Kodiak Gas Services, Inc. (KGS)
Pretax margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) | US$ in thousands | 75,908 | 35,136 | 139,357 | 122,390 | 5,334 |
| Revenue | US$ in thousands | 1,159,310 | 850,381 | 707,913 | 606,375 | 532,420 |
| Pretax margin | 6.55% | 4.13% | 19.69% | 20.18% | 1.00% |
December 31, 2024 calculation
Pretax margin = EBT ÷ Revenue
= $75,908K ÷ $1,159,310K
= 6.55%
Between December 31, 2020, and December 31, 2024, Kodiak Gas Services, Inc. experienced notable fluctuations in its pretax margin. In 2020, the pretax margin was modest at 1.00%, indicating limited profitability relative to revenues. The subsequent year, 2021, saw a significant improvement with the pretax margin soaring to 20.18%, reflecting a substantial enhancement in profitability, possibly due to operational efficiencies, favorable market conditions, or strategic initiatives.
However, this elevated margin diminished slightly in 2022, decreasing marginally to 19.69%, suggesting a stabilization of profitability but with reduced growth momentum compared to the previous year. In 2023, the pretax margin declined sharply to 4.13%, indicating a substantial reduction in pre-tax profitability. This decline could be attributed to increased costs, competitive pressures, or downturns in revenue streams.
By 2024, the pretax margin showed a moderate recovery to 6.55%, suggesting some improvement in profitability, though it remained well below the peak observed in 2021. Overall, the company's pretax margin demonstrated significant volatility over this four-year span, with a peak in 2021 followed by a decline and subsequent partial recovery. This pattern indicates periods of both strong profitability and challenging market or operational conditions impacting overall pre-tax earnings.
Peer comparison
Dec 31, 2024