Gen Digital Inc. (GEN)
Pretax margin
| Mar 31, 2024 | Mar 31, 2023 | Mar 31, 2022 | Mar 31, 2021 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) | US$ in thousands | 459,000 | 804,000 | 1,042,000 | 730,000 | 4,128,000 |
| Revenue | US$ in thousands | 3,812,000 | 3,338,000 | 2,796,000 | 2,551,000 | 2,490,000 |
| Pretax margin | 12.04% | 24.09% | 37.27% | 28.62% | 165.78% |
March 31, 2024 calculation
Pretax margin = EBT ÷ Revenue
= $459,000K ÷ $3,812,000K
= 12.04%
The pretax margin of Gen Digital Inc. has shown fluctuations over the past five years. The trend indicates a significant decrease from 165.78% in 2020 to 12.04% in 2024. This sharp decline suggests a potential decline in the company's profitability before accounting for taxes in recent years.
The pretax margin was at its peak in 2022 at 37.27%, indicating strong profitability during that period. However, in the subsequent years, there was a noticeable decline in the pretax margin, potentially signaling a decrease in operational efficiency or an increase in costs relative to revenue.
It is crucial for Gen Digital Inc. to assess the factors contributing to the fluctuation in pretax margin to address any underlying issues and improve overall financial performance in the coming years. A comprehensive analysis of cost structure, revenue streams, and operational efficiency may be necessary to mitigate the downward trend in pretax margin.
Peer comparison
Mar 31, 2024