuations, the company managed to enhance its pretax margin over the five-year period, showcasing an improving profitability stance.
Peer comparison
Mar 31, 2025