Molina Healthcare Inc (MOH)

Pretax margin

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Earnings before tax but after interest (EBT) US$ in thousands 1,589,000 1,464,000 1,063,000 875,000 961,000
Revenue US$ in thousands 40,650,000 34,072,000 31,974,000 27,771,000 19,423,000
Pretax margin 3.91% 4.30% 3.32% 3.15% 4.95%

December 31, 2024 calculation

Pretax margin = EBT ÷ Revenue
= $1,589,000K ÷ $40,650,000K
= 3.91%

The pretax margin of Molina Healthcare Inc, a key indicator of operational efficiency, has shown some variability over the past five years. Starting at 4.95% in December 2020, the margin decreased to 3.15% by the end of 2021, indicating a decline in profitability. However, there was a slight improvement in 2022 with a margin of 3.32%. Subsequently, the pretax margin increased to 4.30% in 2023, signaling a positive trend in profitability. By December 2024, the margin slightly decreased to 3.91%, possibly indicating some challenges in maintaining profitability. Overall, it is essential for Molina Healthcare Inc to closely monitor and manage its pretax margin to ensure sustainable financial performance in the future.