Globus Medical (GMED)
Pretax margin
| 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 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) (ttm) | US$ in thousands | 165,392 | 202,514 | 261,444 | 257,310 | 243,019 | 200,731 | 193,718 | 172,111 | 180,407 | 222,792 | 221,470 | 150,595 | 125,899 | 118,136 | 111,758 | 180,793 | 189,946 | 172,247 | 168,092 | 171,303 |
| Revenue (ttm) | US$ in thousands | 1,568,476 | 1,226,440 | 1,096,949 | 1,068,982 | 1,022,843 | 998,366 | 973,939 | 961,307 | 958,102 | 941,526 | 927,903 | 825,809 | 789,042 | 767,264 | 747,381 | 792,998 | 785,368 | 769,639 | 742,660 | 721,505 |
| Pretax margin | 10.54% | 16.51% | 23.83% | 24.07% | 23.76% | 20.11% | 19.89% | 17.90% | 18.83% | 23.66% | 23.87% | 18.24% | 15.96% | 15.40% | 14.95% | 22.80% | 24.19% | 22.38% | 22.63% | 23.74% |
December 31, 2023 calculation
Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $165,392K ÷ $1,568,476K
= 10.54%
To analyze the pretax margin of Globus Medical Inc based on the provided data, we observe fluctuations in the pretax margin over the past eight quarters. The pretax margin indicates the company's efficiency in generating profits before accounting for taxes.
In Q1 2022, the pretax margin stood at 17.90%, showing a moderate performance. It then experienced a slight increase in Q2 2022 to 19.89%, reflecting improved profitability. However, the company significantly improved its pretax margin in Q3 2022 to 20.11%, indicating a strong performance.
The trend continued into Q4 2022, with a pretax margin of 23.76%, reaching the highest level in recent quarters. This suggests efficient cost management and revenue generation for the company at that time.
In the first quarter of 2023, the pretax margin slightly dropped to 24.07%, remaining at a high level. However, in Q2 2023, there was a notable decrease in the pretax margin to 23.83%, signaling a potential dip in profitability or a change in the company's operating environment.
The downward trend continued in Q3 2023, with a pretax margin of 16.51%, reflecting a significant decline from the previous quarter. Lastly, in Q4 2023, the pretax margin further decreased to 10.54%, demonstrating a notable decrease in profit generation efficiency.
Overall, while Globus Medical Inc experienced fluctuations in its pretax margin over the analyzed period, it is essential for investors and stakeholders to closely monitor the company's profitability trends and investigate the factors influencing these fluctuations to assess its financial performance effectively.
Peer comparison
Dec 31, 2023