Lockheed Martin Corporation (LMT)
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 | 8,098,000 | 6,680,000 | 7,550,000 | 8,180,000 | 7,241,000 |
| Revenue | US$ in thousands | 67,571,000 | 65,984,000 | 67,044,000 | 65,398,000 | 59,812,000 |
| Pretax margin | 11.98% | 10.12% | 11.26% | 12.51% | 12.11% |
December 31, 2023 calculation
Pretax margin = EBT ÷ Revenue
= $8,098,000K ÷ $67,571,000K
= 11.98%
The pretax margin of Lockheed Martin Corp. has fluctuated over the past five years. The Dec 31, 2023 pretax margin of 11.98% represents an increase from the prior year's 10.12%. However, this is still lower than the 12.59% and 12.11% pretax margins recorded in 2020 and 2019, respectively. Despite the fluctuations, Lockheed Martin has generally maintained a double-digit pretax margin, indicating its ability to generate earnings before accounting for taxes relative to its total revenue. This trend suggests a degree of consistency in the company's profitability, but potential opportunities for improvement may exist by further examining the factors influencing the pretax margin fluctuation.