Hilton Grand Vacations Inc (HGV)
Pretax margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) | US$ in thousands | 449,000 | 481,000 | 269,000 | -280,000 | 273,000 |
| Revenue | US$ in thousands | 3,978,000 | 3,835,000 | 2,335,000 | 894,000 | 1,838,000 |
| Pretax margin | 11.29% | 12.54% | 11.52% | -31.32% | 14.85% |
December 31, 2023 calculation
Pretax margin = EBT ÷ Revenue
= $449,000K ÷ $3,978,000K
= 11.29%
Hilton Grand Vacations Inc's pretax margin has shown fluctuations over the past five years. The pretax margin stood at 11.29% in 2023, compared to 12.54% in 2022 and 11.52% in 2021, indicating a slight decrease in profitability from the previous year. However, in 2020, the company experienced a significant decrease in profitability with a negative pretax margin of -31.32%, reflecting challenges faced during that period.
The pretax margin rebounded in 2019, reaching a healthy level of 14.85%, highlighting a strong performance in that year. Overall, while the company's pretax margin has shown variability, it is essential for Hilton Grand Vacations Inc to carefully monitor and manage its profitability to ensure sustainable financial health and performance in the future.