Hewlett Packard Enterprise Co (HPE)
Pretax margin
| Oct 31, 2024 | Oct 31, 2023 | Oct 31, 2022 | Oct 31, 2021 | Oct 31, 2020 | ||
|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) | US$ in thousands | 2,953,000 | 2,230,000 | 876,000 | 3,587,000 | -442,000 |
| Revenue | US$ in thousands | 30,127,000 | 29,135,000 | 28,496,000 | 27,784,000 | 26,982,000 |
| Pretax margin | 9.80% | 7.65% | 3.07% | 12.91% | -1.64% |
October 31, 2024 calculation
Pretax margin = EBT ÷ Revenue
= $2,953,000K ÷ $30,127,000K
= 9.80%
The pretax margin of Hewlett Packard Enterprise Co has shown fluctuations over the past five years, as indicated in the data provided. The pretax margin is a measure of a company's profitability before taxes and is expressed as a percentage of its total revenue.
In 2024, the pretax margin improved to 9.80% from the previous year's 7.65%, representing an increase in profitability. This suggests that the company was able to control its operating expenses more effectively and generate higher profits compared to the previous year.
In 2023, the pretax margin was lower at 7.65% compared to 2022's 3.07%. This could indicate that the company faced challenges in managing costs or experienced a decline in revenue during that period, resulting in a lower profitability ratio.
In 2022, the pretax margin was 3.07%, which was a significant increase from the negative pretax margin of -1.64% in 2021. This improvement indicates that the company was able to turn around its profitability and generate positive earnings before taxes after a period of losses.
In 2021, the pretax margin was 12.91%, reflecting a strong profitability performance for that year. This could suggest that the company implemented successful cost-saving measures or experienced revenue growth that boosted its profitability ratio.
In 2020, the pretax margin was negative at -1.64%, indicating that the company incurred losses before taxes during that period. This could be attributed to various factors such as economic downturns, increased operating expenses, or one-time charges that impacted the company's bottom line negatively.
Overall, the trend in Hewlett Packard Enterprise Co's pretax margin shows varying levels of profitability over the past five years, highlighting the company's ability to adapt to changing market conditions and manage its financial performance.
Peer comparison
Oct 31, 2024