Heritage Financial Corporation (HFWA)
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 | 52,259 | 42,506 | 51,237 | 55,113 | 72,915 | 94,227 | 98,077 | 100,767 | 99,436 | 95,866 | 95,808 | 113,400 | 120,507 | 124,499 | 118,023 | 70,795 | 53,180 | 45,440 | 47,843 | 74,104 |
| Revenue (ttm) | US$ in thousands | 265,129 | 279,191 | 286,285 | 267,562 | 264,209 | 262,785 | 267,635 | 261,594 | 248,976 | 237,032 | 229,899 | 235,397 | 240,404 | 246,397 | 244,679 | 240,678 | 238,226 | 232,612 | 233,425 | 232,964 |
| Pretax margin | 19.71% | 15.22% | 17.90% | 20.60% | 27.60% | 35.86% | 36.65% | 38.52% | 39.94% | 40.44% | 41.67% | 48.17% | 50.13% | 50.53% | 48.24% | 29.41% | 22.32% | 19.53% | 20.50% | 31.81% |
December 31, 2024 calculation
Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $52,259K ÷ $265,129K
= 19.71%
The pretax margin of Heritage Financial Corporation has displayed some fluctuations over the given period. The pretax margin was relatively stable around the low 20% range throughout 2020, with a slight increase towards the end of the year.
In 2021, there was a significant improvement in the pretax margin, reaching levels above 40%, indicating enhanced profitability before accounting for taxes. This positive trend continued into the first half of 2022, with the pretax margin remaining above 40%.
However, in the latter part of 2022 and into 2023, the pretax margin started to decline, falling to around 35% by the end of 2023. The decline continued into 2024, with the pretax margin dropping to around 15%, before showing a slight recovery at the end of 2024.
Overall, the trend in the pretax margin for Heritage Financial Corporation shows fluctuation in profitability levels over the analyzed period, with a notable increase in 2021, followed by a decline in profitability in 2023 and 2024.