Graphic Packaging Holding Company (GPK)
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 | 933,000 | 918,000 | 936,000 | 834,000 | 716,000 | 549,000 | 400,000 | 359,000 | 278,000 | 314,200 | 293,200 | 299,200 | 209,200 | 172,100 | 169,100 | 185,900 | 282,800 | 295,500 | 338,600 | 319,700 |
| Revenue (ttm) | US$ in thousands | 9,428,000 | 9,565,000 | 9,667,000 | 9,633,000 | 9,440,000 | 9,042,000 | 8,373,000 | 7,752,000 | 7,156,000 | 6,820,100 | 6,736,100 | 6,610,100 | 6,560,100 | 6,427,800 | 6,311,400 | 6,253,200 | 6,160,100 | 6,149,600 | 6,099,800 | 6,057,900 |
| Pretax margin | 9.90% | 9.60% | 9.68% | 8.66% | 7.58% | 6.07% | 4.78% | 4.63% | 3.88% | 4.61% | 4.35% | 4.53% | 3.19% | 2.68% | 2.68% | 2.97% | 4.59% | 4.81% | 5.55% | 5.28% |
December 31, 2023 calculation
Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $933,000K ÷ $9,428,000K
= 9.90%
The pretax margin of Graphic Packaging Holding Co has shown a positive trend over the past eight quarters. The company's pretax margin started at 4.68% in Q1 2022 and steadily increased to 9.90% in Q4 2023. This indicates an improvement in the company's ability to generate profits before taxes for each dollar of revenue earned.
The consistent increase in pretax margin reflects a better control over operating expenses, improved operational efficiency, or higher pricing power. It demonstrates the company's ability to maintain healthy profit levels while managing its costs effectively.
The significant growth in pretax margin from 4.68% in Q1 2022 to 9.90% in Q4 2023 is particularly noteworthy, indicating a strong financial performance and increasing profitability over the quarters.
Overall, Graphic Packaging Holding Co's pretax margin has exhibited a positive trajectory, suggesting that the company has managed its operations efficiently and effectively to generate higher profits relative to its revenue, which is a positive sign for investors and stakeholders.
Peer comparison
Dec 31, 2023