EMCOR Group Inc (EME)
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 | 872,518 | 558,750 | 529,134 | 252,326 | 450,889 |
| Revenue | US$ in thousands | 12,582,900 | 11,076,100 | 9,903,580 | 8,797,060 | 9,174,610 |
| Pretax margin | 6.93% | 5.04% | 5.34% | 2.87% | 4.91% |
December 31, 2023 calculation
Pretax margin = EBT ÷ Revenue
= $872,518K ÷ $12,582,900K
= 6.93%
Emcor Group, Inc.'s pretax margin has shown fluctuations over the past five years. In 2023, the pretax margin improved significantly to 6.94% from 5.04% in 2022, indicating a more efficient management of operating expenses and higher profitability before taxes. This increase may be attributed to better cost control measures or increased revenue generation.
Comparing to 2021 and 2020, where the pretax margin was 5.34% and 2.87% respectively, the company has shown a noticeable improvement in 2023. However, in 2019, the pretax margin was higher at 4.91% compared to 2022 and 2021, suggesting that Emcor Group, Inc. may have faced challenges in maintaining profitability in those years.
Overall, the improvement in the pretax margin in 2023 reflects positively on Emcor Group's ability to efficiently manage its costs and generate profits before taxes. However, further analysis of the underlying factors influencing this margin would provide more insights into the company's financial performance.
Peer comparison
Dec 31, 2023