Generac Holdings Inc (GNRC)
Pretax margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) | US$ in thousands | 408,775 | 287,786 | 499,098 | 685,451 | 449,549 |
| Revenue | US$ in thousands | 4,290,970 | 3,925,040 | 4,496,170 | 3,703,400 | 2,452,210 |
| Pretax margin | 9.53% | 7.33% | 11.10% | 18.51% | 18.33% |
December 31, 2024 calculation
Pretax margin = EBT ÷ Revenue
= $408,775K ÷ $4,290,970K
= 9.53%
Generac Holdings Inc's pretax margin has demonstrated some fluctuations over the period under review. The pretax margin was relatively stable in 2020 and 2021, hovering around the range of 18.33% to 18.51%. However, there was a noticeable decline in the company's pretax margin in 2022, dropping to 11.10%. This decrease continued in 2023, with a further decline to 7.33%. Subsequently, there was a partial recovery in pretax margin in 2024, increasing to 9.53%.
The declining trend in pretax margin from 2022 to 2023 suggests potential challenges faced by Generac Holdings Inc in managing its operating expenses and generating sufficient pre-tax profits relative to its revenue. The rebound in 2024 may indicate some efforts to address these issues, although further monitoring would be needed to assess the sustainability of this improvement.
Peer comparison
Dec 31, 2024