Materion Corporation (MTRN)
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 | 107,831 | 103,100 | 77,325 | 8,275 | 65,536 |
| Revenue | US$ in thousands | 1,633,630 | 1,735,870 | 1,504,450 | 1,174,500 | 1,182,840 |
| Pretax margin | 6.60% | 5.94% | 5.14% | 0.70% | 5.54% |
December 31, 2023 calculation
Pretax margin = EBT ÷ Revenue
= $107,831K ÷ $1,633,630K
= 6.60%
The pretax margin of Materion Corp has shown variability over the past five years. In 2023, the pretax margin increased to 6.48% from 5.87% in 2022, indicating improved profitability before accounting for taxes. This suggests that the company managed its expenses more efficiently or generated higher revenues relative to the previous year.
Comparing the current pretax margin to 2021 and 2019, where the margins were 5.12% and 5.23% respectively, Materion Corp has shown an upward trend in profitability. However, it is important to note the significant increase in pretax margin from 2020, where it was only 0.70%. This substantial improvement in profitability can be attributed to various factors such as cost-cutting measures, revenue growth, or better operational efficiency.
Overall, Materion Corp's pretax margin has demonstrated fluctuations over the years, but the recent increase in 2023 reflects a positive trend in the company's ability to generate earnings before taxes relative to its revenue.