ON Semiconductor Corporation (ON)
Pretax margin
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) (ttm) | US$ in thousands | 1,835,600 | 2,003,200 | 2,246,900 | 2,526,000 | 2,533,900 | 2,687,000 | 2,396,500 | 2,278,700 | 2,360,600 | 2,063,000 | 2,027,700 | 1,686,500 | 1,156,200 | 810,200 | 516,200 | 293,600 | 174,400 | 137,000 | -25,800 | 99,900 |
| Revenue (ttm) | US$ in thousands | 7,082,300 | 7,377,900 | 7,796,800 | 8,156,000 | 8,253,000 | 8,338,500 | 8,350,300 | 8,340,900 | 8,326,200 | 8,068,700 | 7,618,200 | 7,203,100 | 6,739,800 | 6,340,000 | 5,915,200 | 5,458,800 | 5,255,000 | 5,210,500 | 5,275,000 | 5,409,200 |
| Pretax margin | 25.92% | 27.15% | 28.82% | 30.97% | 30.70% | 32.22% | 28.70% | 27.32% | 28.35% | 25.57% | 26.62% | 23.41% | 17.15% | 12.78% | 8.73% | 5.38% | 3.32% | 2.63% | -0.49% | 1.85% |
December 31, 2024 calculation
Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $1,835,600K ÷ $7,082,300K
= 25.92%
The pretax margin of ON Semiconductor Corporation has shown a positive trend over the last few years, indicating an improving profitability before taxes. From March 31, 2020, where the pretax margin was at 1.85%, there have been fluctuations but an overall upward trajectory. The margin dipped to -0.49% on June 30, 2020, possibly due to certain one-off expenses or economic conditions affecting profitability negatively at that time.
However, the company recovered quickly, with the pretax margin steadily increasing to 25.92% by December 31, 2024. This suggests that ON Semiconductor Corporation has been effectively managing its expenses relative to its revenue, resulting in higher profitability margins. The pretax margin peaked at 32.22% on September 30, 2023, indicating a period of strong performance in terms of generating profits before accounting for taxes.
Overall, the trend in pretax margin for ON Semiconductor Corporation reflects a positive financial performance and efficiency in managing costs, which is a key indicator of a company's operational effectiveness and sustainability in generating profits. Investors and stakeholders can view this improving trend positively as it demonstrates the company's ability to generate more earnings for each dollar of revenue generated.
Peer comparison
Dec 31, 2024