Lincoln Electric Holdings Inc (LECO)
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 | 686,866 | 592,827 | 324,884 | 264,011 | 368,519 |
| Revenue | US$ in thousands | 4,174,950 | 3,761,210 | 3,234,180 | 2,655,400 | 3,003,270 |
| Pretax margin | 16.45% | 15.76% | 10.05% | 9.94% | 12.27% |
December 31, 2023 calculation
Pretax margin = EBT ÷ Revenue
= $686,866K ÷ $4,174,950K
= 16.45%
The pretax margin of Lincoln Electric Holdings, Inc. has shown a consistent upward trend over the past five years, indicating improved profitability before accounting for taxes. In 2023, the pretax margin reached 16.39%, a notable increase from 15.76% in 2022, and a substantial rise from 10.05% in 2021. This upward trajectory suggests that the company has been effectively managing its costs and expenses relative to its revenue, leading to enhanced operational efficiency and profitability. Additionally, the pretax margin in 2023 outperformed the margin in 2019, highlighting the company's strengthened financial performance in recent years. Overall, the improving trend in pretax margin reflects Lincoln Electric Holdings, Inc.'s ability to generate more income from its core business operations.
Peer comparison
Dec 31, 2023