GE Vernova LLC (GEV)
Pretax margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | ||
|---|---|---|---|---|
| Earnings before tax but after interest (EBT) | US$ in thousands | -130,000 | -2,474,000 | -864,000 |
| Revenue | US$ in thousands | 33,239,000 | 29,654,000 | 33,006,000 |
| Pretax margin | -0.39% | -8.34% | -2.62% |
December 31, 2023 calculation
Pretax margin = EBT ÷ Revenue
= $-130,000K ÷ $33,239,000K
= -0.39%
GE Vernova LLC's pretax margin has exhibited significant variability over the past three years, with values of -0.39%, -8.34%, and -2.62% for the years ending December 31, 2023, 2022, and 2021, respectively. The pretax margin represents the percentage of each dollar of revenue that the company retains as pretax profit after accounting for all operating expenses but before taxes.
The negative pretax margin figures for all three years indicate that the company's operating expenses have exceeded its gross margin and revenue, resulting in a pretax loss. A pretax margin below zero implies that the company is operating at a loss before accounting for tax effects.
The improving trend from -8.34% in 2022 to -0.39% 2023 is a positive sign, indicating that the company may be taking measures to control costs and improve operational efficiency. However, the margin remains negative, highlighting the ongoing challenges faced by GE Vernova LLC in generating sustainable profits from its core operations.
Further analysis of cost management strategies, revenue generation efforts, and overall operational efficiency will be crucial for GE Vernova LLC to improve its pretax margin and move towards profitability in the future.
Peer comparison
Dec 31, 2023