MP Materials Corp (MP)
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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) (ttm) | US$ in thousands | 33,075 | 100,820 | 189,407 | 273,135 | 341,152 | 348,753 | 316,208 | 252,898 | 160,195 | 111,773 | 74,709 | -20,776 | -39,461 |
| Revenue (ttm) | US$ in thousands | 247,383 | 293,977 | 367,165 | 450,415 | 524,822 | 532,150 | 508,683 | 438,239 | 331,952 | 275,021 | 216,289 | 172,496 | 132,441 |
| Pretax margin | 13.37% | 34.30% | 51.59% | 60.64% | 65.00% | 65.54% | 62.16% | 57.71% | 48.26% | 40.64% | 34.54% | -12.04% | -29.80% |
December 31, 2023 calculation
Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $33,075K ÷ $247,383K
= 13.37%
MP Materials Corporation's pretax margin has shown a downward trend over the past quarters. In Q4 2023, the pretax margin was 13.05%, indicating a decrease in profitability compared to the previous quarters. The company experienced a significant decline from the peak pretax margin of 64.67% in Q4 2022 to the current level.
The decreasing trend in pretax margin suggests a potential challenge in maintaining profitability and controlling costs. Management may need to focus on implementing cost-saving measures and improving operational efficiency to boost profitability in future quarters. Overall, the declining pretax margin for MP Materials Corporation raises concerns about the company's financial performance and sustainability in the near term.
Peer comparison
Dec 31, 2023