Gen Digital Inc. (GEN)
Pretax margin
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jul 5, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) (ttm) | US$ in thousands | 459,000 | 408,000 | 443,000 | 779,000 | 804,000 | 736,000 | 781,000 | 1,019,000 | 1,042,000 | 1,221,000 | 1,218,000 | 914,000 | 730,000 | 794,000 | 3,438,000 | 4,116,000 | 4,128,000 | 3,806,000 | 979,000 | 194,000 |
| Revenue (ttm) | US$ in thousands | 3,812,000 | 3,792,000 | 3,777,000 | 3,577,000 | 2,658,000 | 2,427,000 | 2,193,000 | 2,137,000 | 2,796,000 | 2,752,000 | 2,689,000 | 2,623,000 | 2,551,000 | 2,493,000 | 2,472,000 | 2,454,000 | 2,490,000 | 2,493,000 | 2,490,000 | 2,494,000 |
| Pretax margin | 12.04% | 10.76% | 11.73% | 21.78% | 30.25% | 30.33% | 35.61% | 47.68% | 37.27% | 44.37% | 45.30% | 34.85% | 28.62% | 31.85% | 139.08% | 167.73% | 165.78% | 152.67% | 39.32% | 7.78% |
March 31, 2024 calculation
Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $459,000K ÷ $3,812,000K
= 12.04%
The pre-tax margin of Gen Digital Inc. has shown significant fluctuations over the past several quarters. The company's pre-tax margin was 12.04% in Mar 31, 2024, indicating that for every dollar of revenue generated, the company retained $0.1204 before accounting for taxes. This margin was slightly higher compared to the previous quarter's pre-tax margin of 10.76% in Dec 31, 2023.
However, a notable decline in the pre-tax margin was observed in Mar 31, 2023, where it dropped to 30.25% from 21.78% in Dec 31, 2023. This significant decrease could potentially be a cause for concern and warrants further investigation into the company's operational efficiency and cost management during that period.
Moreover, the pre-tax margin in the earlier quarters, such as Jun 30, 2022, and Sep 30, 2022, showed exceptionally high values of 47.68% and 35.61%, respectively. These high margins may indicate either strong revenue growth or effective cost control measures implemented by the company during those periods.
It is important for stakeholders to closely monitor Gen Digital Inc.'s pre-tax margin trends to assess the company's profitability and financial health. The fluctuating nature of the pre-tax margin suggests that the company's performance is subject to various internal and external factors that need to be carefully analyzed and managed.
Peer comparison
Mar 31, 2024