Interpublic Group of Companies Inc (IPG)

Pretax margin

Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 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
Earnings before tax but after interest (EBT) (ttm) US$ in thousands 1,049,100 1,189,700 1,419,700 1,402,600 1,408,000 1,196,900 1,188,800 1,225,000 1,268,900 1,289,400 1,276,300 1,315,600 1,222,100 962,400 836,700 457,700 361,300 615,500 655,600 897,000
Revenue (ttm) US$ in thousands 10,691,700 10,858,000 10,907,700 10,864,200 10,889,300 10,851,900 10,811,100 10,880,300 10,927,800 10,874,000 10,778,300 10,552,200 10,240,700 9,858,600 9,442,100 8,958,200 9,061,000 9,412,800 9,725,400 10,219,900
Pretax margin 9.81% 10.96% 13.02% 12.91% 12.93% 11.03% 11.00% 11.26% 11.61% 11.86% 11.84% 12.47% 11.93% 9.76% 8.86% 5.11% 3.99% 6.54% 6.74% 8.78%

December 31, 2024 calculation

Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $1,049,100K ÷ $10,691,700K
= 9.81%

Interpublic Group of Companies Inc's pretax margin has shown fluctuating trends over the past few years. The pretax margin, which is a measure of a company's operating efficiency and profitability before taxes are deducted, stood at 8.78% as of March 31, 2020. It declined slightly to 6.74% by June 30, 2020, and further decreased to 3.99% by December 31, 2020, indicating a period of lower profitability.

However, the company's pretax margin started to improve in the subsequent quarters, reaching 11.93% by December 31, 2021, and continued to show a positive trend through the first half of 2022. The pretax margin peaked at 13.02% as of June 30, 2024, reflecting a significant improvement in the company's profitability.

Despite the peak in mid-2024, the pretax margin experienced a decline in the following quarters, dropping to 9.81% by December 31, 2024. Overall, Interpublic Group of Companies Inc's pretax margin has demonstrated both periods of decline and growth, showcasing fluctuations in its operational efficiency and profitability over the analyzed period.


Peer comparison

Dec 31, 2024

Company name
Symbol
Pretax margin
Interpublic Group of Companies Inc
IPG
9.81%
Omnicom Group Inc
OMC
13.01%