Matthews International Corporation (MATW)
Pretax margin
| Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) (ttm) | US$ in thousands | -69,657 | 13,185 | 28,417 | 33,021 | 41,065 | -57,335 | -61,582 | -72,719 | -104,165 | -21,054 | -23,957 | -19,368 | 9,285 | 20,606 | 15,636 | -87,755 | -105,840 | -191,987 | -169,429 | -56,747 |
| Revenue (ttm) | US$ in thousands | 1,795,737 | 1,829,210 | 1,873,285 | 1,881,642 | 1,880,896 | 1,857,855 | 1,807,666 | 1,773,064 | 1,762,403 | 1,744,115 | 1,750,776 | 1,722,952 | 1,671,030 | 1,631,331 | 1,562,373 | 1,520,019 | 1,498,306 | 1,491,571 | 1,511,443 | 1,528,043 |
| Pretax margin | -3.88% | 0.72% | 1.52% | 1.75% | 2.18% | -3.09% | -3.41% | -4.10% | -5.91% | -1.21% | -1.37% | -1.12% | 0.56% | 1.26% | 1.00% | -5.77% | -7.06% | -12.87% | -11.21% | -3.71% |
September 30, 2024 calculation
Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $-69,657K ÷ $1,795,737K
= -3.88%
The pretax margin of Matthews International Corporation has shown variability over the periods presented in the table. It indicates the company's profitability before taxes as a percentage of its total revenue.
From Sep 2020 to Sep 2022, the pretax margin fluctuated between negative values, with the lowest being -12.87% in Mar 2020. This period may indicate challenges or inefficiencies affecting the company's ability to generate profits before tax.
From Dec 2022 to Mar 2024, the pretax margin improved and remained positive, reaching a peak of 1.75% in Dec 2023. This improvement suggests potential operational enhancements or cost management strategies that positively impacted profitability.
However, the pretax margin turned negative again in Sep 2024 at -3.88%. This reversal might raise concerns as it indicates a decrease in profitability before tax, possibly due to increased expenses or lower revenue generation.
Overall, a consistent positive pretax margin is essential for sustainable profitability, and Matthews International Corporation may need to focus on maintaining or improving this metric to ensure long-term financial health.