Leslies Inc (LESL)
Pretax margin
| Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | ||
|---|---|---|---|---|
| Earnings before tax but after interest (EBT) | US$ in thousands | 36,741 | 208,117 | 163,129 |
| Revenue | US$ in thousands | 1,385,770 | 1,531,880 | 1,299,340 |
| Pretax margin | 2.65% | 13.59% | 12.55% |
September 30, 2023 calculation
Pretax margin = EBT ÷ Revenue
= $36,741K ÷ $1,385,770K
= 2.65%
The pretax margin of Leslies Inc has experienced a significant decline from 13.59% in 2022 to 2.65% in 2023. This indicates that the company's profitability before taxes has decreased substantially over the one-year period. The decline in pretax margin may be a cause for concern as it suggests that the company's ability to generate earnings relative to its revenue has weakened. Further analysis is warranted to understand the factors contributing to this decline and to develop strategies to improve profitability in the future.
Peer comparison
Sep 30, 2023
Company name
Symbol
Pretax margin
Leslies Inc
LESL
2.65%
IAC Inc.
IAC
8.59%
Match Group Inc
MTCH
23.09%
Sally Beauty Holdings Inc
SBH
5.56%
Ulta Beauty Inc
ULTA
15.13%