Hershey Co (HSY)

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	2,171,864	2,215,311	2,034,983	1,998,923	1,917,071	1,892,655	1,941,243	1,956,199	1,791,917	1,716,668	1,757,528	1,674,048	1,498,292	1,451,925	1,296,877	1,324,679	1,383,724	1,515,795	1,463,464	1,364,268
Revenue (ttm)	US$ in thousands	11,004,030	11,070,300	10,743,680	10,623,500	10,318,580	10,004,590	9,690,530	9,341,870	8,933,450	8,799,400	8,656,350	8,386,670	8,149,720	8,032,600	7,947,190	8,007,080	7,986,250	7,906,030	7,851,200	7,835,600
Pretax margin		19.74%	20.01%	18.94%	18.82%	18.58%	18.92%	20.03%	20.94%	20.06%	19.51%	20.30%	19.96%	18.38%	18.08%	16.32%	16.54%	17.33%	19.17%	18.64%	17.41%

December 31, 2023 calculation

Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $2,171,864K ÷ $11,004,030K
= 19.74%

The pretax margin of Hershey Company has shown some fluctuations over the past eight quarters. In Q4 2023, the pretax margin was 19.45%, which decreased slightly from the previous quarter's 19.85%. Compared to Q1 2022, there has been a slight improvement from 18.61% to 19.45% in Q4 2023.

Overall, the pretax margin has shown some variability, with the highest point at 20.99% in Q1 2022 and the lowest point at 18.40% in Q4 2022. It is essential for Hershey Company to closely monitor and manage its pretax margin to ensure sustainable profitability and financial health.

Peer comparison

Dec 31, 2023

Company name

Symbol

Pretax margin

Hershey Co

HSY

19.74%

John B Sanfilippo & Son Inc

JBSS

7.49%

Tootsie Roll Industries Inc

15.65%