Harmonic Inc (HLIT)

Pretax margin

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Earnings before tax but after interest (EBT) US$ in thousands 57,933 19,141 44,485 8,871 -26,217
Revenue US$ in thousands 678,722 607,907 624,957 507,149 378,831
Pretax margin 8.54% 3.15% 7.12% 1.75% -6.92%

December 31, 2024 calculation

Pretax margin = EBT ÷ Revenue
= $57,933K ÷ $678,722K
= 8.54%

The pretax margin of Harmonic Inc has shown fluctuations over the past five years. In December 2020, the company had a negative pretax margin of -6.92%, indicating that the company's operating expenses and other costs were exceeding its revenue. However, there was a significant improvement in December 2021, with the pretax margin turning positive to 1.75%.

Subsequently, in December 2022, the pretax margin further increased to a healthier level of 7.12%, reflecting improved operational efficiency and cost management. However, in December 2023, there was a slight decrease to 3.15%, suggesting potential challenges in maintaining profitability.

The most recent data point in December 2024 shows a notable improvement in the pretax margin to 8.54%, indicating that Harmonic Inc has successfully enhanced its profitability through effective cost controls and revenue growth strategies. Overall, the trend in pretax margin demonstrates a mix of challenges and successes in managing the company's profitability over the past five years.