HealthStream Inc (HSTM)

Pretax margin

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Earnings before tax but after interest (EBT) (ttm)	US$ in thousands	18,511	16,362	15,834	14,966	15,584	11,817	8,592	8,326	7,780	9,415	10,949	12,086	17,823	20,803	22,421	21,038	19,473	18,871	18,155	18,664
Revenue (ttm)	US$ in thousands	279,064	277,019	273,965	270,405	266,826	262,607	259,413	258,591	256,692	254,193	250,985	246,722	244,826	245,703	247,270	250,498	254,113	251,243	248,718	241,945
Pretax margin		6.63%	5.91%	5.78%	5.53%	5.84%	4.50%	3.31%	3.22%	3.03%	3.70%	4.36%	4.90%	7.28%	8.47%	9.07%	8.40%	7.66%	7.51%	7.30%	7.71%

December 31, 2023 calculation

Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $18,511K ÷ $279,064K
= 6.63%

Healthstream Inc's pretax margin has shown a consistent improvement trend over the past eight quarters, with the most recent value for Q4 2023 reaching 6.63%. This indicates that the company's ability to generate profits before tax has been gradually strengthening. The rising trend suggests effective cost management and revenue growth strategies being implemented by the company. Comparing to the same period in the previous year, Q4 2023 has demonstrated a noticeable improvement from 5.84% to 6.63%, reflecting enhanced profitability. Overall, the upward trajectory of Healthstream Inc's pretax margin indicates positive financial performance and management efficiency.