Garmin Ltd (GRMN)

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	1,695,400	1,733,505	1,526,826	1,476,830	1,371,562	1,147,195	1,087,891	1,050,881	1,064,973	1,028,401	1,083,520	1,176,613	1,191,263	1,289,424	1,350,755	1,177,184	1,104,305	1,000,253	921,303	998,593
Revenue (ttm)	US$ in thousands	6,281,160	5,991,650	5,653,490	5,483,240	5,254,540	5,104,140	4,948,720	4,835,520	4,850,560	4,890,830	4,957,220	5,058,410	4,952,040	4,911,850	4,854,200	4,399,994	4,178,615	3,929,445	3,728,516	3,823,804
Pretax margin		26.99%	28.93%	27.01%	26.93%	26.10%	22.48%	21.98%	21.73%	21.96%	21.03%	21.86%	23.26%	24.06%	26.25%	27.83%	26.75%	26.43%	25.46%	24.71%	26.12%

December 31, 2024 calculation

Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $1,695,400K ÷ $6,281,160K
= 26.99%

Garmin Ltd's pretax margin has shown some fluctuations over the specified time period, starting at a relatively high level of 26.12% in March 2020 and reaching a peak of 28.93% in September 2024. There have been periods of increase and decrease in the pretax margin, with slight variations, indicating some level of stability in the company's ability to control its operating expenses and generate profits before taxes. The pretax margin has generally remained above 20%, which suggests that Garmin Ltd has been effectively managing its costs and generating sufficient profits relative to its revenue. However, there was a noticeable decline in the pretax margin from June 2022 to September 2023, before recovering and reaching a higher level of 27.01% in June 2024. Overall, Garmin Ltd's pretax margin performance indicates a reasonable level of profitability, with some variability in certain periods.