International Flavors & Fragrances Inc (IFF)
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 | -2,522,000 | -1,632,000 | 345,000 | 437,228 | 552,873 |
| Revenue | US$ in thousands | 11,002,000 | 12,118,000 | 11,368,000 | 4,948,650 | 4,999,500 |
| Pretax margin | -22.92% | -13.47% | 3.03% | 8.84% | 11.06% |
December 31, 2023 calculation
Pretax margin = EBT ÷ Revenue
= $-2,522,000K ÷ $11,002,000K
= -22.92%
The pretax margin for International Flavors & Fragrances Inc. has exhibited a declining trend over the past five years. The company experienced a negative pretax margin of -21.94% in 2023, marking a significant decrease from the -13.06% in 2022. This downward trend suggests that the company's profitability before taxes has deteriorated. Comparing to the positive pretax margins of 3.04% in 2021, 8.68% in 2020, and 10.85% in 2019, it is evident that the company's profitability has weakened in recent years. This declining trend in pretax margin may indicate challenges in managing costs, generating revenue, or both, which could raise concerns about the company's overall financial performance and efficiency. Further analysis of the company's cost structure, revenue streams, and operational efficiency is recommended to better understand the factors contributing to this downward trend in pretax margin.
Peer comparison
Dec 31, 2023