Knife River Corporation (KNF)
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 | ||
|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) (ttm) | US$ in thousands | 270,993 | 264,647 | 261,833 | 234,619 | 245,342 | 186,804 | 124,751 | 97,993 | 99,418 |
| Revenue (ttm) | US$ in thousands | 2,899,002 | 2,888,686 | 2,873,766 | 2,852,060 | 2,830,370 | 2,720,992 | 2,606,050 | 2,532,663 | 2,534,729 |
| Pretax margin | 9.35% | 9.16% | 9.11% | 8.23% | 8.67% | 6.87% | 4.79% | 3.87% | 3.92% |
December 31, 2024 calculation
Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $270,993K ÷ $2,899,002K
= 9.35%
Knife River Corporation's pretax margin has shown a positive trend over the specified time period. Starting at 3.92% in December 31, 2022, the pretax margin improved to 9.35% by December 31, 2024. This indicates that the company has been able to effectively control its operating expenses relative to its pre-tax income.
The pretax margin is a key indicator of a company's operating efficiency and profitability as it reflects the proportion of each dollar of revenue that translates into pre-tax profit. The increasing trend observed in Knife River Corporation's pretax margin suggests that the company has been able to enhance its cost management and operational effectiveness over time.
A rising pretax margin usually signifies that the company is becoming more efficient in managing its costs and driving revenue growth. It can also imply that the company is effectively controlling expenses such as production costs, selling and administrative expenses, and interest payments.
Overall, based on the data provided, Knife River Corporation's improving pretax margin trend indicates a positive shift in the company's operational performance and financial health.
Peer comparison
Dec 31, 2024