Lumentum Holdings Inc (LITE)
Pretax margin
| Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | Jun 30, 2020 | ||
|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) | US$ in thousands | -405,700 | -102,400 | 235,100 | 463,100 | 174,300 |
| Revenue | US$ in thousands | 2,717,800 | 1,732,500 | 1,644,500 | 1,674,700 | 1,603,300 |
| Pretax margin | -14.93% | -5.91% | 14.30% | 27.65% | 10.87% |
June 30, 2024 calculation
Pretax margin = EBT ÷ Revenue
= $-405,700K ÷ $2,717,800K
= -14.93%
The pretax margin of Lumentum Holdings Inc has exhibited fluctuations over the past five fiscal years. The company's pretax margin decreased significantly to -14.93% in 2024 from -5.91% in 2023, indicating a deterioration in profitability before accounting for taxes. This downward trend contrasts with the positive pretax margin of 14.30% in 2022 and 27.65% in 2021, reflecting a period of strong profitability for the company. The pretax margin had also improved in 2020 to 10.87%.
The varying pretax margins suggest changes in the company's ability to generate profits relative to its total revenue before tax expenses. The negative pretax margins in the more recent years may raise concerns about the company's operational efficiency, cost management, or revenue generation strategies. Further analysis of the factors contributing to these fluctuations would be necessary to determine the underlying reasons for the observed trends.
Peer comparison
Jun 30, 2024