Fortinet Inc (FTNT)
Pretax margin
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) (ttm) | US$ in thousands | 2,058,500 | 1,855,700 | 1,557,100 | 1,388,000 | 1,333,700 | 1,286,300 | 1,223,200 | 1,107,900 | 955,500 | 794,600 | 686,600 | 647,700 | 628,400 | 592,800 | 564,500 | 541,100 | 538,800 | 494,800 | 471,800 | 436,000 |
| Revenue (ttm) | US$ in thousands | 5,955,800 | 5,710,800 | 5,537,300 | 5,395,800 | 5,304,800 | 5,172,700 | 4,987,600 | 4,724,900 | 4,417,400 | 4,098,000 | 3,815,700 | 3,586,700 | 3,342,200 | 3,126,600 | 2,910,500 | 2,724,900 | 2,591,500 | 2,457,900 | 2,354,300 | 2,260,500 |
| Pretax margin | 34.56% | 32.49% | 28.12% | 25.72% | 25.14% | 24.87% | 24.52% | 23.45% | 21.63% | 19.39% | 17.99% | 18.06% | 18.80% | 18.96% | 19.40% | 19.86% | 20.79% | 20.13% | 20.04% | 19.29% |
December 31, 2024 calculation
Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $2,058,500K ÷ $5,955,800K
= 34.56%
Fortinet Inc's pretax margin, a key financial ratio that indicates the company's efficiency in generating profits before taxes, has shown a fluctuating trend over the past few years. Starting from March 31, 2020, of 19.29%, the pretax margin increased steadily until December 31, 2021, reaching 20.79%. However, the margin saw a slight decline in the following quarters, dropping to 18.80% by December 31, 2021.
From March 31, 2022, the pretax margin continued to decrease further, reaching a low of 17.99% by June 30, 2022. However, the trend reversed, and there was an uptick in the margin in the subsequent quarters, reaching a peak of 34.56% by December 31, 2024. This indicates an improvement in Fortinet Inc's profitability and efficiency in generating profits before taxes during this period.
Overall, the pretax margin of Fortinet Inc has shown variability but ultimately demonstrated an upward trajectory, reflecting the company's ability to effectively manage costs and generate higher profits relative to its revenue.
Peer comparison
Dec 31, 2024