Callaway Golf Company (MODG)
Pretax margin
| 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 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) (ttm) | US$ in thousands | 34,800 | 42,900 | 55,000 | 91,700 | 141,900 | 122,374 | 133,774 | 101,374 | 350,574 | 398,544 | 406,136 | 154,621 | -127,534 | -111,348 | -135,964 | 75,790 | 95,948 | 89,236 | 66,912 | 108,887 |
| Revenue (ttm) | US$ in thousands | 4,100,200 | 4,077,300 | 4,031,900 | 3,983,500 | 3,879,900 | 3,753,324 | 3,642,683 | 3,454,542 | 3,079,082 | 2,741,987 | 2,377,880 | 1,771,541 | 1,562,865 | 1,500,177 | 1,433,952 | 1,585,033 | 1,658,125 | 1,526,862 | 1,381,303 | 1,335,016 |
| Pretax margin | 0.85% | 1.05% | 1.36% | 2.30% | 3.66% | 3.26% | 3.67% | 2.93% | 11.39% | 14.53% | 17.08% | 8.73% | -8.16% | -7.42% | -9.48% | 4.78% | 5.79% | 5.84% | 4.84% | 8.16% |
December 31, 2023 calculation
Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $34,800K ÷ $4,100,200K
= 0.85%
The pretax margin of Topgolf Callaway Brands Corp has shown a decreasing trend over the past quarters, indicating a decline in profitability before taxes. Specifically, the pretax margin started at 3.55% in Q4 2022 and has steadily decreased to 0.81% in Q4 2023.
This downward trend suggests that the company's ability to generate profits from its operations has weakened over the periods analyzed. It could be attributed to various factors such as increasing costs, declining revenues, or inefficient cost management strategies.
To improve profitability, Topgolf Callaway Brands Corp may need to closely evaluate its cost structure, revenue streams, and operational efficiency to identify opportunities for improvement and implement strategic initiatives to enhance its pretax margin in future quarters.
Peer comparison
Dec 31, 2023