Consolidated Edison Inc (ED)
Pretax margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) | US$ in thousands | 3,006,000 | 2,158,000 | 1,536,000 | 1,191,000 | 1,639,000 |
| Revenue | US$ in thousands | 14,663,000 | 15,670,000 | 13,676,000 | 12,246,000 | 12,574,000 |
| Pretax margin | 20.50% | 13.77% | 11.23% | 9.73% | 13.03% |
December 31, 2023 calculation
Pretax margin = EBT ÷ Revenue
= $3,006,000K ÷ $14,663,000K
= 20.50%
Consolidated Edison, Inc.'s pretax margin has shown fluctuations over the past five years. The pretax margin increased from 13.81% in 2019 to 20.48% in 2023, indicating an improvement in the company's ability to generate profits before accounting for taxes. This increase suggests that the company may have effectively managed its operational costs and expenses relative to its revenue during this period.
The pretax margin dipped to 10.08% in 2020 before starting to recover in the following years. The significant increase to 13.39% in 2022 and further up to 20.48% in 2023 could imply enhanced operational efficiency, strategic cost management, or potentially higher revenue contribution from key business segments.
Overall, the upward trend in Consolidated Edison, Inc.'s pretax margin demonstrates positive momentum in the company's profitability performance over the past few years. However, it is important to conduct further analysis to understand the specific drivers behind these fluctuations and assess the sustainability of this upward trend in the future.
Peer comparison
Dec 31, 2023