Insperity Inc (NSP)
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 | 225,078 | 245,425 | 168,318 | 189,270 | 189,643 |
| Revenue | US$ in thousands | 6,458,730 | 5,924,610 | 4,965,610 | 4,278,990 | 4,307,160 |
| Pretax margin | 3.48% | 4.14% | 3.39% | 4.42% | 4.40% |
December 31, 2023 calculation
Pretax margin = EBT ÷ Revenue
= $225,078K ÷ $6,458,730K
= 3.48%
Insperity Inc's pretax margin has shown some variations over the past five years. The pretax margin decreased from 4.40% in 2019 to 4.41% in 2020 before experiencing a more significant decline to 3.38% in 2021. However, there was a slight recovery in 2022 with a pretax margin of 4.13%. In the most recent period ending Dec 31, 2023, the pretax margin further declined to 3.47%.
This trend indicates that Insperity Inc's profitability before taxes has faced challenges in recent years, as the company has struggled to maintain consistent margins. Factors such as changes in revenue, operating expenses, or pricing strategies could have contributed to these fluctuations.
Further analysis of the company's financial performance, operational efficiency, and strategic decisions may be necessary to determine the underlying reasons for the fluctuating pretax margins and to identify potential areas for improvement.
Peer comparison
Dec 31, 2023