Microsoft Corporation (MSFT)
Pretax margin
Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | Jun 30, 2020 | ||
---|---|---|---|---|---|---|
Earnings before tax but after interest (EBT) | US$ in thousands | 107,787,000 | 89,311,000 | 83,716,000 | 71,102,000 | 53,036,000 |
Revenue | US$ in thousands | 245,122,000 | 211,915,000 | 198,270,000 | 168,088,000 | 143,015,000 |
Pretax margin | 43.97% | 42.14% | 42.22% | 42.30% | 37.08% |
June 30, 2024 calculation
Pretax margin = EBT ÷ Revenue
= $107,787,000K ÷ $245,122,000K
= 43.97%
The pretax margin of Microsoft Corporation has shown consistent improvement over the past five years. Starting at 37.08% on June 30, 2020, it increased steadily to reach 43.97% on June 30, 2024. This upward trend indicates that Microsoft has been effectively managing its operating expenses and generating higher pre-tax profits relative to its total revenue. The company's ability to maintain and grow its pretax margin reflects its operational efficiency and strategic decision-making, which bodes well for its overall financial health and sustainability.
Peer comparison
Jun 30, 2024
Company name
Symbol
Pretax margin
Microsoft Corporation
MSFT
43.97%
ACI Worldwide Inc
ACIW
15.71%
Adobe Systems Incorporated
ADBE
32.23%
Altair Engineering Inc
ALTR
4.90%
ANSYS Inc
ANSS
28.22%
Appfolio Inc
APPF
18.93%
Autodesk Inc
ADSK
22.57%
Bill Com Holdings Inc
BILL
-1.97%
Blackbaud Inc
BLKB
-26.97%
Blackline Inc
BL
19.09%
Box Inc
BOX
7.81%