Fair Isaac Corporation (FICO)

Pretax margin

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Earnings before tax but after interest (EBT) (ttm)	US$ in thousands	566,311	553,624	526,269	489,376	484,392	471,309	463,665	530,663	490,002	473,142	444,109	332,425	303,065	257,000	241,455	243,301	220,811	216,072	204,174	164,022
Revenue (ttm)	US$ in thousands	1,451,275	1,415,832	1,382,391	1,338,493	1,322,108	1,310,169	1,304,205	1,394,931	1,376,365	1,376,295	1,426,790	1,319,550	1,306,103	1,294,562	1,225,550	1,226,068	1,196,331	1,160,083	1,111,271	1,052,015
Pretax margin		39.02%	39.10%	38.07%	36.56%	36.64%	35.97%	35.55%	38.04%	35.60%	34.38%	31.13%	25.19%	23.20%	19.85%	19.70%	19.84%	18.46%	18.63%	18.37%	15.59%

December 31, 2023 calculation

Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $566,311K ÷ $1,451,275K
= 39.02%

The pretax margin of Fair, Isaac Corp. has shown some fluctuations over the past eight quarters. The company's pretax margin was relatively stable in the range of 34% to 36% from the first quarter of 2022 to the second quarter of 2023. However, there was a noticeable increase in the pretax margin in the first quarter of 2022, reaching 39.24%, before gradually decreasing in subsequent quarters.

This trend indicates that the company experienced a peak in profitability in the first quarter of 2022, but saw a slight decline in the following quarters. It is important to further investigate the factors that contributed to this fluctuation, such as changes in revenue, operating expenses, or one-time events impacting the company's pre-tax earnings. Additionally, it would be valuable to assess how these fluctuations in pretax margin align with company forecasts and industry benchmarks to gauge the company's overall financial performance.