Gen Digital Inc. (GEN)

Pretax margin

Mar 31, 2025 Mar 31, 2024 Mar 31, 2023 Mar 31, 2022 Mar 31, 2021
Earnings before tax but after interest (EBT) US$ in thousands 1,029,000 459,000 804,000 1,042,000 872,000
Revenue US$ in thousands 3,935,000 3,812,000 3,338,000 2,796,000 2,551,000
Pretax margin 26.15% 12.04% 24.09% 37.27% 34.18%

March 31, 2025 calculation

Pretax margin = EBT ÷ Revenue
= $1,029,000K ÷ $3,935,000K
= 26.15%

The pretax margin of Gen Digital Inc. has fluctuated over the past five years, showcasing variations in the company's profitability before taxes. Starting at 34.18% on March 31, 2021, the pretax margin increased to 37.27% by March 31, 2022, indicating improved profitability. However, by March 31, 2023, the pretax margin dropped significantly to 24.09%, reflecting potential challenges or changes in the company's operations or financial performance.

Further declining to 12.04% by March 31, 2024, the pretax margin hit its lowest point in the period under review. This substantial decrease suggests potential financial difficulties impacting the company's ability to generate profits before tax. Encouragingly, the pretax margin recovered to 26.15% by March 31, 2025, indicating a partial rebound in profitability.

The fluctuations in Gen Digital Inc.'s pretax margin over the years highlight the company's changing financial performance and underscore the importance of closely monitoring profitability metrics to assess its operational efficiency and sustainability.