Group 1 Automotive Inc (GPI)

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	658,600	681,300	742,200	787,100	800,200	860,500	897,200	929,400	985,300	986,100	953,900	937,000	806,100	727,700	663,700	462,800	370,300	305,100	193,100	214,033
Revenue (ttm)	US$ in thousands	19,934,500	18,868,300	18,352,000	18,214,200	17,873,700	17,462,600	16,920,900	16,507,600	16,222,000	15,642,700	14,988,500	14,543,600	13,709,200	13,209,800	12,740,300	11,171,200	10,852,000	10,973,200	11,051,800	11,926,190
Pretax margin		3.30%	3.61%	4.04%	4.32%	4.48%	4.93%	5.30%	5.63%	6.07%	6.30%	6.36%	6.44%	5.88%	5.51%	5.21%	4.14%	3.41%	2.78%	1.75%	1.79%

December 31, 2024 calculation

Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $658,600K ÷ $19,934,500K
= 3.30%

The pretax margin of Group 1 Automotive Inc has shown a generally increasing trend from March 31, 2020, to March 31, 2022, with a peak of 6.44%. This indicates that the company's percentage of income before taxes in relation to total revenue has been improving over this period. However, from March 31, 2022, onwards, the pretax margin started declining, reaching 3.30% by December 31, 2024. This decline suggests that the company may be facing challenges in maintaining profitability as a proportion of its revenue. It would be advisable for stakeholders to monitor this trend closely to understand the factors impacting the company's pretax margin and its implications for the overall financial health of Group 1 Automotive Inc.