Fortinet Inc (FTNT)
Pretax margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) | US$ in thousands | 2,058,500 | 1,333,700 | 955,500 | 628,400 | 541,700 |
| Revenue | US$ in thousands | 5,955,800 | 5,304,800 | 4,417,400 | 3,342,200 | 2,594,400 |
| Pretax margin | 34.56% | 25.14% | 21.63% | 18.80% | 20.88% |
December 31, 2024 calculation
Pretax margin = EBT ÷ Revenue
= $2,058,500K ÷ $5,955,800K
= 34.56%
Fortinet Inc's pretax margin has shown a fluctuating trend over the years based on the data provided. The pretax margin decreased from 20.88% as of December 31, 2020, to 18.80% as of December 31, 2021, indicating a slight decline in profitability. However, the company's performance improved in the following years with pretax margins of 21.63% as of December 31, 2022, 25.14% as of December 31, 2023, and a significant increase to 34.56% as of December 31, 2024.
The upward trend in pretax margin suggests that Fortinet Inc has been effectively managing its pre-tax profitability and generating more income relative to its total revenue. The substantial increase in pretax margin in 2024 indicates a notable improvement in the company's operational efficiency and profitability compared to earlier years. Overall, the positive trajectory in Fortinet Inc's pretax margin reflects a strengthening financial performance and could indicate effective cost management strategies or revenue growth initiatives.
Peer comparison
Dec 31, 2024