Meritage Corporation (MTH)
Pretax margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) | US$ in thousands | 949,430 | 1,289,320 | 954,834 | 533,566 | 302,945 |
| Revenue | US$ in thousands | 6,113,010 | 6,298,150 | 5,147,330 | 4,506,300 | 3,677,840 |
| Pretax margin | 15.53% | 20.47% | 18.55% | 11.84% | 8.24% |
December 31, 2023 calculation
Pretax margin = EBT ÷ Revenue
= $949,430K ÷ $6,113,010K
= 15.53%
Meritage Homes Corp.'s pretax margin has shown a generally positive trend over the past five years. The pretax margin increased from 8.30% in 2019 to 15.53% in 2023, indicating an improvement in the company's profitability before taking into account taxes.
In 2020, there was a noticeable jump in pretax margin to 11.90%, reflecting an increase in profitability compared to the previous year. This positive momentum continued in 2021 with a pretax margin of 18.65%, reaching its peak in 2022 at 20.57%.
Overall, the upward trend in pretax margin suggests that Meritage Homes Corp. has been effectively managing its costs and generating more income relative to its revenue over the years. This indicates improving efficiency and profitability within the company and potentially reflects positively on its overall financial performance.
Peer comparison
Dec 31, 2023