Graco Inc (GGG)

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 589,282 584,350 597,339 591,780 608,800 635,231 613,423 600,151 565,724 540,967 520,249 505,651 508,465 508,748 508,009 418,285 374,651 345,678 321,471 387,257
Revenue (ttm) US$ in thousands 2,113,316 2,131,287 2,151,747 2,158,148 2,195,605 2,184,007 2,189,979 2,178,882 2,143,521 2,128,095 2,069,147 2,027,764 1,987,608 1,918,329 1,870,949 1,730,677 1,650,115 1,592,067 1,553,306 1,614,742
Pretax margin 27.88% 27.42% 27.76% 27.42% 27.73% 29.09% 28.01% 27.54% 26.39% 25.42% 25.14% 24.94% 25.58% 26.52% 27.15% 24.17% 22.70% 21.71% 20.70% 23.98%

December 31, 2024 calculation

Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $589,282K ÷ $2,113,316K
= 27.88%

Graco Inc's pretax margin has shown a generally positive trend over the past few years, with fluctuations observed from period to period. The pretax margin for the most recent quarter, December 31, 2024, was 27.88%, indicating that the company generated a profit of approximately 27.88 cents on each dollar of sales before accounting for taxes.

Looking at the trend, the pretax margin ranged from a low of 20.70% in June 30, 2020, to a high of 29.09% in September 30, 2023. The company experienced significant improvement in profitability from 2020 onwards, with intermittent peaks and valleys observed in the interim periods.

Overall, the pretax margin performance of Graco Inc reflects a fairly stable and improving profitability trend, suggesting effective cost management and revenue generation strategies implemented by the company. It is important for investors and stakeholders to monitor this metric along with other financial indicators to assess the overall financial health and performance of Graco Inc.