Marathon Petroleum Corp (MPC)

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	12,498,000	14,945,000	16,564,000	21,427,000	19,007,000	15,719,000	10,492,000	11,337,000	10,002,000	9,077,000	7,079,000	-1,279,000	-12,256,000	-11,721,000	-9,049,000	-7,749,000	3,533,000	4,096,000	3,705,000	3,582,000
Revenue (ttm)	US$ in thousands	112,014,000	149,401,000	155,477,000	172,956,000	176,332,000	174,030,000	159,303,000	134,956,000	119,445,000	102,060,000	86,991,000	72,416,000	75,044,000	88,164,000	102,095,000	120,790,000	123,949,000	125,190,000	117,135,000	105,905,000
Pretax margin		11.16%	10.00%	10.65%	12.39%	10.78%	9.03%	6.59%	8.40%	8.37%	8.89%	8.14%	-1.77%	-16.33%	-13.29%	-8.86%	-6.42%	2.85%	3.27%	3.16%	3.38%

December 31, 2023 calculation

Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $12,498,000K ÷ $112,014,000K
= 11.16%

The pretax margin of Marathon Petroleum Corp has shown varying levels over the past eight quarters as indicated in the table. In Q1 2022, the pretax margin was the lowest at 3.24%, signaling a dip in profitability before gradually increasing to 13.10% in Q1 2023, showcasing a significant improvement in profitability.

However, the pretax margin slightly decreased in Q2 2023 to 11.47% and further dropped to 10.64% in Q3 2023. The latest data point in Q4 2023 shows a pretax margin of 9.37%, indicating a decline in profitability compared to the previous quarter.

Overall, while the pretax margin has displayed fluctuations, it is essential for Marathon Petroleum Corp to closely monitor its cost structure and revenue generation to sustain and improve profitability levels in the future.