Eastman Chemical Company (EMN)
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 | 1,085,000 | 974,000 | 1,072,000 | 519,000 | 899,000 |
| Revenue | US$ in thousands | 9,210,000 | 10,580,000 | 10,476,000 | 8,473,000 | 9,273,000 |
| Pretax margin | 11.78% | 9.21% | 10.23% | 6.13% | 9.69% |
December 31, 2023 calculation
Pretax margin = EBT ÷ Revenue
= $1,085,000K ÷ $9,210,000K
= 11.78%
The pretax margin of Eastman Chemical Co has shown fluctuating trends over the past five years. In 2023, the pretax margin increased to 11.80%, representing an improvement from the previous year which stood at 9.23%. This indicates that the company's profitability before taxes increased significantly in 2023 compared to 2022.
Furthermore, the pretax margin in 2023 is also higher than the margins recorded in 2021 and 2019, reflecting a positive trend in the company's ability to generate profits before accounting for taxes. However, it is important to note that the pretax margin in 2020 was notably lower at 6.26%, possibly indicating challenges or lower profitability for the company during that year.
Overall, the upward trend in pretax margin from 2020 to 2023 suggests potential improvements in cost management, revenue generation, or operational efficiencies that have positively impacted Eastman Chemical Co's profitability before tax implications.
Peer comparison
Dec 31, 2023