Organon & Co (OGN)
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 | ||
|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) (ttm) | US$ in thousands | 673,000 | 680,000 | 882,000 | 915,000 | 1,122,000 | 1,247,000 | 1,354,000 | 1,500,000 | 1,529,000 |
| Revenue (ttm) | US$ in thousands | 6,263,000 | 6,150,000 | 6,168,000 | 6,145,000 | 6,174,000 | 6,292,000 | 6,355,000 | 6,365,000 | 6,304,000 |
| Pretax margin | 10.75% | 11.06% | 14.30% | 14.89% | 18.17% | 19.82% | 21.31% | 23.57% | 24.25% |
December 31, 2023 calculation
Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $673,000K ÷ $6,263,000K
= 10.75%
The pretax margin of Organon & Co. has shown a decreasing trend over the past eight quarters. Starting at a relatively high level of 23.63% in Q1 2022, the pretax margin steadily declined to 10.75% in Q4 2023. This decline indicates that the company's profitability before accounting for taxes has been eroding over time.
The decrease in pretax margin could be attributed to various factors such as increasing costs, declining revenue, or inefficiencies in operations. It suggests that the company may be experiencing challenges in maintaining its profitability levels.
Investors and stakeholders should closely monitor Organon & Co.'s financial performance and assess the reasons behind the declining pretax margin to understand the company's financial health and sustainability in the long run.
Peer comparison
Dec 31, 2023